When it comes to Same-Day Delivery right now, no big e-retailer is doing it better than Amazon. From year to year, the retail leader is aggressively expanding the service, which many experts foresee to go nationwide. Yet as large as Amazon is, when it comes to offering the free service in certain zip codes within its’ coverage areas, it wasn’t literally delivering in all of them and some Roxbury customers in Boston wanted to know why. Then, the allegations of race began to emerge.
Last month, it was found that service boundaries by Amazon excluded Roxbury, but included all of the areas around it. Amazon stated it had nothing to do with race, but other factors, such as the concentration of Prime members in each area, proximity to warehouses and the company’s ability to find delivery partners to serve that area. To diffuse all speculations, Amazon has now decided to adjust its’ delivery program.
Amazon has announced that it will provide free same-day delivery in every zip code within its’ service areas. The e-retailer made a statement obtained by the caucus and shared it with Bloomberg News, which said, “Very shortly, we will be expanding Prime Same Day Service to every zip code of the 27 cities where Prime Same Day delivery is currently launched. We will further not launch the service in any new regions, until we are able to secure a carrier for every zip code. We are still figuring out the details and procuring last mile delivery for each of these zips, but we should have 100 percent coverage shortly.”
It was mentioned in the article that US Representative George Kenneth Butterfield, a Democrat from North Carolina and chairman of the black caucus, said the group “is anticipating the results of Amazon’s plan to expand its delivery services to previously excluded zip codes.” Also, Illinois Congressman Bobby Rush called for an FTC investigation, in addition to speaking about the issue on the House of Representatives’ floor. Soon afterwards, Amazon pledged in a letter to Rush to serve Chicago’s South Side within weeks.
Amazon provides the service free to Prime members, which pay a $99 subscription cost per year. As same-day delivery grows, more and more Prime members have put a demand having it at their disposal. On a broader scale, same-day delivery is forecasted to reach $987 million by 2019. Therefore, Amazon, Google, Macy’s, and more have all opted in to develop a last-mile delivery model to increase revenue and market share.
With Amazon being more widespread with same-day delivery in more specific areas, it makes it all the more critical for e-retailers and prick-and-mortar stores to meet their online order fulfillment demand with a convenient service such as this. A Same-Day Courier like 1-800 Courier is a viable partner for any company to deliver their online items. With a nationwide footprint, the Indianapolis Courier is innovative and can develop sound same-day delivery solutions that best suits a retailer’s short and long-term needs.
Reference: 5.6.16, Bloomberg News, Spencer Soper, Amazon to Fill All Racial Gaps in Same-Day Delivery Service
