Amazon’s latest Prime perk is same-day delivery from stores like GNC and PacSun.
Why it matters: The added service shows how much its consumer retail business has contributed to its businesses’ e-commerce.
Fast overtaking: Amazon today announced that Prime members in more than 10 cities, including Atlanta, Chicago, Dallas, Seattle and Washington, DC, can get items from Superdry, Diesel and others free same-day delivery.
- Important Notes: Qualifying purchases must be $25 or more. And orders are placed through the Amazon app or on Amazon.com.
context: Other retailers, including Sephora and supermarket chains, use platforms like Instacart or UberEats to get their goods home quickly.
- Coresight Research CEO Deborah Weinswig tells Axios that an Amazon advantage is that it can deliver a variety of goods in one trip.
The big picture: Amazon’s heavy investments in its logistics are paying off on a larger scale.
- “It’s taking an existing same-day delivery infrastructure and extending it to other retailers,” Forrester chief analyst Sucharita Kodali told Axios.
What to watch: The real appeal and benefits of same day delivery for retailers and customers.
- While there has been massive funding for fast delivery startups, there is no customer demand yet, Kodali says.
- On the other hand, Weinswig sees same-day delivery as an opportunity to help customers make more sustainable decisions, such as buying one gallon of milk when they need it, rather than six gallons that can go to waste.