Amazon’s New ‘Delivery Service Partners’ Service Offers an Investment Opportunity for Entrepreneurs

Amazon’s New ‘Delivery Service Partners’ Service Offers an Investment Opportunity for Entrepreneurs

Amazon is offering resourceful entrepreneurs the chance to develop and manage their very own delivery fleet – for an up-front investment. Amazon Business Integration – which offers dedicated Amazon EDI solutions for sellers on the marketplace – is keen to see how the service pans out and if it will make its way to the UK.

The new Amazon Delivery Service Partner Program, which is currently being rolled out in the US, will offer interested parties the opportunity to manage up to forty vehicles as a delivery fleet for the online retail giant. As of now, Amazon is actively building up the service, recently placing an order for 20,000 Mercedes-Benz Sprinter Vans. The order has instantly made Amazon Mercedes’ biggest customer, and it seems that Amazon’s newest idea is proving immensely popular.

The platform has already had to turn away thousands of hopeful applicants, even after opting to order 20,000 vans instead of their initial intention to roll out the service with 5,000 vehicles. According to Amazon, entrepreneurs who invest the $10,000 required could see annual profits of up to $300,000 if they run a full, 40-van fleet of delivery vehicles. Moreover, Amazon isn’t reserving the opportunities on offer for those with an existing logistical background – anyone is free to apply. At the same time, Amazon is also recruiting thousands of drivers to meet the needs of its newest service.

Amazon’s proposition is so attractive to so many entrepreneurs because the potential business owners know that they will have a substantial, steady number of packages to deliver – unlike some ‘gig economy’ delivery firms that cannot promise work from one day to the next. Those that enter into the Amazon Delivery Service Partner Program will also receive exclusive discounts on important resources like insurance and fuel, as well as receiving training from Amazon and use of the latest delivery tech. For Amazon, this means even more reach for their products and a dedicated, committed delivery force that’s working both for the platform and for themselves.

Peter Thomas, Managing Director of Amazon Business Integration, said, “This is a really interesting move from Amazon. They’re investing a great deal of money and resources into this new venture and it’s good to see that entrepreneurs can benefit to such a degree. Obviously, at this point we don’t know how the profits will shake out for the operators of these new fleets, but the numbers seems promising.

“We’re also very interested to see if a scaled-down version of the service makes its way to the UK and how different economic factors here will affect potential profits. Ultimately, though, it’s an innovative move and that’s not surprising when it comes to how Amazon does things. “

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