Amazon India to offer its transportation services to third-party merchants

E-commerce giant Amazon will offer its transportation and logistics network as a service to third-party merchants, businesses and direct-to-consumer brands in India.

According to TechCrunch, the company attempts to replicate the model “Buy with Prime” that it has been testing in the US for several months to drive revenue in the key overseas market.

The service, called Amazon Shipping, offers “extensive reach and the highest reliability ” all at the lowest logistics cost,” according to the company’s website.

Amazon Shipping “will pick up your parcels 7 days a week, and deliver them to your customers,” the company adds.

The retailer, which has invested more than $6.5 billion in India over the past seven years, claims to offer shipping at “competitive rates” and to have a dedicated support channel, according to the report.

Moreover, there will be no additional fee for deliveries on weekends, and customers will not be tied to any contract for a consignment, allowing them to cancel the service at any time.

The company’s site says that it has partnered with local firms Shiprocket, Unicommerce, Easyecom, Clickpost and Vinculum for order and delivery management systems.

Also, it has been testing the service for at least a few months in India, the report added.

The expansion of Amazon’s shipping service may cause headaches for local firms such as Delhivery, Ecom Express, and even legacy logistics companies like Blue Dart and India Post, said the report.

Meanwhile, Flipkart, the Walmart-backed rival of Amazon in India, also started its transportation and logistics network as a service to third-party firms earlier this year.

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