Homepage / Technology / Amazon Prime Day is the first big test of the Prime Air fleet
Menyelami Dunia Slot Thailand: Keseruan dan Peluang Kemenangan Besar Menyelami Dunia Slot Thailand: Pengalaman Bermain yang Tak Terlupakan Hướng dẫn chơi slot game tại casino HappyLuke HappyLuke Casino Trực Tuyến Get prepared to have the full time of one’s life The Remarkable Globe of Tarot Card Reading Cards Numerology Calculator by Day of Birth: Taking Advantage Of the Power of Numbers Discover Numerology Name by Day of Birth Free Psychic Analysis Online: Your Key to Insight and Assistance Are Tarot Cards Evil? Play 22,546+ Casino Slot Demo Games Водка БЕТ Казино официальный сайт и зеркало Vodka Casino Find your perfect match with quick hookup near me Top 7 Best Lesbian Cougar Internet Dating Sites in 2022 ◉ Sugar Daddy Ireland: Seeking Sugar in IE | SugarDaddySeek Online Kasino & Sportovní Sázení Oficiální Web Melbet Bonusları: Türk Oyuncular İçin En İyileri Roulette In Italiano Situs Slot Judi Bola Casino Online PutriJP Bagaimana Cara Memainkan Slot? 9 Kiat Terbaik Provider Permainan Kasino & Slot Online Terbaik Pragmatic Play Pragmatic Play Slot Mainkan Demo Gratis best name for boy 4718 best name for boy 2378 Purchase Lyrica Online Safely and Discreetly The Safest Online Online Casino: Making Certain a Secure Gaming Experience No Wagering Casino Incentives: A Game-Changer for Online Gaming DMSO Cream: A Functional Solution for Various Ailments Exactly How to Decrease High Blood Pressure: A Comprehensive Guide Top Online Casinos that Approve Neteller Deposits Online Gambling Establishments Accepting Mastercard: A Comprehensive Guide Finest Mobile Online Casino Site: The Ultimate Overview Live Casino Site Online: The Ultimate Overview The Power of Psychic Analyses Bier Haus Fruit Machine Online Free: A Fun and Thrilling Experience Why Do Blood Vessels Look Blue? What is Mometasone Furoate Cream Made Use Of For? Open the Keys of Numerology with a Free Numerology Calculator The Ultimate Overview to Online Tarot Card Readings Numerology Calculator: Opening the Mysteries of Figures Opening the Keys of Online Free Tarot Analysis Online Online Casinos with Neteller: A Convenient and Secure Settlement Option Online Gambling Enterprises That Accept Bitcoin: A Comprehensive Overview A Guide to Finding Online Casino Bonus Money Opening the Mysteries of Psychic Card Analysis GIS Support Top-3 kasyna online na prawdziwe pieniądze w Polsce 7slots ile En Ýyi Slot Eðlenceleri ve Ödüller Resting around: From Chaucer to Castro | Life and magnificence | Intercourse Story: The Mom Giving Nudes From a cafe or restaurant Restroom Reasons Behind the Increase in Sex Shops Официальный сайт букмекерской конторы 1Вин 1win Team Россия Результаты, расписание матчей календарь игр Dota 2 The International 2024 Киберспорт Чемпионат Christchurch Casino facing money-laundering allegations Otago Daily Times Online News Best NZ Online Casinos 2024 Top Real Money Online Casinos Los mejores casinos online en Argentina 2024 mostbet Verimli Açýlýþ Hediyesi! mostbet En Büyük Fýrsatlar Sizinle! Get started now and revel in the many benefits of adult hookup dating TITRE II : JEUX D’ARGENT ET DE HASARD, CASINOS Articles L320-1 à L324-16 TITRE II : JEUX D’ARGENT ET DE HASARD, CASINOS Articles L320-1 à L324-16 Азино777 на деньги ️ Играть в игровые автоматы казино онлайн Mostbet-az90 Qazanmaq Kazinoda və onlayn mərclərdə Azərbaycan Online Dating Is Damaged. Can The Metaverse Fix-it? Enjoy the many benefits of on line dating with your rich people dating website Jogo do aviãozinho: o que são as apostas de cassino e como PL aprovado pode legalizar prática? what to anticipate from an asian chatroom Online Turnkey Casino and Gambling Software Platform CasinoEngine What makes a gay daddy chat room unique? Get ready to chat and flirt with sexy singles Аудиокниги на английском языке топ лучшей литературы по теме Читайте и слушайте онлайн на MyBook Как делать ставки на сайте российского букмекера 888 ru: инструкция Get ready for exciting and fun local hookup chats Benefits of joining a couples seeking third person dating site Start your search now and meet your perfect match for nearby hook ups What makes interracial dating in buffalo unique? La Females Dating: Call Cute Ladies Trouble-Free Get prepared the ultimate asian hookup experience things to look for in a gay sugar daddy website 10 Most Readily Useful More Mature Females Hookup Sites – Victoria Milan Video pornografi anak: ‘Orang tua korban’ ikut menyaksikan, kata polisi BBC News Indonesia Video pornografi anak: ‘Orang tua korban’ ikut menyaksikan, kata polisi BBC News Indonesia Video pornografi anak: ‘Orang tua korban’ ikut menyaksikan, kata polisi BBC News Indonesia Video pornografi anak: ‘Orang tua korban’ ikut menyaksikan, kata polisi BBC News Indonesia 1xSlots Partners: здесь твой трафик будет дожат Обзор ПП от прямого рекламодателя онлайн-казино 1xSlots Winning Tips for Live Roulette at 1xSlots PinayVlog com Best Pinay Porn Site and Hot Pinay Sex Scandal PinayVlog com Best Pinay Porn Site and Hot Pinay Sex Scandal PinayVlog com Best Pinay Porn Site and Hot Pinay Sex Scandal Nasıl kumarhane başari bet casino çevrimiçi seç müşteriler2024’te Get started now – find the perfect hook up site for couples PinayVlog com Best Pinay Porn Site and Hot Pinay Sex Scandal PinayVlog com Best Pinay Porn Site and Hot Pinay Sex Scandal Ways to get Laid in Abu Dhabi – where you should get and Date women Зеркало Casino — Доступные фриспины, игровые слоты джекпот Đại lý mua bán thẻ cào Gate: Thẻ Game Online, Thẻ Mobile, Thẻ Gate Coin Price Forecast How Accurate Are Their Predictions? Most readily useful spots in order to satisfy Girls In Santiago de Compostela & Dating Guide – WorldDatingGuides Exploring the Globe of Online Psychic Reading Opening the Mysteries: Virtual Tarot Card Analysis The Mystical Globe of Tarot Cards Unlocking the Mysteries: Free Tarot Card Analysis Online Accurate

Technology

Amazon Prime Day is the first big test of the Prime Air fleet

Amazon’s third annual Prime Day has a new piece to its shipping puzzle: airplanes.

The new Prime Air fleet will help deliver the Echo devices, flat-screen TVs and countless other marked-down goods expected to lure consumers’ dollars with the easy swipe of a tab. The 30-hour Black Friday-like sales event is marketed to Prime members, meaning the millions of projected shipments destined for doorsteps will have two days or less to get there.

Enter Prime Air — the air cargo service Amazon officially introduced last summer.

“These planes are predominantly focused on our two-day network,” said Dave Clark, Amazon’s senior vice president of worldwide operations and customer service, a role that includes oversight of the supply chain and transportation network. “What it does is it allows us to make the [shipping] cut-off later, so you can order later and later and still get that in the two-day promise with our own air network.”

Standing in front a Boeing 767 fitted for freight and emblazoned in blue and white branding including the Prime swish logo, Clark said the fleet of 24 planes allows Amazon to fly to cargo hubs, but also from “point to point.” Sixteen planes will be added by mid-2018.

Traditional cargo flights typically involve hub stops; flying point to point means flying direct to a final distribution area from where a shipment will depart on a vehicle on the so-called last mile of delivery to a residence.

Clark estimated that the direct option can shave 12 to 15 hours off of a cross-country journey — a crucial reduction when the turnaround is a tight 48 hours or less.

The planes are evenly leased out by and operated by two cargo airlines: Air Transport Services Group and Atlas Air Worldwide. Since announcing their deals with the e-commerce giant last year, the two lessors have seen their stocks soar. Shares of both jumped more than 2 percent apiece on Monday ahead of Prime Day, as well.

For now Clark is not commenting on whether Amazon will expand its fleet beyond the 40 767s already contracted. It does have warrants to buy at least a 20 percent share of each company over the next several years, and it is investing $1.5 billion into an air cargo hub at Cincinnati-Northern Kentucky Airport, where package carrier DHL has operations.

But the shipping strategy stretches far beyond jetliners. Amazon has been plowing billions of dollars into steadily building its own transportation and logistics network — one that included 5,000 branded semi trailers hauled by contracted truckers, container shipping for Asian sellers importing goods to be sold through the Amazon platform, tens of millions of square feet of automated warehouse space, apps for last-mile and middle-mile delivery services, and of course eventually drones (which also falls under the Prime Air umbrella).

The investments have stirred questions in the shipping industry and on Wall Street: Is Amazon really looking to move all of its shipments in-house? Is it looking to eventually compete against the carriers like United Parcel Service and FedEx, which it currently relies upon? Or is this simply a necessary move to be able to keep pace with the aggressive growth of Prime membership?

“There are really two reasons we do this. First and foremost, I think it’s innovation for customers. So whether it be planes enabling us to do later cut-offs for two-day deliveries, or ‘flex’ — which enables us to do one-hour delivery and things like our Prime Now business — creating new delivery services for customers is a big deal for us,” Clark said from the tarmac at Sea-Tac Airport, a 20-minute drive from Amazon headquarters in downtown Seattle. “Second is supplying incremental capacity to support the growth in Prime customers.”

In other words, Amazon is not looking to directly compete with its current shipping partners. At least, not yet.

Rather, it’s building out capacity because it needs it, beyond the long-term contracts with UPS, FedEx, the U.S. Postal Service, and others. It’s something all involved have been asserting for years in interviews and on earnings calls, as e-commerce growth continues to outpace capacity and the pace at which shippers have been able to expand their networks to better meet that demand.

Some analysts surmise the major carriers don’t make much money on that business anyway since the sheer scale of the Amazon operation has enabled it to negotiate rock-bottom shipping rates that translate into razor-thin margins for the companies involved.

Additionally, many are skeptical Amazon could successfully get into the game of transporting goods for other shippers since so many are retailers and consumer-oriented businesses that now view the tech behemoth as a serious threat.

For Amazon, bringing more transportation capabilities in-house could help rein in ballooning shipping costs — a metric it only just recently began breaking out in quarterly earnings. In the first quarter, worldwide shipping revenue grew 37 percent year on year to $2.5 billion; worldwide shipping costs grew 34 percent to $4.4 billion. It could also help give the company famous for its fixation on customer service more control, after delivery misses by UPS and FedEx during Christmas seasons past.

As for Prime Air, the next few days will prove to be the fledgling fleet’s biggest delivery test yet — and one coming as some pilots look to negotiate their union contracts with the lessors.

As for UPS, FedEx and the Postal Service, they all insist they’re ready to deliver for all of their customers this week.

“We have a great group of core carriers around the world that do work for us and we continue to partner with them, and then we’re about enabling a ton of small businesses — whether that be in the last-mile space; the middle-mile, providing power for the over 5,000 trailers we operate; or working with Atlas and ATSG,” said Clark. “What we think we’re doing is stitching together a great group of small businesses that are enabling fast delivery for Prime customers.”

Source: Tech CNBC
Amazon Prime Day is the first big test of the Prime Air fleet

Comments are closed.