EBay Launches Tests Of Same-Day Delivery And Utilizes Couriers

Online retail giant Amazon has been in the news lately regarding its' serious pursuit of offering same-day delivery of its' online products. As it turns out, they are not the only online corporation analyzing same-day delivery and making it a core component of their services. Look out Amazon. Here comes EBay.

EBay, the world's largest retail marketplace, has begun testing an impressive same-day delivery service with large retailers says a report from Reuters. Their delivery service will be offered via their newly released mobile application EBay Now. The application will be the platform that enables customers the option of same-day delivery within an hour! The upcoming eBay Now is being tested in San Francisco. Among EBay's host of test retailers include Toy R Us, Target, Walgreen Co, Macy's, Nordstrom Inc, and Best Buy.

The strategy is being driven by large retailers seeking ways to compete with Amazon. The company is outpacing physical location retailers in sales with lower prices and in addition, is after providing same-day delivery to its online customers as well. Amazon is building strategically centralized warehouses to accomodate their same-day delivery model. EBay's approach, on the contrary, is utilizing brick and mortar retailers to test eBay Now in hopes to offer a better delivery service and overall product.

EBay's second quarter growth of 23% thus far in 2012 has had alot to do with mobile shopping. They are expecting to have $10 billion in volume this year, which is double their results in 2011. Mobile shopping technology has surged this year and appears to be here to stay. It simply makes sense for Ebay to go in this direction.

"EBay is offering $15 off the first order through eBay Now. Delivery is free the first three times. After that, delivery is $5 for the test period, and the minimum order is $25", said ebay spokeswoman Lina Shustarovich. The application can be downloaded by shoppers via devices such as iPad. They then select the "Bring It" option once they find whatever they are shopping for. eBay Now will send the order request to the closest courier to the destination, and the courier will then pick up and deliver the product.

With online sales, especially using mobile devices, is increasing, same-day delivery via courier may become the future of e-commerce deliveries. Companies like EBay and Amazon appear to realize couriers can assist companies with gaining the competitive advantage they need in the online world. Courier services such as A-1 Express have a national footprint to assist any company nationwide for same-day deliveries. EBay and Amazon could utilize A-1 Express, as many corporations begin to see the value of couriers.

References: Reuters, 8.6.12, Alistair Barr, EBay tests same-day delivery with big retailers