Digital Retail Innovation number three – Amazon Logistics

Amazon Logistics, the arm responsible for the delivery of products bought from the online retailer, really is bringing the future to the world of e-commerce in the UK.

Jeff Bezos’ company already holds patents for flying warehouses that hold drones, or unmanned aerial vehicles (UAV), to deploy consumers’ orders within minutes of them being placed. Doing away with the brick-and-mortar of traditional shops and warehouses, Amazon has quite literally decided that the sky is their limit. Retail innovation continues to stream steadily from the American company as they push ahead with implementing a delivery eco-system maximises efficiency, reduces costs, and trims order waiting time for the consumer.

Eyes in the Sky

While future flying warehouses grab headlines around the world, Amazon also heads the pack on the use of innovative technology to enhance the existing logistics and supply chain.

Amazon has begun to use drones within their mammoth warehouses to improve the accuracy and of inventory checks and ensure that items are available for the consumer when required.

Drones, which can fly quickly and efficiently above stock in a warehouse, offer improved visibility for out-of-stock items, items that are running low, or excesses of items to help the warehouse optimize its inventory. Drones improve order picking times, save in personnel costs, and offer improved safety for warehouse staff.

For an e-commerce retailer of Amazon’s size, with warehouses measuring over 1 million square feet, high levels of stock accuracy are vital to maximum efficiency. Consumers expect a faultless service from Amazon and there are many other e-commerce options available to customers if service falls below standard.

Wheels on the Ground

Amazon’s logistical innovations are not only fantastical; they can also improve parts of the delivery process that are more familiar.

Amazon Relay, released in October 2017, is an app to streamline the warehouse pickup process for delivery trucks and vans. Relay, available for Android and Apple devices, further reduces manual labour and time spent checking in and out of a warehouse. The app, strengthening Amazon’s position in the digital freight market, gifts the company the “big picture” on its delivery fleet. It can be used to optimize their e-commerce delivery network and provide the foundation for even greater scalability.

Logistics Innovation and Consumer Experience

As Webloyalty found in the report, The Unfaithful Consumer, time constraints play a major role in where consumers decide to shop. Indeed, the report states that “everyday shopping trips for things like groceries are now being governed by speed and convenience.” Certainly, this is an attitude that Amazon is well aware of, and their focus to meet the needs of consumers has paid dividends.

With their innovative logistics developments, Amazon is trying to offer consumers both the quality of service that was offered by brick-and-mortar retail chains as well as the extreme convenience of rapid, same-day delivery of orders that their business can provide.

Amazon’s innovative nature and continued excellence in retail performance sets forth a strong and potent business future.

Digital Retail Innovations Report

Take a look at the other 49 top innovations from the UK & Ireland in The Retail Insider Digital Retail Innovations reportit highlights some of the most interesting technological developments which are taking place in the retail sector.

Webloyaltys retail innovations report