Amazon to Increase Same-Day Delivery Warehouses—Hinting at Plan to Overtake Competitors With Faster Deliveries

This effort hints that Amazon wants to beat competitors when it comes to fast deliveries.

Amazon's same-delivery delivery warehouses will be expanded as part of the e-commerce giant's efforts to strengthen its power in the consumer industry.

This initiative hints that Amazon.com Inc. wants to overtake competitors, such as Target when it comes to faster delivery services.

Amazon to Increase Same-Day Delivery Warehouses

Amazon to Increase Same-Day Delivery Warehouses—Hinting Its Plan to Overtake Competitors in Faster Deliveries
The Amazon website is seen on December 5, 2017 in Dandenong, Australia. Amazon has ended months of speculation by launching its local website overnight. The online retail giant has started taking orders and shipping products from its 'fulfilment centre' in Dandenong South. Quinn Rooney/Getty Images

According to Forbes' latest report, the giant retailer already offers its same-day delivery service in 90 metropolitan areas. This just shows that the delivery competition in the consumer market is getting more serious.

Because of this, Amazon said it will double the number of its warehouses, which will specifically focus on same-day deliveries.

These smaller warehouses will be closer to customers, unlike the traditional Amazon fulfillment centers.

"As we make these changes, we are seeing that they have the added benefit of reducing costs," said Worldwide Amazon Stores CEO Doug Herrington via Tech Crunch.

"Regionalizing our network reduces miles traveled and handoffs," he added.

Amazon Same-Day Delivery Effort's Other Details

Amazon to Increase Same-Day Delivery Warehouses—Hinting Its Plan to Overtake Competitors in Faster Deliveries
A worker loads a truck with packages at an Amazon packaging center on November 28, 2019 in Brieselang, Germany. Amazon is anticipating a strong holiday season and has hired extra workers at its packaging center across Germany. Meanwhile workers at some of the centers, though not at Brieselang, have announced strikes to further their demands for better pay. Sean Gallup/Getty Images

Herrington shared more specific details about Amazon's same-day delivery expansion. The official said that since the start of 2023, the retailer was able to reduce the distance between its facilities and customers by 15%.

He added that Amazon now has 12% fewer touchpoints within the middle mile network.

Herrington further stated that improving product placements allow the e-commerce giant to make items and customers closer to each other.

Thanks to this, Amazon's delivery system is becoming more effective. Herrington also explained that the same-day delivery service of the retailer is important.

This is because this service is not only the fastest way to deliver Amazon products, but it is also considered one of the cheapest ways to get consumer products delivered.

The latest same-day delivery expansion initiative is a big deal for Amazon, especially since the items that its consumers purchased reached over 370 million during the recent Prime Day.

This is much higher compared to the achievement made by Amazon in 2022 with its two-day sale, which only sold 300 million items.

If you want to learn more about the latest effort of Amazon, you can click this link.

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