Amazon Prime Moves to 1-Day Free Shipping

Amazon Prime Moves to 1-Day Free Shipping

Amazon has announced its plan to shift Prime to free 1-day shipping in the near future. The current Prime shipping plan on most items is two days.

The rollout will be gradual, with certain areas receiving 1-day shipping sooner.

At present, Amazon Prime offers a variety of delivery speeds depending on your location and the product offered.  In order to accomplish 1-day shipping, Amazon plans to spend over $800 million in the second quarter of 2019.


Video Spotlight: Amazon is making 1-day shipping the new standard for Prime members


This post is based on the USA Today article, Amazon’s 1-Day Free-Shipping Plan Changes the Game Again, by Daniel B. Kline, April 29, 2019; and the YouTube video, Amazon is making 1-day shipping the new standard for Prime members, by CNBC Television, April 26, 2019. Image source: Image Source/Shannon Fagan

Discussion Questions:

1. Should Amazon make this change to 1-day free shipping?

Guidance: It is a definite game changer. Competitors such as Walmart and Target have been changing their operations to address Prime’s 2-day shipping.  Amazon has upped the expectation on delivery speed again.

2. What changes will Amazon need to make to accomplish 1-day Continue reading

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Amazon Sellers Need Management Software

Amazon Sellers Need Management Software

April 30, 2019

For sellers trying to win an order (the coveted “buy box”) on Amazon, inventory and warehouse management software is critical.

With such software, small businesses trying to sell on Amazon can more easily achieve improved quality control, better demand planning, accurate cycle counts, dynamic routing flexibility, and superior stock level tracking.

This post is based on the Supply Chain 24/7 article, Inventory and Warehouse Management Software is Imperative to Sell on Amazon, by SkuVault, April 8, 2019. Image source: Cultura / Image Source

Discussion Questions:

1. How does this software solution decrease lead times? How does inventory quantity on hand interact with decreased lead times?  Will this software help a responsive and/or efficient supply chain?

Guidance: Students should be able to note time savings in order fulfillment to the end customer by better picking and routing.  Inventory levels should be decreased with lead time reductions to both the customer and from the suppliers.

Students may need a refresher on efficient versus responsive supply chains.  Ask them to elaborate on the ways this software can improve both types of supply chain.  Which supply chain type benefits the most from this software and why?  Continue reading

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