Amazon Announces Same Day Delivery to Central Sao Paulo – 03/31/2021 – Market

On Friday (1st), Amazon announces a delivery service for goods on the same day, at a price of R $ 18.90. The option is restricted to the expanded center of São Paulo and there is no forecast to expand the resource to other capitals.

Customers of the company’s subscription service, Prime, will pay R $ 14.90. The ecommerce orders for this modality need to be placed until noon, and the delivery time is until 9:00 pm of the same day.

The company has other shipping possibilities and, so far, the shortest term promised delivery on the next day of purchase. With four distribution centers in Cajamar (SP) and a more intense operation since 2019, Amazon was cautious when opting for the São Paulo capital to start this operation.

“The promise on the same day is tougher, in two days it is possible to correct the route”, says Mariana Roth, from the company’s experience and delivery area in Brazil.

Same-day shipping will be available for items in a variety of categories, such as consumer goods, home goods and electronics, as long as they are sold by Amazon — the option does not apply to marketplace products, that is, from companies that sell their items on Company Website.

With the pandemic and the growth of e-commerce, freight became one of the factors in the race for the consumer. According to a recent report by Nielsen, the free service represented 43% of all online purchases made in 2020.

Other large companies in the sector, such as Magazine Luiza, Via Varejo, owner of Casas Bahia, and Mercado Livre also plan to reduce delivery times in 2021.

Magazine Luiza intends to transform all 1,300 physical stores in the chain into small logistics centers to accelerate delivery to all cities. The technology and analysis teams are able to identify the appropriate product assortment for the stores in each region and must intensify this strategy to reduce costs.

“As a product is nearby, within a radius of 5 km to 10 km from the customer’s house, freight is very cheap. You don’t have to leave a distribution center to take it to the consumer’s house, sometimes 200 km, 300 km . In places where we have a physical store, we can deliver within 24 hours “, says Luís Fernando Kfouri, the company’s logistics director.

According to him, the company should implement a freight modality in up to an hour. About 45% of deliveries are made within 24 hours, an index that was only 5% in pre-Covid.

The company’s freight policy allows free delivery of purchases made above R $ 99 (with the exception of the market, which is R $ 49).

The owner of Casas Bahia says that 15% of what she sells online in Brazil is already delivered on the same day, both light and heavy items. The company will launch a “same hour delivery” program in the third quarter on a national scale.

In the same logic as Magazine Luiza, the Ponto Frio and Casas Bahia stores used as distribution centers reduce the value of freight compared to large warehouses. According to Via Varejo, the cost through stores is one quarter compared to the delivery made by the distribution center.

The Free Market says it will invest R $ 10 billion, in order, among other objectives, to continue the plan to expand the logistics network and expand fast delivery. According to the company, which also delivers on the same day in many cases, about 90% of purchases are delivered within 48 hours and 75% the next day.

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