Will online retailers have better shipping options than UPS, FedEx, and USPS? That seems to be Amazon’s endgame. Amazon’s Multi-Channel Fulfillment (MFC) service, a recent deal with BigCommerce and acquisition of Selz, both eCommerce platforms, could provide unique fulfillment and delivery options for retailers, even if they don’t sell on Amazon’s site.
Although Amazon started its delivery service in 2007, it wasn’t until 2013 that it made significant strides to become the world’s largest delivery service. In the years since, they have decreased reliance on UPS, FedEx, and USPS—now delivering over half of its packages through their delivery network, Amazon Logistics (AMZL).
Amazon showed a 44% growth and more than triple the profits in the first quarter of 2021 over the previous year. Understandably, its package delivery costs have shot up as well, coming in at over $17 billion for Q1 alone.
In recent months, Amazon purchased 11 used Boeing 767-300 planes from WestJet and Delta, with plans to have more than 85 cargo planes in its fleet by the end of next year.