Amazon launches new service warehouse delivery (AWD)

On the first day of September, Amazon announced the launch of a new service - Amazon Warehousing & Distribution (AWD), which mainly helps sellers solve supply chain challenges.

As a continuation of Amazon’s years of investment in its warehousing and delivery network, to support sellers and better serve customers, Amazon is introducing a new solution that enables sellers to use new, purpose-built facilities for bulk inventory storage and automated delivery.

Amazon Warehouse Delivery (AWD) solves key supply chain challenges, helping sellers grow and manage their businesses while significantly reducing costs. AWD is one of the new products the company will share at Amazon’s annual Seller Conference on September 14-15.

Amazon believes that for many businesses, managing logistics and operations (such as inventory storage, distribution, and order fulfillment) is a source of complexity and cost. In recent years, constrained supply chains have led to global inventory backup and fulfillment delivery challenges, exacerbating these problems. In fact, a recent survey of Amazon sellers in the United States showed that the top three pain points for sellers in upstream warehousing and distribution operations are high storage prices, complex fee structures, and insufficient storage capacity.

Amazon said that with this simple pay-as-you-go service, sellers no longer have to work hard to transfer inventory from upstream facilities to Amazon logistics centers. AWD is specifically designed to solve inventory management challenges and improve operational efficiency.

According to reports, the registration process for the service is not complicated. With just one click, sellers can send their inventory to Amazon distribution centers, reducing storage costs while eliminating the complex pricing schemes and long-term contracts common throughout the industry. Sellers can integrate their upstream inventory storage business with the Amazon Fulfillment Network to ensure that they always have the right inventory quantity at the right time and place.