Facing the challenge from Temu and SHEIN! Amazon and other giants are even more aggressive in their delivery speed

Facing the challenge from Temu and SHEIN! Amazon and other giants are even more aggressive in their delivery speed

Recently, some American media people said that the delivery speed of giants such as Amazon, Walmart and Target has become faster again.

 

These platforms have been working to shorten their own delivery times to meet consumer expectations for speed.

 

Industry experts in the United States believe that this move will allow them to maintain their advantage in competition with SHEIN and Temu. In addition, the investment of Walmart and Target can also narrow the gap with Amazon's delivery speed. The industry believes that Amazon's delivery has become the standard and is a well-deserved "speed king."

 

Amazon's new delivery model this year divides the United States into eight regions. Amazon CEO Andy Jassy said that under this model, the company will maintain its fastest speed in 29 years. According to Amazon, this delivery model can shorten the transportation distance of goods and reduce the number of links in the middle, which will not only make the company faster but also reduce costs.

 

In addition, Sarah Mathew, Amazon's vice president of delivery experience , also said that the company already has 55 same-day delivery sites across the United States and plans to double this number in the next few years.

 

Walmart and Target have also been working to upgrade warehouses, build new facilities and invest more money to close the gap with Amazon.

Walmart first used its more than 4,000 stores across the United States as fulfillment centers and distribution hubs for online orders. In November, it said it would add 40 more sites by the end of the year to increase the speed of processing packages. Most of the sites will also operate normally during the holidays.

 

Walmart has also started three new-generation distribution centers since last year, reducing the steps to pack and ship orders to five.

 

Target announced at the beginning of this year that it would invest $100 million to expand its warehouses to increase delivery speed. According to media forecasts, Target's warehouse package handling volume this year can double to more than 50 million. More and more goods can be delivered to customers the next day. It is reported that Target currently has 10 sorting centers across the United States and plans to add at least 15 by early 2026.

 

Industry insiders said that although Walmart and Target are using offline stores to speed up the delivery of online orders, Amazon's warehouse area and number of trucks far exceed those of the two. Therefore, even if Target and Walmart significantly increase their distribution centers, they will not be able to catch up with Amazon easily.

 

However, I don’t know how attractive the increased speed will be to consumers. After all, many American consumers have also stated that their demand for same-day delivery is not that high, and the normal delivery speeds of platforms such as Amazon are sufficient. The delivery speeds of SHEIN and Temu are also much faster than before. Products that used to take more than ten to twenty days can now be delivered in a few days. This speed plus the price of the products are acceptable.

Amazon

Delivery speed

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