Amazon launches one-hour delivery in major US cities
Amazon announced on Tuesday that it is offering one-hour and three-hour shipping in major US cities. The service requires extra fees to compete with Walmart.
Amazon.com, Inc. is significantly accelerating its delivery capabilities within the United States by introducing one-hour and three-hour shipping options across various markets. This strategic move is designed to enhance its competitive edge against its primary retail rival, Walmart Inc., as the e-commerce giant seeks to increase both the frequency of customer purchases and the average size of shopping carts.
The new 60-minute delivery service has been deployed in major metropolitan hubs, including Los Angeles and Chicago, as well as smaller urban centers such as Boise, Idaho. Meanwhile, the three-hour shipping window has expanded to reach more than 2,000 cities and towns nationwide. These services cover a catalog of over 90,000 products, ranging from household essentials and toilet paper to toys.
To facilitate these rapid fulfillment times, the company has implemented several operational changes within its existing same-day delivery centers. These include the establishment of designated workstations specifically for high-speed orders, the use of distinct yellow labels for quick package identification, and updated internal signage to assist delivery partners. Amazon Senior Vice President of Worldwide Operations Udit Madan highlighted the company's commitment to efficiency in a recent statement:
We saw an opportunity to use our unique operational expertise and delivery network to help make customers’ lives a little easier while unlocking even more value for Prime members.
Accessing these expedited delivery speeds requires an additional fee. For members of the Prime subscription service, one-hour delivery is priced at $9.99, while the three-hour option costs $4.99. Customers without a Prime membership face higher rates, paying $19.99 for one-hour shipping and $14.99 for the three-hour service. This initiative follows the December launch of Amazon Now, a separate service providing grocery and essential items in 30 minutes or less in specific locations like Seattle and Philadelphia.