Amazon looks to redefine a need for speed with 30-minute deliveries
AP News • • business
Key Points:
- Amazon is launching Amazon Now, a service offering 30-minute delivery for an extra fee, expanding rapidly across U.S. cities and internationally after its initial launch in India last year.
- The service operates through small urban micro-warehouses stocking around 3,500 popular items, aiming to meet urgent consumer needs like medications and groceries quickly.
- Amazon Now charges start at $3.99 for Prime members and $13.99 for non-members, with an additional fee for small orders under $15, targeting customers willing to pay for ultrafast delivery.
- The move intensifies competition with on-demand delivery platforms like Instacart and DoorDash, as well as retail rivals like Walmart, which offers similar one-hour delivery services.
- Analysts caution about the challenges of sustaining ultra-fast delivery promises, referencing past failures and urging Amazon not to overpromise, while noting some consumers still prefer slower, more eco-friendly shipping options.