Amazon Rolls Out Ultrafast Delivery

Hot and ready // Illustration by Kate Walker

Amazon is planning an ultrafast delivery option that would get “everyday essentials” to your doorstep in 30 minutes or less after hitting “order now.”

Why It Hits: Ultrafast delivery is a tough nut to crack. During the pandemic, startups like Gopuff, Gorillas, Getir, and Fridge No More all tried it… but were all met with financial and logistical struggles. Only Gopuff has survived, but it’s halved its valuation in recent years. Still, Amazon thinks it has the infrastructure to make it work and has been testing the service in the UK (with Gopuff), Mexico (with Rappi), and Saudi Arabia and India (all by itself).

Between The Deliveries: Can Amazon get you your package as quickly as a local hot pizza?

  • The service would focus on its “everyday essentials” category, which includes household items, prepared food, and packaged snacks. It’s already talking with brands to see which items they can provide for the offering.

  • Amazon will operate the service from “small, specialized, convenience store–style fulfillment centers,” per The Information. It’s also looking to either build or renovate centers in Seattle, Philadelphia, and Fort Worth to start.

  • The company is already recruiting for ultrafast-delivery workers, which we can only assume will need to include some Olympic runners and former getaway drivers.

Last Mile: Everyday essentials have become a critical business for Amazon’s e-commerce arm. Even though they’re typically “low margin and some even unprofitable” for Amazon to offer, sales have doubled this year and kept shoppers coming back to the platform. It’s a similar finding when it comes to shoppers who buy their fresh groceries from Amazon — they visit the site twice as often as the average shopper. No wonder Amazon is also beefing up its same-day grocery-delivery service.

Next Shipment: Last-minute Christmas shopping for relatives can soon really come down to the wire.

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Today’s email was written by David Vendrell.
Edited by Nick Comney. Polled and Copy-edited by Kait Cunniff.
Published by Darline Salazar.

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