Supply Chain Dive: Amazon To Return To 1-Day Delivery With Capacity Expansion

(Image source: Supply Chain Dive)
The pandemic posed a challenge to e-commerce businesses as they struggled to maintain standard delivery expectations. In 2020, Amazon scaled up its fulfillment and logistics network by 50% in an attempt to secure the return of one-day shipping in some areas.
The capacity expansion gives Amazon more control over shipping speed since most of the packages are delivered through its internal network: Amazon Logistics. The upgrade frees Amazon from relying on their third-party transportation partners, who are also overwhelmed by high demand for shipment. However, they did not deny the importance of the partners like the U.S Postal Service.
In the last Quarter of 2020, the investment of Amazon for logistics rose by over 50%. With the increase in capacity, the e-commerce giant would need to expand its manpower.
“We welcomed nearly 175,000 new full and part-time employees in Q4 alone,” Olsavsky said.
Amazon wasn’t the only one whose transportation network was affected by Covid-19. In 2019, there were 3 major retailers that offered one-day shipping. It is down to none in 2020, according to the study on 116 retailers by Accenture.
Source: Amazon says fulfillment, logistics expansion will help it return to 1-day delivery
For more exclusive reports, insights, and interviews on the latest updates in e-commerce and logistics, follow us on LinkedIn or join our community as a member.
Also worth your time
Track your parcel here
Event Highlights
North America
Logistics & Supply Chain
ProMat 2023
Mar 20 - 23, 2023 | McCormick Place
Oceania
Retail & E-Commerce
All Star Bash
Mar 16, 2023 | Melbourne
Middle East
Logistics & Supply Chain
Materials Handling Saudi Arabia
Mar 03, 2023 | Jeddah, KSA
North America
Logistics & Supply Chain
LINK2023 Retail Supply Chain Conference
Feb 19 - 22, 2023 | Gaylord Palms Resort and Convention Center
North America
Logistics & Supply Chain
Manifest 2023
Jan 31 - Feb 03, 2023 | Caesars Forum, Las Vegas
More discoveries
Business Wire: Convoy Strategically Expands Alliance with MercuryGate
Jul 01, 2022
TechCrunch: Pinterest Elects Google Exec, Bill Ready, as New CEO
Jun 30, 2022
Tech in Asia: Zomato Signs Acquisition Deal with Blinkit for $578M
Jun 29, 2022
Supply Chain Quarterly: Walmart Inducts High-Tech Tablets in Freight Trucks
Jun 28, 2022
State of E-Commerce in Germany 2021
Jun 28, 2022
Guest Post: 5 Effective Ways Technology Enhances Customer Retention
Jun 27, 2022
Alcott Global Podcast: Supply Chain Tech is Here to Stay
Jun 27, 2022
Business Wire: Shipbob Appoints Kamal Sundar As New Supply Chain Leader
Jun 24, 2022
Guest Post: Ultimate E-Commerce Strategies for the Summer Season
Jun 24, 2022
Guest Post: 9 Important Practices for Proper Inventory Management for Startups
Jun 23, 2022
Logistics Management: Fedex and Fourkites Join Forces for New Supply Chain Capabilities
Jun 23, 2022
Retail Dive: Simon Pilots Innovative Search Tool for Shoppers
Jun 22, 2022
Top E-Commerce Trends to Watch this Summer
Jun 21, 2022
Your Story: Delhivery Introduces Same-Day Deliveries for D2C Companies
Jun 21, 2022
Guest Post: Artificial Intelligence in E-Commerce: What’s Next
Jun 21, 2022
Guest Post: How Digital Marketing & Advertising Can Help Grow Your eCommerce Business
Jun 20, 2022
Funding Roundup: New Funds Secured by Zoovu, Cartlow, Khazenly and Others
Jun 17, 2022
Guest Post: 11 Ways to Optimize Your Online Store for Better Conversions
Jun 17, 2022
Apex Insight: Doddle Rolls Out Automated Returns Kiosks
Jun 17, 2022
Unpacking Returns Management in E-Commerce
Jun 17, 2022
Interview with Wilfred Lam: Omnichannel Logistics at LUXASIA
Jun 16, 2022
Fashion Network: Pimberly Strengthens Board with New Member, Dr. Beatrice Lafon
Jun 16, 2022
Yahoo News: Amazon Sets to Launch Prime Air Drone Deliveries
Jun 15, 2022
Pandaily: Alibaba.com Introduces New Cross-Border Trade Platform
Jun 14, 2022
An Introduction to Returns Management in E-Commerce
Jun 14, 2022