Amazon is tapping local businesses to help deliver packages through its latest delivery program, called Amazon Hub Delivery, reports Axios. The retail giant has been piloting the program since 2020, which pays small businesses, including convenience stores, to deliver packages during the “last mile” of delivery to customers’ doorsteps.
According to Amazon, small businesses would receive packages each morning and have the flexibility on when they can deliver the packages that day. On average, partners receive 30 packages a day, and deliveries are made seven days a week, except on major holidays.
Program participants can make up to $27,000 in incremental income a year, says Amazon, which works out to about $2.50 a package, according to Axios. Amazon is actively recruiting businesses to take part in the program—with a goal to onboard 2,500 partners.
Beryl Tomay, vice president of Amazon Last Mile Delivery and Technology, told Axios in an email interview that the new program will help "create opportunities for delivery partners interested in growing [their] business ... and supplementing their income.”
The program will operate in 23 states. The pilot took place in rural areas, but Amazon is bringing it to larger cities as well, including Boston, Los Angeles, New York and Seattle.
The Wall Street Journal recently reported that Amazon is getting customers their packages earlier after an overhaul of the company’s logistics network. The company also has updated its inventory management and changed the search results customers see on its website, and these changes seem to be helping the company’s profitability.
Do you already have “last mile” delivery services in place? Check out the NACS resource Last Mile Fulfillment in Convenience Retail to discover how you can grow with this industry trend.