3 days ago

Amazon asks US sellers to fund faster sub-same-day delivery

Amazon asks sellers in US to pay up for faster delivery as it expands sub-same day service · livemint.com

Amazon wants some sellers to pay more for very fast delivery.

The sellers use Fulfillment by Amazon, which stores and ships their products.

Amazon asked selected sellers to submit bids for the Sub-Same Day program.

Customers may receive eligible orders in as little as two hours.

The service is available in 2,300 metropolitan areas.

Amazon says products in the program have had 12% higher sales on average.

Faster shipping may help a product stand out from similar products.

Sellers must decide whether the possible sales boost is worth the extra cost.

The exact amount sellers may need to pay was not given.

Key facts

Delivery speed: Eligible orders can arrive in as little as two hours.
Current reach: Sub-Same Day delivery is available across 2,300 metropolitan areas.
Seller selection: Selected sellers using Fulfillment by Amazon were asked to submit bids.
Reported sales effect: Amazon says participating products have experienced 12% higher sales on average than products using regular FBA.
Seller consideration: Merchants must compare potential sales gains with the additional cost of access.
Fulfillment model: Fulfillment by Amazon stores third-party inventory and handles picking, packing, and shipping.

livemint.com · 3 days ago