Amazon is the largest online retailer in the world and their growth does not appear to be slowing down. The online giant is continuing to build distribution facilities throughout the US to accommodate local delivery to their e-commerce customers. Amazon could be preparing to eventually provide same-day delivery.
Many are pointing toward Amazon making strides that are leading to same-day delivery of their online sales. Internet Retailer reported early this month Amazon has made another state tax deal in Connecticut in preparation for the 2013 holiday shopping season. It will begin on November 1st of this year. The company has also agreed to invest $50 million into building a distribution facility there as well. “Amazon’s multi-million dollar investment and the hundreds of jobs that will come with both the construction and operation of their future facility will unquestionably boost our local economy,” said Connecticut Governor Dannell Malloy.
This is one of many similar tax deals Amazon has implemented, which are in states where they currently have a facility or plan on building a facility. Last year, Amazon started collecting sales tax in California, Pennsylvania, Texas, and Massachusetts. This year Amazon is planning to do so in Virginia, New Jersey and Arizona. It also has a number of other states the company already has tax deals in place. It appears Amazon will eventually be collecting sales tax in every state, which infers Amazon will have a physical presence in every state also.
Another reason Amazon could be after same-day delivery are the building of distribution centers throughout the US. Amazon's recent announcement is it will be building three new distribution centers in Texas. Two of which will be located in the Dallas metropolitan area and the other in San Antonio. The Dallas-Fort Worth distribution centers will be a 1 million-square foot site in Coppell, TX and the distribution center in Haslet, TX will be 1.1 million in square footage. The Haslet location will handle smaller packages such as books and DVD's. The San Antonio, located in Schertz, TX, will specialize in handling large items. Amazon has opened 20 distribution centers and 79 fulfillment centers worldwide.
Amazon is also planning to build more this year. Their facilities are making Amazon more and more local every year. It would be ideal for the company to deliver products to their Amazon locker locations and have them available for pick up the same day. This in essence would be same-day delivery. Many companies such as Wal-Mart and eBay are currently testing same-day delivery in certain US markets. Same-day courier service such as A-1 Express can assist large or small online retailers create the delivery solution they are looking for and get their online products delivered fast.
References: 2.5.13, Internet Retailer, Paul Demery, Amazon makes another tax deal