Amazon Focuses on Delivering What Customers Need
Customer centricity is what Amazon is all about and the retailer knows a significant aspect of what its shoppers want is getting their products when they want them, in some cases on the same day.
According to the Seattle Post-Intelligencer, Amazon’s transportation director Mike Bhaskaran said the company was looking to expand its same-day delivery service beyond areas within New York City where it is currently offered.
Mr. Bhaskaran said the online merchant was looking to expand the service beyond New York “very soon” and ideally it would like to offer the delivery option “all over the country.” Right now, orders in New York that are received by 11:00 a.m. can be delivered to some parts of the city the same day. Costs vary based on what is being shipped.
An analyst with ThinkEquity Partners, Edward Weller, told the Post-Intelligencer that same-day delivery is a very small part of Amazon’s business. The company has continued to emphasize its Amazon Prime service where customers can receive second-day delivery of all orders throughout the year for a $79 fee.
Discussion Questions: Is speed of delivery a critical part of success in e-tailing? What do you see as the potential for same-day deliveries and what other markets do you think could support such a service should Amazon offer it?