Category Archives: Courier Service

Wal-Mart Keeps Up With Amazon, Launches Free Next-Day Shipping

same day deliveryWal-Mart isn’t sitting on the sidelines any longer, allowing Amazon to have all of the online increase and market share fun.  Wal-Mart has joined into the race to heavily invest into generating revenue for its’ web sales by creating a membership and shipping program of its’ own–and it appears to be working.

Wal-Mart Stores Inc. is hoping free shipping with two-day delivery will lure more shoppers to WalMart.com. Recently the worldwide retail leader announced that it will offer free 30-day trial memberships to its’ new ShippingPass pilot program.  The program launched last year mainly to compete Amazon and its’ Prime membership success.  Regarding price, ShippingPass does have Amazon beat at $49, which is half the price of Prime at $99.  Customers will be able to buy online items such as clothing, electronics, health products, and more via Walmart.com.  There will be a logo next to all products that are eligible for ShippingPass.

Fernando Madeira, president and CEO of Walmart.com, commented on the ShippingPass service.  “ShippingPass is about half the price of similar programs out there at just $49 a year, and customers who are using it, love it,” Madeira said.  However, Paula Rosenblum, managing partner at consulting and research firm RSR Research LLC, discussed how Wal-Mart may have some obstacles.  “Wal-Mart has a problem. Its sales are basically flat.  It is trying all different kinds of initiatives to drive customers to its site, and get them to buy repeatedly. One of the things it’s trying is basically Prime at half the price.  This sounds good on paper, but does miss out on some of the other benefits Prime members get, including content, e-books, and where available, free two-hour delivery,” stated Rosenblum.

Wal-Mart has begun to implement Same-Day Delivery to compete with Amazon’s free Prime service.  It recently announced that it will launch several same-day grocery delivery pilot programs in Denver, as well as another unidentified market this month.  The program will utilize Lyft and Uber ride-hailing services to perform the actual pick up and deliveries.  Same-day delivery requires close proximity store locations.  With over 3,400 Supercenters in the US, Wal-Mart stores can fulfill online orders and maintain low delivery fees.

The article also mentioned how CEO Doug McMillon wasn’t pleased with the retailer’s e-commerce growth.  Wal-Mart has only experienced a 7% year-over-year global growth.  Online retail as a whole has consistently increased over 15%, which shows why Wal-Mart has decided to dive into next-day shipping.  The new shipping method is the first step to shifting more traffic to WalMart.com and generating a higher percentage of the online retail sales that can clearly be seized.  If Wal-Mart doesn’t begin to compete online with Amazon, the robust retailer will continue to find itself, not so robust, when it comes to e-commerce.

Wal-Mart not only has rolled out next-day shipping, but also Same-Day Delivery to enable the retail leader to meet the same online demands as Amazon.  A pilot program for same-day grocery delivery was launched that past June in Denver, Colorado, as well as another unidentified market.  Uber and Lyft ride-hailing services is partnering with Wal-Mart to perform the actual pick up and deliveries within Denver and surrounding areas.  More than likely, Wal-Mart has plans to expanding the service to other major US cities.

They could partner with 1-800 Courier, which is a Same-Day Courier that can build same-day delivery solutions and consistently perform on-time deliveries.  The New Jersey Courier has extensive experience and expertise in last-mile deliveries within the northeast, as well as nationwide, and can help Wal-Mart’s ShippingPass grow.

Reference: 6.29.16, www.internetretailer.com, Matt Lindner, Wal-Mart offers a free trial of its Amazon Prime-like free shipping program

Will Staples Same-Day Delivery Work?

same day deliveryA variety of companies are getting involved with Same-Day Delivery, especially more brick-and-mortar retailers.  The latest to join in is well-known office supply retailer Staples.

Staples has officially launched “Staples Rush”, a new same-day delivery program within several major cities nationwide.  It is a store fulfillment initiative, aiming to drive an increase of online sales. The announcement comes after its’ denied merger with Office Depot, which would have given both retailers a large market share.  The strategy toward same-day delivery positions Staples for another innovative way to compete online with Amazon, Best Buy, Target and Google.  Staples’ initial roll-out will begin with parts of Boston, Dallas and Manhattan, followed by San Francisco, Los Angeles, Seattle, Houston, and Chicago.  The program will involve only product delivery, yet, copying and printing will be available in the coming months as well.

Executive vice president of supply chain and logistics Mike Bhaskaran, touted how Staples anticipates same-day delivery to positively impact it’s customer service.  “By offering a wholly-owned, same-day delivery experience, Staples is providing businesses the type of customer service they’ve come to expect from us throughout their entire transaction,” said Bhaskaran.  He went on to say, “The development process for Staples Rush is truly a collaborative and cross-functional effort that brought together different areas of expertise, including supply chain, eCommerce and merchandising, to create a valuable service for our customers.”

Faisal Masud, executive vice president of global eCommerce at Staples, also weighed in on how Staples Rush will translate into faster order fulfillment.  Faisal said, “Businesses want their online orders fulfilled faster than ever. Thanks to Staples’ unmatched omnichannel capabilities, which already include the ability to buy online and pickup in store, we will deliver the products customers need when they need them, so they can make more happen without having to wait on shipped orders.”  With the establishment of technology at a customer’s fingertips, the demand of more shopping convenience has grown.  Now, the retailer that doesn’t make the customer wait will potentially win.  This is the type of seamless omnichannel that brings success–just ask Amazon.

The e-retail leader has impressively created a sustainable same-day delivery program in 27 US cities, as well as the service is free for Prime members.  The most recent, an eleven city launch, which included Sacramento,Stockton, Fresno, Louisville, Raleigh, Cincinnati, Richmond, Tucson, Milwaukee, Nashville, and Charlotte.  These came in addition to the same-day delivery in the San Francisco Bay Area, San Diego, Seattle-Tacoma, Dallas-Fort Worth, Phoenix, Indianapolis,  Tampa Bay, Baltimore, Washington DC, New York, Philadelphia, Chicago, Atlanta, and Orlando.  More than likely, Amazon will go nationwide, which speaks to the validity of same-day delivery evolving into more than simply a trend.

Staples is on its’ way to creating its’ own same-day delivery model, yet the question is will it work?  Of all of the components that will bring success with last-mile deliveries, one of the keys is close proximity warehousing, which Staples possesses.  Just as Macy’s, and other recent newcomers retail stores such as Best Buy, Staples has hundreds of store locations that will be used as online order fulfillment centers.  Same-day delivery is made profitable primarily by volume and distance.  Now, Staples could partner with a Same-Day Courier like 1-800 Courier to create a sound same-day delivery logistics solution that will meet the retailer’s needs.

The Dallas Courier has a national footprint and the courier expertise to not only assist start-up pilot same-day delivery programs, but also the ability to quickly adjust and expand with it.  Staples needs an established delivery company, experienced on how to make the service work.  In the upcoming months, Staples can begin to aggressively compete online, especially before the holiday season comes.

Reference: 6.15.16, www.pymnts.com, Staples Jumps Into Same-Day Delivery

Fast Delivery Driving Demand for Prime Warehouse Space

Courier ServiceIf it were possible to engage order fulfillment from a distance, then retailers would do it.  However, there is no way around having close proxy warehousing if Same-Day Delivery is going to become a staple service within your online business.  Amazon established fulfillment distribution centers strategically across the US and now providing efficient last-mile deliveries is quite easy.  Many big name retailers are aggressively pursuing to follow the same blueprint, and as a result, warehouse space demand is rapidly increasing.

Retail Dive via Bloomberg recently reported that online retail is now accounting for 20% of warehouse space.  This means that there is a more intensive effort to grow online, not just within a retailer’s physical store locations.  Also, more start-up, web-based retailers are experiencing growth, which online retail has consistently increased in recent years.  It has been forecasted that online retail would reach $500 billion by 2018.  Therefore, the warehouse space usage is in line with the numbers and shoppers are more comfortable with buying online.

The article mentioned that the renting of prime warehouse space in the US rose 9.9% last year.  It pointed out six markets that were among the nine with the biggest increases globally.  Real-estate brokerage firm CBRE conducted the research and found that Oakland, California topped the list with 29.8%, which was seen also in Northern New Jersey.  These are areas where strategic warehousing is becoming a hot commodity.

David Egan, CBRE’s head of industrial and logistics research for the Americas, discussed warehousing and the benefits of it with the Wall Street Journal earlier this month, “There are huge premiums being placed right now on being close to the consumer—speed of service, speed of delivery is a critical component of why people choose to buy from one retailer over another.  To get the goods to consumers fast, you have to get close to them.” The closer the retailer, the better their service can be geared and the greater the options can be.  With inventory a few miles away, retailers can replenish stores, correct error shipments and more, even offer same-day delivery.

This is exactly what Amazon has done with their order fulfillment centers and now have 27 major cities in which it provides same-day delivery to Prime members–for free.  Eleven of those cities were established this year, including Sacramento, Stockton, Fresno, Louisville, Tucson, Milwaukee, Nashville, Charlotte, Cincinnati, Richmond, and Raleigh.  To offer this type of fast delivery for free, it was essential to have an optimal warehousing system in place.

Others will have to do the same if they want to thrive with a same-day delivery service model.  Effective warehousing must be coupled with an effective delivery operation also.  A Same-Day Courier like 1-800Courier is a viable option for retailers to partner with and establish on-time deliveries after they secure their warehouse space.  The New York Courier has the courier expertise to develop sound same-day solutions, as shoppers and online retail itself begins to demand more from them.

Reference: 5.25.16, www.retaildive.com, Daphne Howland, Report: E-commerce growth driving rush for warehouse space

Like Best Buy, Wal-Mart Dives Into Same-Day Delivery Pilot Program

same day deliveryAmazon’s fast pace of growth online has compelled more and more retailers to stay close, or get left behind.  Even the largest ones have taken note at Amazon’s position strategy to use Same-Day Delivery to capture and turn more shoppers toward buying from them online.  Best Buy did earlier this year; now, the world’s retail leader Wal-Mart has announced it is going to do the same.

Wal-Mart has officially announced that it is rolling out several same-day grocery delivery pilot programs, starting in Denver and another unidentified market this month.  It has partner with ride-hailing services Uber and Lyft to perform the actual deliveries.  The retailer  has been testing same-day grocery delivery in San Jose.  The Walmart, as well as the Sam’s Club pilot program, will cost customers a $7-$10 delivery fee, which can be purchased once they choose “same-day delivery” at online checkout.

The article mentioned that Wal-Mart also partnered with start-up delivery company Deliv to pilot a same-day delivery program at several Miami Sam’s Club stores. Deliv founder and CEO Daphne Carmeli commented in the report, “We got a call from Walmart and are pretty excited to be working with the biggest retailer in the world.  It’s amazing the effect the ‘A-word,’ Amazon, is having on the e-commerce landscape.  They have created a customer expectation of same-day delivery. It’s the new standard. If you’re selling physical goods to customers you’ve got to figure out a way to get them to customers as quickly as possible.”

Although in a different industry, a few months ago another major retailer began testing its’ own same-day delivery.  Best Buy announced in April it was launching a pilot program for the service in 13 more major metropolitan markets throughout the US.  Last year, Best Buy started testing the service in San Francisco, Washington DC and New York.  The consumer electronics industry is forecasted to go up to over $85 billion this year in US sales, and Best Buy is positioning itself to capture the majority of those sales, not Amazon.  Wal-Mart has tapped into same-day delivery so it can keep its’ physical store leverage and do the same–just with groceries.  More same-day for general merchandise may be to come.

Best Buy and Wal-Mart have Deliv in common.  The crowdsource-based delivery company partnered with Best Buy, and now Sam’s Club since March.  Best Buy has over 400 stores nationwide, which makes it easy to fulfill online orders via store locations instead of traditional warehousing.  Wal-Mart, on the other hand, has over 3,400 stores in the US–and that’s just Supercenters.  With this type of reach and volume that the retail leader has, it won’t be difficult to create a successful same-day delivery program.  It will only be a matter of can Lyft and Uber literally deliver.

A Same-Day Courier like 1-800 Courier is a delivery provider with a national footprint that utilizes a courier-based approach, servicing over 1,500 companies.  The Denver Courier has the courier expertise and technology to effectively establish a variety of same-day solutions, tailored specifically to the web-based or brick-and-mortar retailer.  1-800 Courier is a trusted on-stop source and leader for same-day delivery that retailers can turn to as online business begins to substantially rise in the years to come.

Reference: 6.3.16, www.retailingtoday.com,Dan Bethiaume, Wal-Mart taking on Amazon with same-day delivery pilot

Warehousing Becoming Key for Same-Day Delivery and Online Retail

same day deliveryIt takes a strong, complete supply chain for retailers get their product into their customers’ hands, especially when it comes to offering Same-Day Delivery.  Every aspect is critical to not only launching a prime service as this, but having the right systems in place to maintain it.  What strategy is being made known now is that warehousing within the supply chain channel is currently a valuable commodity.

Warehousing is becoming the bedrock of online retail because of same-day delivery and its’ impact.  The industry is accounting for 20% of warehouse space, according to Retail Dive via Bloomberg.  When the expected growth of online retail itself is accounted for, which is $500 billion by 2018, e-commerce is going to cause warehousing operations to not only thrive, but become even more sophisticated.

The article mentioned that the renting of prime warehouse space rose 9.9% in the US last year.  There were  six US markets among the nine total that had the biggest increases worldwide–Oakland being the highest at 29.8%, and it was also seen in Northern New Jersey, according to real-estate brokerage firm CBRE.

CBRE’s head of industrial and logistics research for the Americas, David Egan, told the Wall Street Journal earlier this month, “There are huge premiums being placed right now on being close to the consumer—speed of service, speed of delivery is a critical component of why people choose to buy from one retailer over another.  To get the goods to consumers fast, you have to get close to them.” Close-proximity warehousing adds value to retailers, especially with replacement deliveries, error shipments and even routing services for business-to-business customers.

Warehousing has been what Amazon already had envisioned years ago before same-day delivery became in such a high demand.  The e-retail leader strategically planted multiple order fulfillment centers in close proximity to major US cities, prepping it for the boom in e-commerce to come.  Now, last-mile deliveries have become almost effortless for Amazon, establishing 27 major US city markets in which it provides free same-day delivery.  Eleven of them were added this year, which included Sacramento, Stockton, Charlotte, Cincinnati, Fresno, Louisville, Tucson, Milwaukee, Nashville, Raleigh, and Richmond. The nationwide same-day delivery coverage is inevitable by Amazon, and other nationwide retailers are aggressively in pursuit.

Because of the entrance of same-day delivery, e-retailers and brick-and-mortar stores won’t be able to keep pace with the traditional, centrally-located warehousing systems.  E-commerce has created a market at the fingertip of shoppers and online fulfillment must be just as close. Even the emergence of tablets, smartphones and tech gadgets has resulted in convenience, as well as a heightened retail competition. Price is not the only thing that matters.  Shoppers want service.

Once the warehousing is in place, it is of matter of who can get their product consistently in the hands of customers on time. Physical store and web-based retailers Same-Day Courier like 1-800 Courier to fulfill online order deliveries from their warehouses.  The Sacramento Courier has the courier expertise and technology to develop an optimal same-day solution, whether locally or nationwide. Just like Amazon, retailers can build a same-day delivery program customers trust and will remain loyal to buy from them.

Reference: 5.25.16, www.retaildive.com,Daphne Howland, Report: E-commerce growth driving rush for warehouse space

Shopify Partners with Postmates For Same-Day Delivery

same day deliveryWhen a retailer decides to dive into Same-Day Delivery, among the first things they consider is what delivery company can they trust.  Once a fast service like this is tested and implemented, reliability and consistently is the key to avoid any breakdowns.  Same-day delivery is just what it is–an online purchase brought to a shopper’s front door as fast as they ordered it.  The delivery demand and expectations are high for both the retailer and the end customer.  Error and late deliveries can cause loyal customers to turn somewhere else for their online orders.

Shopify has decided to jump into the same-day delivery race and has chosen its’ partner to help establish itself as a competitor within the industry.  The storefront software provider has partnered with Postmates to offer asame-day delivery in around 200 cities nationwide.  This is an enormous amount of cities to implement at once, however, they are all within Postmates’ current coverage areas.  The delivery company also mentioned that it has plans to expand, even moving beyond the US borders into Europe, starting in the United Kingdom.

In a recent blog by Shopify, The company will enable its’ thousands of merchant customers to offer to their end customers same-day delivery within as little as an hour.  Many big name retailers that provide same-day delivery, have this high-level option available also, namely Amazon’s Prime Now.  This position Shopify merchants to compete for the online business segment that needs their items quickly.  It is a convenient service to be able to offer and more shoppers have become very comfortable with it.

Online retail is forecasted to reach  $500 billion by 2018.  Same-day delivery is expected to reach $987 million by 2019 as well.  This equates to companies like Google, Amazon, BestBuy, Target, Macy’s, Whole Foods, Ace Hardware, UPS, and more are involved at some level of same-day delivery to capitalize on the growing online market.  For example, Amazon added 11 more major US cities to its’ current same-day delivery program, which is free for Prime members.  Sacramento, Stockton, Cincinnati, Fresno, Louisville, Tucson, Milwaukee, Nashville, Raleigh, Richmond, and Charlotte are among that number and it is likely going to increase by year’s end.   The largest e-retailer has 27 total cities now, with it becoming a nationwide program at the door.

Shopify and Postmates have both been aggressive at gaining ground with same-day delivery.  To attract its’ merchants into pushing the service, Shopify offered $50 in free Postmates deliveries through May 3rd and 5th last week.  The e-commerce provider gains more than 100,000 e-retail clients per year, and with these high numbers, Shopify should be very competitive within the market quickly.  On the other hand Postmates has decided to compete with Amazon and offer a subscription membership program itself.

Postmates Plus unlimited gives subscribers free same-day delivery for all orders of $30 or more for $9.99 per month.  Postmates has customers that include some 3,000 stores and services in the US.  A Same-Day Courier like 1-800 Courier is a viable partner for nationwide retailers that need a reliable delivery provider that can develop sound same-day solutions.  The Dallas Courier has hundreds of partners that it successfully executes same-day delivery programs for and helps their online business grow.

Reference: 5.3.16, www.shopify.com, Shawn French, Now Shopify Merchants Can Offer Their Customers Same-day Delivery Through Postmates

Amazon Goes Free Same-Day Delivery With All Service Zip Codes

Same Day DeliveryWhen 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

Will Wal-Mart and Target Go Same-Day For Online Baby Goods?

same day deliveryOnline retail is a rapidly growing market for all types of goods, including baby goods.  Amazon appears to have a firm grip within the market.  However, retail leaders Wal-Mart and Target are competing against the e-retailer.

Internet Retailer recently reported that the baby products category has the highest penetration of sales online, and 75% of those sales occur on Amazon.com, Walmart.com and Target.com.  Consumer research firm TABS Analytics showed in a new study that e-commerce accounts for 20% of all sales within the baby products market, which is currently at $30 billion per year.  This outstrips the 2% penetration for all consumer packaged goods.  The study also shows that 18%-24% of baby products purchases occur online.  That means that Amazon/Diapers.com represents an impressive 43% of the baby products market online.  Wal-Mart’s represents 23%, Target’s is at 18% and all other e-commerce players equated to roughly 12% of the market.

“Online sales of baby products are out-competing all other segments of consumer packaged goods that we have surveyed over the last three years,” said TABS Analytics CEO Kurt Jetta in the article.  “Brick-and-mortar retailers with e-commerce aspirations should treat baby product sales as the frontline of their battle for online success.”  This means that this market has a high potential to generate revenue for all three retailers, and it may be worth doing with it takes to capture more of it, even with offering more Same-Day Delivery to attract consumers.  With baby goods having the types of sales that it has, one reason Amazon probably has an edge in sales is because of its’ vast same-day delivery program.

Indeed, Amazon has a huge footprint in this market online.  The article mentioned that 75% of the $6 billion in baby products purchased online occur on e-commerce sites run by Amazon.com.  This amount falls within a $30 billion total in the market from all offline and online purchases.  Also, Amazon with it’s subsidiary Diapers.com, comprises 7.3%-10.6% of all baby products purchases in the US.  Walmart.com accounts for 3.7%-5.8% of purchases and Target.com, 3.3%-4.3%.

The question is will Wal-Mart and Target Baby go deeper into same-day delivery?  Baby goods are just one of those lines of products that are needed on a frequent basis.  More and more consumers have become comfortable with shopping online as well.  Wal-Mart has same-day delivery in some major US cities and Target works with Google Express providing same-day delivery.

It would make sense for both retailers to jump aboard with Amazon and expand the service.  Amazon announced earlier this year that it added 11 more major US cities to its’ current free same-day delivery program.  The new additional US cities include Sacramento, Stockton, Charlotte, Cincinnati, Fresno, Louisville, Raleigh, Richmond, Tucson, Milwaukee, and Nashville.  Now, the e-retailer leader has 27 total markets where they offer same-day delivery program.

When companies like Amazon, Wal-Mart and Target seek after implementing same-day delivery, they partner with a Same-Day Courier like 1-800 Courier to create an effective delivery solution.  The Seattle Courier has a national footprint, enabling it to be a delivery provider on a large scale and can expand from city to city.

Reference: 4.20.16, www.internetretailer.com, Stefany Zaroban, Amazon, Target and Wal-Mart battle for online sales of baby goods

Prime Members Asking Why No Same-Day Delivery in Roxbury?

Boston skylineWith the way Amazon is stretching itself to cover the US with Same-Day Delivery, you wouldn’t consider that they may be an area that the retailer wouldn’t service.  Some cities that are not in close proximity in distance to major ones, you would understand why the service isn’t being offered there.  Yet, there is one city that Prime subscribers are very inquisitive regarding why same-day delivery isn’t in their town.

The Boston Globe reported how Amazon is offers same-day delivery in every Boston neighborhood except Roxbury.  One of the findings by Bloomberg compared US census data showing that minority neighborhoods in several cities have not been included to offer same-day delivery there.  It stated that Roxbury is 59% African-American and is the “most striking gap” found from the data.  Amazon’s service stretches from Boston city limits to many suburbs and nearby communities, but not Roxbury.

The article mentioned that Amazon told Bloomberg that Roxbury’s circumstance is “an anomaly”.  There are no demographics that play a role in deciding where it delivers same-day.  In fact, Amazon gave Mattapan as a example, which is 85% African-American, as well as nearby majority-minority communities like Lawrence and Chelsea.  This means there could be other factors weighing in on Amazon city selections.

“Yet in cities where most of those paying members are concentrated in predominantly white parts of town, a solely data-driven calculation that looks at numbers instead of people can reinforce long-entrenched inequality in access to retail services,” said the Bloomberg writers. Amazon spokesman Scott Stanzel said in a statement, “We will continue expanding our delivery capabilities and are adding more zip codes rapidly”.  Either way, it appears Roxbury Prime members want same-day delivery, and we will see if the city is added.

One of Amazon’s big electronic competitors, Best Buy, recently made headlines by announcing it will be expanding its’ current same-day delivery testing into 13 major metropolitan markets throughout the US.   Last year, Best Buy rolled out testing in San Francisco and its’ surrounding areas, in addition to Washington DC and New York.  Best Buy is the leader in consumer electronics, but the move to engage in same-day services is being driven in part due to Amazon.  With so much access by customers for convenience, as well as a dependable e-retailer like Amazon, it is clear that Best Buy had to meet customer demand and provide a fast delivery option as well.

Online retail is projected to reach $500 billion by 2018, as well as same-day delivery to climb to $987 million by 2019.  It makes sense why Amazon is moving at such as fast pace with same-day delivery and its’ competitors will have to get on board with the trendy service option, or get left behind..  A Same-Day Courier like 1-800 Courier is who retailers like Amazon, Best Buy and others are partnering with to implement a same-day delivery program that meets their online needs.  The Boston Courier has the ability to provide nationwide coverage, which large businesses are looking for.

Reference: 4.22.16, www.boston.com, Trefis Team, Adam Vaccaro and Allison Pohle, Amazon offers same-day delivery to every Boston neighborhood, except Roxbury

Best Buy Competing With Amazon, Expands Same-Day Delivery Testing

same day deliveryIn light of how Amazon is making several expansions to its’ free Same-Day Delivery program, retailers are going to jump on board with the service in order to keep pace.  Best Buy saw this is what had to be done, and last year, it began a long-term plan to implement same-day delivery with rolling out service tests in San Francisco and its’ surrounding areas, in addition to Washington DC and New York.  Now the testing phase is out of the way in that area, BestBuy’s latest announcement makes a bold statement that it is ready to test same-day delivery even more and eventually take on Amazon.

Forbes.com recently reported that Best Buy has announced that it is expanding its’ testing of same-day delivery to 13 major metropolitan markets nationwide. The article stated per Best Buy, the same day delivery initiative is part of its’ ongoing commitment to improve the in-store and online shopping experience.  There is a heavier focus on online initiatives, as same-day delivery adds a level of convenience that a segment of customers are demanding that have become comfortable with online shopping.  It is also becoming more and more attractive for retailers to use the service as a way to drive traffic to their sites, as well as increase physical store traffic.

The electronic retailer has teamed up with start-up delivery company Deliv to handle the actual deliveries.  Deliv’s service is based on a crowdsourcing approach to pick up and deliver online purchases directly from BestBuy stores; they act as warehouses for Deliv to quickly fulfill online orders.  BestBuy has over 400 stores in a variety of major US cities nationwide, which positions the retailer distance-wise to provide same-day delivery on a mass scale.  With 13 metropolitan city markets to begin with, more than likely, there will be plenty more to come, especially during the holiday season.

Amazon isn’t the only driver behind Best Buy’s pursuit to increase revenue.  Forbes stated that consumer electronics has the highest online sales percentage in US retail.  According the eMarketer, computer and consumer electronics revenue from online retail sales in the US will exceed $85 billion this year.  It will also grow to over $100 billion in 2018, making it the maximum revenue generated by any US retail product category.  These figures will result in seeing more same-day delivery from Best Buy, being that it is the largest consumer electronics retailer in the US.

Trends are favoring that same-day delivery is going to continue to play a huge role in online retail.  Not only is Best Buy and Amazon engaged in last-mile deliveries, Google, Macy’s, Nordstrom’s, Whole Foods, and more are also.  A Same-Day Courier like 1-800 Courier is a viable partner for any retailer seeking to stay current with e-commerce and increase online sales.  The Washington DC Courier has a nationwide footprint and can help big companies like Best Buy thrive with same-day delivery.

Reference: 4.13.16, www.forbes.com, Trefis Team, Same Day Delivery: Best Buy’s Plan to Take On Amazon?