Amazon’s newest Prime perk is same-day delivery from stores such as GNC and PacSun.
Why it matters: The added service demonstrates how much its consumer retail business has helped to fuel its enterprise e-commerce.
Catch up fast: Amazon announced today that Prime members in more than 10 cities including Atlanta, Chicago, Dallas, Seattle, and Washington, DC, can get items from Superdry, Diesel, and others delivered same-day for free.
- Important caveats: Qualifying purchases need to be $25 or more. And orders are placed through the Amazon app or on Amazon.com.
Context: Other retailers including Sephora and grocery chains have been using platforms such as Instacart or UberEats to get their goods to homes quickly.
- Coresight Research CEO Deborah Weinswig tells Axios that one Amazon advantage is that it can deliver a variety of goods in one trip.
The big picture: Heavy investments that Amazon has made in its logistics are paying off at a larger scale.
- “It’s taking an existing same-day delivery infrastructure and expanding it to other retailers,” Forrester principal analyst Sucharita Kodali tells Axios.
What to watch: The real appeal and benefits of same-day delivery to retailers and customers.
- While there has been massive funding for speedy delivery startups, customer demand isn’t there yet, says Kodali.
- On the other hand, Weinswig sees same-day delivery as being able to help customers make more sustainable decisions — such as buying one gallon of milk when they need it, versus six gallons that could go to waste.