According to reports, Amazon is currently on a property search for 1300 units of warehouse space across Europe as it seeks to streamline and develop Amazon Prime. That’s the premium subscriber service for people who buy lots on Amazon and like choice and swift despatch.
In the UK, Prime and Amazon Prime Now is available in London and other cities. In Europe it’s available in parts of France, Germany and Italy. It’s expected that the new warehouses will be available in these four countries.
Amazon is said to be seeking out smaller warehouse units in urban locations near major cities across the continent. Distinct from the bigger Fulfilment Centres, these facilities will serve metropolitan centres and consumers for the ‘last mile’. The idea is to keep the most popular products as close as possible to shoppers so they can be delivered with astonishing swiftness.
As we reported at the end of last year ‘More than 25% of warehouse space let in 2016 taken by Amazon‘. And that march seems to be continuing, not just in the UK but now Germany, France and Italy.
The pace of expansion at Amazon, especially when it comes to fulfilment and logistics is monumental. And Amazon is keen to find greater profitability. So when it depends so much on fulfilment firms that represents a huge area of potential cost savings for Amazon. The trend does very much seem to be that Amazon thinks it can apply its talents to delivery and make it more efficient than other suppliers. And that is likely a very sound approach.
Nothing surprises us now about their hunger for expansion of the facilities that bring goods to customers faster. Indeed, only yesterday I received a parcel from Amazon on Easter Monday. I’d bought it the day before. I don’t suppose the item I bought on eBay last Thursday will be with me until Wednesday. And I paid for first class Royal Mail.
