Amazon Introduces Ultra-Fast 30-Minute Delivery in Numerous U.S. Cities
Amazon is stepping up the pace in the delivery wars with the nationwide rollout of “Amazon Now”, an ultra-fast service promising to deliver thousands of items in 30 minutes or less. The company announced on Tuesday that the service is now broadly accessible in dozens of major U.S. cities.
Following successful pilot testing in Seattle and Philadelphia in December, Amazon Now has made its debut in Atlanta, Dallas-Fort Worth, Philadelphia, and Seattle. Rapid expansion is currently underway in Austin, Denver, Houston, Minneapolis, Oklahoma City, Orlando, and Phoenix. The company aims to serve tens of millions of customers by the end of the year.
The service provides thousands of items including fresh groceries, household essentials, electronics, and locally relevant products. Eligible items are marked with “30-minute delivery” banners on the Amazon app and website. Prime members are charged a mere $3.99 per order, compared to $13.99 for non-Prime members, with additional small order fees for purchases under $15.
Amazon Now operates through a network of micro-fulfillment centers ranging from 5,000 to 10,000 square feet, strategically located closer to customers than traditional warehouses. The service relies on Amazon’s Flex drivers who make deliveries using their own vehicles, and is available 24 hours a day in most areas.
This move positions Amazon in direct competition with DoorDash, Uber Eats, and Instacart in the quick-commerce space, while challenging Walmart’s claim of being able to deliver to 95% of American households in under three hours. In Houston, Amazon reported its fastest delivery time of just eight minutes.
Source: CNBC