Amazon launched a new service that will help entrepreneurs build their own companies delivering Amazon packages. The company also says that participants have the potential to earn up to $300,000 in profits every year for a 40-vehicle fleet. It's also setting aside $1 million to specifically recruit and help military veterans become partners.
Amazon is getting into the package delivery business, with Youngstown one of many markets the company is targeting.
Then, they must identify the top three areas where they would prefer to start their delivery business and answer questions about their work experience and access to cash.
Inc. (AMZN) is enlisting entrepreneurs to help deliver its packages to the homes of millions of US customers. Firms will also receive other support from Amazon, including discounts on uniforms, fuel, insurance, and more.
"Customer demand is higher than ever and we have a need to build more capacity", Dave Clark, Amazon's senior vice president of worldwide operations, said in a release.
As part of the plan, announced Thursday, the new small delivery businesses can get training from Amazon and make use of its logistics technology. He added that Amazon has a great relationship with all their delivery services, including the post office.
Amazon is seeking new delivery partners for Prime delivery jobs. This gives them more space for organizing packages, the ability to use parking spots for delivery vehicles, and the ability to haul extra equipment, like straps and dollies.
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"Amazon's new delivery program will afford the company more "last mile" capability and control, and as a result, is credit positive".
Earlier this year, President Trump tweeted that Amazon's deal with the USPS was costing the USA money for being Amazon's "delivery boy".
While delivery rates between Amazon and USPS, and other couriers like FedEx and UPS, are undisclosed and renewed annually, the e-commerce giant may have found a way to diversify its delivery methods.
Amazon is looking for entrepreneurs to buy in on the local level and run a fleet of up to 40 delivery vehicles.
Olaoluwa Abimbola has been running his delivery service business in the Denver area as part of the beta test for the last five months.
At a press event in Seattle, Amazon unveiled one of the dark grey Prime-logoed vans that it wants to lease to delivery businesses on what it says are attractive terms. USPS said in its annual report a year ago that its revenue growth "is driven entirely by increases in shipping and packages".
It's unclear if Amazon will cut back on its postal deliveries in favour of its own and how quickly that could happen.