Amazon says it’s delivering more packages in one day or less

On Monday, the company said it reached a major milestone in those efforts. Amazon said so far this year it’s delivered 1.8 billion units to U.S. Prime members the same or next day, roughly four times what it delivered at those speeds by this point in 2019.

More at: https://www.cnbc.com/2023/07/31/amazon-says-its-delivering-more-products-than-ever-in-one-day-or-less.html

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Maybe I’m looking at the world all wrong but…
I don’t care?

(About Amazon’s one day delivery metrics, not your post!)

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I’m thinking that it affects us in at least two ways:

  1. Amazon is working harder to train customers to expect one-day delivery, but not putting any additional effort into informing those customers that we 3P sellers are not part of the
    Prime one-day scheme. This is going to mean more unreasonable customer expectations that we have to manage.

  2. If you are selling FBA, any order that is not one-day may actually be delivered slower than before.

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  1. This already happens, and I’m not sure how much more Amazon can do to train buyers to expect stuff RIGHT THE EF NOW!

  2. See point 1. At least when FBA shipments arrive slower, Amazon support is the one that has to explain to buyers that having a Prime account does not mean that their orders arrive as soon as payment is completed.

I think most Amazon customers are unreasonable already and have been for a long, long time. Amazon touting that they deliver in a day can’t make it much worse than it already is.

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I think that experience has shown us that Amazon can ALWAYS find a way to make things worse.

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Full agreement.
But can they make buyers worse?
Sigh.
Who am I kidding. Of course they can.

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:laughing: Ah yes, Amazon can most definitely do things that could make it worse for us, but not sure how much more unreasonable the customers could get.

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Not to me and I have a major warehouse 5 miles from me.

It’s getting rare for me to even get things in 2 days. I don’t even live in the boonies. I am only 15 miles outside NYC

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It is important to note “where and what”:

Across the top 60 U.S. metro areas, Amazon says more than half of Prime orders arrived the same or next day.

Same-day sites are stocked with a rotating selection of millions of items tailored to what customers are purchasing in the area, whereas a typical warehouse is much larger and may have a more random assortment of products.

So the “most common things” in “big cities”.

While that is “impressive”, that is not any different than a Costco, Walmart, or other big box store where I can actually walk in and buy toilet paper, rolls of paper towels, etc. Those kinds of things that a large base of customers buy on the regular.

I know that I am not the target audience, the only reason I shop online is to get things that aren’t easily accessible or are exorbitantly priced locally because they don’t sell enough to buy enough to sell at a low price.

What I have purchased recently online:

  • 1/4"-20 threaded inserts 100 count because that costs less than buying the 8 I needed at Lowes. I’ll “never” need to buy them again but will definitely have projects that use them.
  • 1" wooden beads 200 count because they cost a lot less per piece than buying them at Michaels or similar.
  • license plate light housing with LEDs because the local option is going to a junkyard to match my vehicle and this was cheaper and easier.
  • two 8 oz bottles of air brush paint because I can’t find it locally or I just simply don’t know where to look (not at Michaels or similar craft store amazingly).

Notice that all of those purchases aren’t likely to be in that “same day site” because none are really “common” items that a lot of people buy with any regularity.

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Still waiting for 3 packages from Amazon that were to have been delivered this past Saturday. Then they said Sunday. Now they say today, Monday. Still waiting. After all, they had to come all the way from Staten Island to 10065.

OK, Amazon says my packages have been delivered, but I now know I have to wait for the guys in our basement package room to log them into the fancy new online system that tells me my packages have arrived and sends me an e-mail to tell me my packages are available for pickup or delivery.

First-world problems, I know. Our building has just over 600 apartments with many Frequent Flyers on Amazon and other online venues ordering constantly. More space and more staff have had to be devoted to package delivery and pickup in the past few years.

Staten Island to 10065 is about 5 miles as the crow flies. When the crow has to cross the Verrazano Bridge, navigate the BQE (Brooklyn-Queens-Expressway) which is falling down every day, and then navigate one of the East River Bridges back into Manhattan, it is quite a journey.

My packages got here, but have yet to make their way into our building’s package receipt system.

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Hobby Lobby has 2 oz bottles of airbrush paint.

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What jumps out at me about this article is that Amazon is finding that being Amazon doesn’t work as well as being Walmart. :laughing:

One of the company’s biggest changes in the past year is a shift away from a national “hub and spoke” fulfillment network, where packages might travel through several facilities across the country, said Udit Madan, Amazon’s vice president of transportation, in an interview. The company moved to a model in which the country is divided into eight smaller regions, with local facilities that stock commonly ordered items.

More smaller locations where the same product is stocked instead of one giant central location. :thinking: Just like a chain of retail stores. Who could have imagined??

Driving fewer miles and requiring fewer handoffs has reduced Amazon’s “cost to serve,” Madan added.

Is Amazon just discovering this now?

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This is actually a non-trivial problem. There are trade-offs.

A central hub-and-spoke system optimizes use of inventory storage. Whereas their newer style of regional inventories requires paying more warehouse rent and paying for more inventory.

Amazon is sinking huge amounts of cash into being the one-day supplier of anything. If it works for them, they make billions more. If we have a serious recession, this decision could cost them billions.

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Maybe (likely, even perhaps highly probable), but I suspect the broader picture is to better compete with brick & mortar retail. Amazon while clearly still dominating the US ecommerce marketplace, has seen their prominent market position in the online market decrease (possibly threatened even) by competitors such as Wal-Mart.

It’s good to be King and all that, yet heavy weighs the crown.

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We are getting back into the local customer base for our core company, AC (After Covid) we see a lot on the road.

We see a lot of Amazon trucks on the road. I am convinced, quite a bit of inventory is on those trucks rather than in a warehouse. Thus “Distributed Mobil Inventory” just saying.

This from a environmentally centric company. :confused:

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Theatrical window dressing. Nothing about mail-order will ever be more environmentally friendly than well stocked B&M and solid distribution network (like Wal-Mart).

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Kind of a poor example … Wal-Mart fills out of stocks with “what ever” to give the illusion of a fully stocked store with the intent to sell you what they have on hand rather than what you might want. If you don’t buy what they have on hand, then you are driving around to find what you want (environmentally friend?).

Ok … most grocery stores are …

If you live in a rural community, buying online is probably more environmentally friendly as you save gas from driving a distance to drive around B&Ms to possibly find what you want at probably a higher price. For those in rural areas, buying online usually saves time, gas and money.

The parameters around environmentally friendly change with the environment one lives in.

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