Amazon’s logistics empire grows, matches up to FedEx and UPS

Amazon’s supply chain ambitions were well-documented before COVID-19 gripped the world, but the e-commerce giant turbocharged its logistics expansion this year to catch up with elevated demand brought on by the pandemic.

Amazon already surpassed FedEx and nipped at UPS’ heels in 2020 in terms of U.S. parcel deliveries, according to Pitney Bowes, and the company’s logistics empire has grown even stronger since. Among the results: Amazon nearly doubled the size of its fulfillment network over 18 months, grew its freighter fleet and even launched a local delivery option for businesses.

The company still has work to do heading into 2022. Its one-day delivery service for Prime customers hasn’t adjusted to the demand spike, and recent labor constraints have limited the efficiency of the company’s supply chain.

Still, 2021 was a strong year for Amazon in its bid for complete control over its logistics operations. Here’s a look back on some of the year’s biggest Amazon stories.

Amazon says fulfillment, logistics expansion will help it return to 1-day delivery
By Matt Leonard • Feb. 3, 2021
Additional square footage allows Amazon to handle more shipments internally and have greater control from point A to point B. Read the full article ➔

Amazon insources logistics with a growing network of delivery stations
By Matt Leonard • April 27, 2021
Once the expansion is completed, “there won’t be an ounce of soil in America that Amazon can’t reach with its own fleet,” one analyst said. Read the full article ➔

Amazon rushes to boost fulfillment capacity as it plays ‘catch-up’ to demand
By Max Garland • July 30, 2021
Amazon doubled its fulfillment network size in 18 months. It was still not enough to meet demand for one-day delivery. (And peak season is yet to come.) Read the full article ➔

5 charts show Amazon’s growing logistics network as it puts inventory closer to consumers
By Matt Leonard • Aug. 2, 2021
Amazon doubled down on its commitment to expand supply chain capacity on its latest earnings call. And in 2020, its capital expenditures were more than three times greater than those of Walmart. Read the full article ➔

Amazon Logistics now ships more US parcels than FedEx: Pitney Bowes
By Max Garland • Oct. 19, 2021
The company’s logistics arm has grown in parcel volume and revenue, outpacing FedEx, UPS and the Postal Service every year since 2014. Read the full article ➔

Amazon launches in-store pickup, local delivery option for businesses
By Kaarin Vembar • Oct. 22, 2021
The new services expand the company’s omnichannel scope and offer sellers more fulfillment options Read the full article ➔


Post time: Dec-29-2021