Amazon Wants You to Start a Business As a Package Delivery Driver


The idea is that someone can work with Amazon to start their own independent delivery service, with access to Amazon's delivery infrastructure and guaranteed work, given the high volume of deliveries Amazon makes every day.

Dave Clark, Amazon's SVP of worldwide operations, "said he would expect to see operators with 20 to 40 vans employ 100 drivers".

Amazon's new program, called Delivery Service Partners, offers startups an opportunity to grow a successful package delivery business.

Amazon uses the big parcel delivery services, along with smaller firms and the post office.

AMZN stock was up 1%, UPS stock was down 2% and FDX stock was down 2% as of Thursday morning.

The contractor will be responsible for hiring delivery people, and Amazon would be the customer, paying the business to pick up packages from its 75 USA delivery centers and dropping them off at shoppers' doorsteps.

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The new incentives appear to be part of an effort by Amazon to rapidly expand that network, as its last-mile-delivery needs have ballooned in recent years.

"Clark said his job was to think five to 15 years down the road about Amazon's needs and that the new delivery program was created to meet future growth and capacity demands".

"We evaluated how to support our growth, we went back to our roots to share the opportunity with small-and-medium-sized businesses".

It's also offering military veterans who qualify $10,000 in reimbursements to get their own delivery business started. In return, Amazon gets more ways to ship its packages to shoppers without having to rely on UPS, FedEx and other package delivery services. Amazon would also gain exclusive delivery services instead of competing for available delivery windows with packages from rivals.

"I had prior experience running my own business but not in logistics", said Olaoluwa Abimbola, one of Amazon's beta participants in the new offering. However, it also clear that Amazon is looking to give the industry a significant shake-up - as it could mean that in a few years we will be seeing thousands of Amazon-branded vehicles operated by Amazon-liveried drivers, delivering Amazon products across the US. That would remove the burden from those sellers shipping goods to Amazon themselves.

The company says delivery partners who are accepted into the program could earn about $300,000 in annual profits operating a fleet of up to 40 delivery vehicles. In March, the company patented a drone system allowing the vehicle to react when someone waves their hands or shouts.