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Amazon tests 30-minute delivery in two US cities

Amazon has launched a super-fast delivery pilot program designed to drop off groceries and other household items in as little as 30 minutes, the company announced Monday afternoon.

The Amazon now (NASDAQ:AMZN) The service is available in parts of Seattle and Philadelphia, costing $3.99 for Prime members and $13.99 for non-Prime members. Orders under $15 will be charged an additional $1.99.

The announcement follows the expansion of Amazon Now last month in the UAE, where customers can receive everyday essentials within 15 minutes.

Amazon Now will operate out of strategically located urban micro-fulfillment centers, where Amazon Flex gig workers will pick up packaged orders for food, snacks, personal care products, electronics, medications and other merchandise. The centers position essential products close to neighborhoods and work areas, using advanced inventory systems that optimize product selection based on hyperlocal demand to maximize efficiency and speed.

Amazon has also created small, specialized facilities in the UAE, designed exclusively for fast delivery. It also recently launched a two-hour delivery service for products in 30 categories there.

Shoppers in Seattle and Philadelphia can check the Amazon shopping app and website for the “30 Minute Delivery” option in the navigation bar to see if they have the service in their area. They can choose from thousands of food, healthcare, paper, electronics, snacks, medicine and seasonal items, Amazon said.

The Information, which published an article shortly before Amazon’s announcement, noted that convenience store items can be low margin and sometimes even unprofitable, but they encourage repeat shoppers and drive shoppers to its website, which is beneficial for the company overall.

Click here for more FreightWaves stories by Eric Kulisch.

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The article Amazon Tests 30-Minute Delivery in Two US Cities appeared first on FreightWaves.

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