Amazon is set to disrupt the delivery systems in the UK by rolling out its “Shipping with Amazon” service. This will involve Amazon delivery vans collecting parcels from seller warehouses and delivering directly to buyers addresses – seven days a week. This is currently one of the ways in which Amazon trounces the competition – neither Royal Mail nor existing couriers deliver on Sundays, and many couriers charge extra for Saturday deliveries. With the capacity to both pick up and deliver every day including weekends, the new Amazon service would certainly shake up the other systems. Amazon already offer a wide choice to consumers – delivery to home or work places, in lockers, to a parcel shop etc, and they are experimenting with other innovative options such as leaving parcels in car boots and delivering by drones. They already have a well-integrated system of delivery, and this would be fairly straightforward to scale up. The most obvious target is online sellers who currently warehouse themselves but would be interested in a competitively priced courier offering a premium service and options such as real time tracking for the buyer. After that one imagines that Amazon will be eying up deliveries from eBay sellers – would eBay add Amazon shipping into their courier options? To some extent the new Amazon delivery service seems inevitable – they already have much of the infrastructure in place and it’s a logical next step to compete with existing couriers and the Royal Mail. Amazon also have European operations in place – it’s worth remembering that Hermes started out as a delivery service for German marketplace OTTO and has grown to become a major player not just in the UK but throughout Europe.
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