Amazon vans lined up at a distribution center in Orlando, Florida.
Paul Hennessy/NurPhoto via Getty Images
Amazon reportedly plans to open more than a thousand small delivery hubs in cities and suburban neighborhoods across the US in an effort to deliver products to customers as quickly as possible. The facilities will eventually number around 1,500, according to a report Wednesday from Bloomberg, and could help the online retail giant continue to expand one-day delivery for Amazon Prime subscribers.
Many of Amazon’s warehouses have traditional been located on the fringes of suburbs, but the expansion of these quick-delivery warehouses would put them deeper in communities alongside car dealerships, fast-food restaurants and big-box stores, according to Bloomberg.
The move could help Amazon continue to push faster deliveries as it competes with other retailers, including Walmart. In addition to one-day shipping, Amazon already offers same-day deliveries on millions of items in 44 major metropolitan areas, as well as its Prime Now program for deliveries in a few hours. Earlier this month, Walmart launched its own Walmart Plus membership program that offers perks like same-day shipping for some orders and a cashierless checkout feature in the Walmart app.
Amazon declined to comment on the reported warehouse expansion but said its last-mile delivery network is meant to supplement what’s already provided by its carrier partners.
“Amazon’s transportation network is built on a foundation of over 20 years of operations and logistics experience, an unwavering commitment to safety, technological innovation, and talented teams who are obsessed with delivering for our customers,” said an Amazon spokeswoman in an emailed statement. “Our dedicated last-mile delivery network just delivered its 10 billionth package since launching over five years ago, and we’re proud to provide a great service for our customers.”
