Where do you see Amazon going with that now? Because I think that is personally I see them kind of like smashing everyone else out the water in the next 5-10 years on being more dominant than they already are in terms of their logistics prowess. What? What are your thoughts on that?You know, Amazon built the logistics solution they have AMZL because the legacy carriers or the existing carriers couldn't scale at the same rate that they could. And so if you think about the carrier network, you know, first, it was Royal Mail and then, you know, UPS. One after another had failures and their famous failure in 2013 where UPS put about 300,000 packages on the tarmac. And so there was no Amazon saying, Oh, we want to be dominant in logistics. They were saying, We are going to continue to grow and E-commerce is gonna grow a 20% a year and that carriers are growing at 3-6% per year. So it's only going to get worse. And so this was as much a defensive move and customer focused move as anything else. So they spent a bunch of capital on start ation centers, delivery centers, delivery stations and setting up routes in all the major MSAs in the US as well as obviously you know, in London, AMZL delivers almost all the packages there and so that, you know, once you have built spent that capital and you you are a transportation company whether you want it to be or not, it makes sense to add more packages because the economics of transportation are all about density. And so I think in the UK, this is, you know, they're growing that business of Ship with Amazon, and, taking merchants packages as well as Amazon one p packages.
🙋 ➝ Amazon advertising management
📝 ➝ Subscribe to our newsletters