Fancy your own delivery business? Give Jeff Bezos a call
As global Ecommerce powerhouse Amazon continues to expand its retail empire at breakneck pace, it’s got a hurdle in front of it: finding enough delivery networks to guarantee its packages get where they’re meant to be on time. However, the company is prepared to jump it: in a recent statement, Amazon has pledged assistance for people who want to start their own delivery businesses.
Amazon’s share price has risen by 45% so far this year
SOURCE: Yahoo Finance
Amazon says that U.S. residents willing to strike out on their own and deliver Amazon’s packages across the country can expect a wide array of financial and operational support. Startup costs can be “as low as $10,000” and budding delivery specialists can get discounts on trucks, uniforms, fuel, insurance, and more.
This latest initiative isn’t the only one Amazon has been playing with. The company has looked at ways to expand its own delivery capacity with everything from leased cargo planes to drones. It’s also looking at ways it can update its supply chain, moving goods directly from merchants to customers without clogging up warehouses on the way.
This strategy is an attempt to gain control over the logistics of package delivery by relying less on services like the U.S. Postal Service, FedEx Corp., and United Parcel Services Inc. Ultimately, this could result in a service that lets Amazon make even more ambitious delivery promises somewhere down the line.
Amazon says that people who take it up on its offer could wind up earning as much as $300,000 in annual profit and operate fleets of up to 40 trucks. The company has promised not just support, but the guarantee of shipment delivery volume and access to “sophisticated delivery technology.”
Dave Clark, Amazon’s senior vice president of worldwide operations, summed up the situation, saying: “Customer demand is higher than ever and we have a need to build more capacity.”
Dominion holds Amazon in its Global Trends Ecommerce Fund.
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