Latest news with #smallTowns
Daily Mail
27-06-2025
- Business
- Daily Mail
Amazon announces major prime membership change
Amazon is planning to expand its same-day and next-day delivery to over 4,000 small cities, towns, and rural communities in the US. Thousands of its 200+ million Prime members will have the pleasure of having this benefit by the end of the year. 'The money saving is important, but for many rural customers, the more critical dynamic is the time saved by using Amazon. The expanded choice that Amazon offers is also very appealing to shoppers who are miles away from big malls and stores,' GlobalData retail expert Neil Saunders told 'For Amazon, rural gains are an important part of driving Prime penetration. And the business is confident it can service this profitably by adapting existing rural delivery stations into hybrid hubs which store inventory Amazon's algorithms know will be popular in the area.' Shoppers interested in trying out the platform can do so for $14.99 a month or $139 a year. The project announcement comes after Amazon made the decision to expand its Prime Day sales event to four days from two. The company had already been the topic of conversation during the rise of inflation and fears of recession after CEO Andy Jassy warned shoppers tariffs potentially rising prices. While Amazon's net sales skyrocketed to $155.7 billion this quarter, the company has been slammed by its employees and Prime members. Shoppers claimed they would cancel their memberships last year after finding out the company was axing its Amazon Today service. Prior to its removal, it was a popular perk that provided same-day delivery from select stores in the customers' neighborhoods. Members also canceled accounts after finding out its streaming service started rolling out more advertisements across its TV shows and films. The company didn't stop there with its prime perk change-ups and infuriated customers even more by raising the price of its Amazon Music Unlimited ad-free subscription program. Besides its member benefit terminations, fans have begun turning their backs on Amazon after Jassy issued a warning of brutal workforce cuts. It is unclear when the layoffs will begin and how many jobs will be axed, but Jassy revealed the cuts were the result of the company's increase in artificial intelligence. The company is keeping itself busy by preparing for Prime Day, recently warning its members about increases in cyber scams It's also exploring the idea of creating its own currency, an idea that could save the company and retailers like Walmart and Target billions of dollars. Amazon is expecting to make between $159 billion and $164 billion during its second quarter, along with a $13 billion to $17.5 billion operating income. The company will release its second quarter results on July 31 after the market closes.
Daily Mail
27-06-2025
- Business
- Daily Mail
Amazon making major change to Prime that will affect the whole of the US
Amazon is planning to expand its same-day and next-day delivery to over 4,000 small cities, towns, and rural communities in the US. Thousands of its 200+ million Prime members will have the pleasure of having this benefit by the end of the year. The plan comes after the company invested over $4 billion to triple the size of its delivery network by 2026. Amazon is expanding the network to help customers who 'live farther from brick-and-mortar retailers, have fewer product and brand choices, and face limited delivery options when shopping online.' 'The money saving is important, but for many rural customers, the more critical dynamic is the time saved by using Amazon. The expanded choice that Amazon offers is also very appealing to shoppers who are miles away from big malls and stores,' GlobalData retail expert Neil Saunders told 'For Amazon, rural gains are an important part of driving Prime penetration. And the business is confident it can service this profitably by adapting existing rural delivery stations into hybrid hubs which store inventory Amazon's algorithms know will be popular in the area.' Shoppers interested in trying out the platform can do so for $14.99 a month or $139 a year. The project announcement comes after Amazon made the decision to expand its Prime Day sales event to four days from two. Prime Membership Prime provides a range of benefits on top of next and same day delivery and is available on a 30 day free trial. After the trial, membership costs $14.99 a month or $139 a year. $139/year Shop The company had already been the topic of conversation during the rise of inflation and fears of recession after CEO Andy Jassy warned shoppers tariffs potentially rising prices. While Amazon's net sales skyrocketed to $155.7 billion this quarter, the company has been slammed by its employees and Prime members. Shoppers claimed they would cancel their memberships last year after finding out the company was axing its Amazon Today service. Prior to its removal, it was a popular perk that provided same-day delivery from select stores in the customers' neighborhoods. Members also canceled accounts after finding out its streaming service started rolling out more advertisements across its TV shows and films. The company didn't stop there with its prime perk change-ups and infuriated customers even more by raising the price of its Amazon Music Unlimited ad-free subscription program. Besides its member benefit terminations, fans have begun turning their backs on Amazon after Jassy issued a warning of brutal workforce cuts. It is unclear when the layoffs will begin and how many jobs will be axed, but Jassy revealed the cuts were the result of the company's increase in artificial intelligence. There are over 200 million active Amazon Prime members worldwide The company is keeping itself busy by preparing for Prime Day, recently warning its members about increases in cyber scams. It's also exploring the idea of creating its own currency, an idea that could save the company and retailers like Walmart and Target billions of dollars. Amazon is expecting to make between $159 billion and $164 billion during its second quarter, along with a $13 billion to $17.5 billion operating income. The company will release its second quarter results on July 31 after the market closes.
Yahoo
27-06-2025
- Business
- Yahoo
Amazon Pours $4B into Rural Delivery Network to Accelerate Same-Day Reach
Amazon's $4 billion investment in its rural delivery network is expected to expand the e-commerce giant's same-day and next-day delivery capabilities to more than 4,000 smaller cities, towns and communities and 'tens of millions' of customers by the end of 2025. According to a company press release, Amazon has already begun offering free same-day and next-day delivery in more than 1,000 rural towns and communities. The tech titan says customers in these areas are shopping online at Amazon more frequently and purchasing household essentials at 'meaningfully higher' rates. More from Sourcing Journal Walmart and Target Double Down on New Delivery Pilots How Can Brands Win Over American Shoppers? Go Back to Basics. Amazon and FedEx Continue to Up Their Game on AI-Enabled Logistics Robots Of the top 50 repurchased items for same-day delivery in these areas, over 90 percent are Amazon's 'Everyday Essentials' products. In the first quarter, the company said the category grew twice as fast as all other U.S. categories due to the faster delivery speeds. Never one to downplay its delivery capabilities, Amazon touted a 30 percent increase in items delivered same- or next-day compared to the same period in 2024. Amazon Prime members have access to unlimited free same-day delivery when spending over $25 at checkout. When the investment was first revealed in late April, Amazon expected to expand its network's rural footprint to more than 200 delivery stations by the end of 2026 and create over 100,000 new jobs. These stations are smaller, local distribution centers strategically positioned for last-mile delivery. The buildout would triple the company's rural network and enable the delivery of 1 billion more packages annually, Amazon has said. Across the U.S., Amazon had 595 package delivery stations already active in the 2025 first quarter, with an estimated 104 expected to be built according to supply chain consulting firm MWPVL International. In a Tuesday blog post, the company included a video showcasing operations at what it calls an RSR+ (Rural Super Rural Plus) site in Dubuque, Iowa, which opened in January 2022. That location namely carries household essentials items that can be easily shipped same-day or overnight, said Doug Herrington, CEO of Worldwide Amazon Stores. To build out the network, Amazon is transforming existing rural delivery stations into 'hybrid hubs' that can store inventory on site to enable delivery within hours and prepare packages for final delivery to customers. This approach is designed to maximize existing rural infrastructure to position products closer to customers' doorsteps and reduce transportation distances. In line with its wider regionalized fulfillment strategy across the U.S., Amazon is using advanced machine learning algorithms to predict which items will resonate with local Prime members based on their unique needs. This includes stocking a mix of popular and frequently purchased items like wireless headphones, coffee pods, crackers, paper towels and diapers, as well as products curated to fit local preferences. Although Amazon is pushing its machine learning capabilities, the company did not reveal the extent of robotics deployments across the rural delivery stations. Amazon's push is opportune, capitalizing on changes implemented at the U.S. Postal Service (USPS), which altered some service levels that may impact rural areas. As of April 1, volume originating in post offices more than 50 miles from USPS processing facilities would take an extra day in transit due to changing timing of transportation. 'We do not anticipate that individual rural customers will experience a significant impact from these adjustments, and in fact are likely to notice positive impacts,' the USPS said in a fact sheet updated April 25. 'The delivery process in rural communities is not changing. Customers, regardless of where they live, will still receive delivery six and sometimes seven days per week.' Amazon's announcement also comes just weeks before its annual Prime Day event, which has been expanded this year to four full days, further putting the company's supply chain under more stress. Prime Day is set to take place from July 8-11. The move also comes briefly after Amazon confirmed it was ending its pilot test where its delivery service partners (DSPs) would conduct same-day deliveries for the company. Amazon contract delivery firms in several U.S. states like Florida, Illinois, Massachusetts, Ohio, Texas and Washington deployed drivers for four- or five-hours shifts in Kia Souls. The program's vehicles were rentals and will be returned to vendors as the program subsides. The program, which started its rollout in 2023, will wind down over the next few months. With the test's conclusion, Amazon is expected to rely more on Amazon Flex gig workers, who would pick up the affected routes. Flex drivers use their own cars to pick up and deliver goods. 登入存取你的投資組合
TechCrunch
24-06-2025
- Business
- TechCrunch
Amazon to spend over $4B to expand Prime delivery to rural communities in the US
Amazon announced on Tuesday that it is expanding its Same-Day and Next-Day delivery services to over 4,000 small cities and towns across rural U.S. This expansion will bring its fast Prime delivery service to millions of customers in places such as Asbury, Iowa; Fort Seneca, Ohio; Lewes, Delaware; North Padre Island, Texas; and Sharptown, Maryland. The e-commerce giant plans to invest more than $4 billion to triple the size of its delivery network by 2026. Amazon has recognized a growing demand for faster delivery from rural customers, who often have limited options when shopping online. By increasing its investment in Same-Day and Next-Day delivery, the company aims to create more jobs in rural communities, with an estimated 170 positions at delivery stations, along with additional driving opportunities. Amazon also reported that the number of items delivered the same day or the next day in the U.S. has increased by over 30% compared to the same period last year. In 2024 alone, the company delivered more than 9 billion items using the faster delivery services. This announcement comes as Amazon prepares for its Prime Day event, which will last 96 hours from July 8 to July 11.
The Verge
24-06-2025
- Business
- The Verge
Amazon bringing same-day delivery to ‘millions' of rural customers
Amazon announced its intention to bring same-day and next-day delivery to 'tens of millions' of people who live in live in smaller towns by the end of 2026. Speedier deliveries will be available to residents 'in more than 4,000 smaller cities, towns, and rural communities,' the company said in a press release Tuesday. Items categorized as 'everyday essentials,' including groceries, beauty products, household goods, or pet food, will now be available to small town or rural customers for same-day or next-day delivery. If they are Prime subscribers (currently $14.99 a month or $139 annually), they get unlimited free same-day delivery when spending over $25 at checkout. Items categorized as 'everyday essentials' will now be available to small town or rural customers for same-day or next-day delivery. Amazon has already expanded its speedy delivery options to customers in over 1,000 small or rural communities, and people are buying these essential items at a higher rate than before. Amazon says over 90 percent of the top 50 items purchased for same-day delivery are 'everyday essentials items.' The company was able to accomplish this massive expansion by spending a lot of money — $4 billion, according to Amazon — on building new facilities and hiring new delivery drivers. Its also transforming existing delivery hubs in these smaller communities into hybrid facilities where Amazon packages can be prepped for final delivery. And the company is using machine learning to better predict what items each communities buys in large quantities, so it can make sure to have those items in stock for faster delivery. This includes 'the most-popular and frequently purchased items like wireless headphones, coffee pods, crackers, paper towels, and diapers, and products curated to fit local preferences like wild bird food in Dubuque, Iowa, travel backpacks in Findlay, Ohio, and after sun body butter in Sharptown, Maryland,' Amazon says. While many residents of small towns may delight in faster Amazon deliveries, local business owners may have a different reaction. Amazon has long been a threat to local Mom-and-Pop shops that struggle to compete with the convenience of online shopping, while also laboring under high rents and other costs of doing business. Amazon argues that it provides opportunities for small businesses to reach new customers, but critics claim that the company exploits its dominance in the economy to squeeze out local entrepreneurs.
