Amazon will help its customers to avoid possible delays in shipping the goods during the holiday season.
The tech giant said that it would invest billions of dollars to keep up with the needs of the customers amid the COVID-19 pandemic.
Amazon to Spend Billions to Address Shipping Delays
Amazon will spend billions of dollars to meet the needs of its customers during the huge holiday rush. Here's the full report about the company's plans ahead of the peak season.
According to a report by Gizmodo on Friday, Oct.29, the retail giant has come up with the idea of investing its money for the welfare of its shoppers, especially those who rush during the peak season.
Amazon said on Thursday, Oct.28, during the third-quarter results, that the company is headed to make "extraordinary investments" in the last quarter of 2021. This period covers the Black Friday to Christmas season, where several problems regarding product shipping exist.
Andy Jassy, the current CEO of the firm who succeeded Jeff Bezos, said that they are after the concerns of the customers. They also prefer achieving long-term profits instead of short-lived gains.
In a statement, Jassy said that they are expecting to land a billion-dollar investment to prevent shipping delays and other possible obstacles to the customers.
The company assured that it would prioritize its customers while managing the ongoing supply chain problems, supply shortages, and other issues.
The delays in shipping could be attributed to several factors, including lack of warehouse drivers, container shortages, and unloaded cargo in port, to name a few.
Amazon Slowed Down on Sales Growth
In another report by AP News, Amazon's revenue forecast for the upcoming holiday fell short of its expectations. The impact on Amazon could also be felt by customers across the US and Europe.
The three-month period that ended on Sept.30 recorded $6.12 per share. This is also equivalent to a $6.2 billion profit. During the same period a year ago, the retailer titan has collected $6.3 billion profit or $12.37 quarterly revenue.
For the final quarter of the year, Amazon anticipates its sales to juggle between $130 billion and $140 billion. For FactSet analysts, the expected result could reach $142.17 billion.
Amazon's Cashier-less Physical Store
Back in March, Tech Times wrote in its report that the e-commerce giant has successfully launched its first-ever physical store without cashiers in London. The check-out free store will let the customers buy items more conveniently.
Originally, the store became accessible to the public in 2018. At that time, Amazon used many technologies such as shelf cameras and advanced sensors for item tracking.
In 2020, the company unveiled the smart shipping carts that will monitor the goods taken by the customers. After removing the grocery bags, that's the time that they will be automatically charged by the store.
In August 2021, Amazon implemented same-day delivery which is only exclusive in 12 cities across the United States. Originally, it was only offered to Dallas, Phoenix, Orlando, Philadelphia, Washington D.C., and Nashville.
This time, the cloud computing firm added Chicago, Tampa, Houston, Charlotte, Baltimore, and Detroit.
Amazon customers can place their product orders and receive them in just a few hours. When a good is ordered during midnight, expect that it will arrive in the next morning.
Related Article: Amazon Faces COVID-19 Dilemma As it Mulls Requiring Employees To Get Vaccinated
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Written by Joseph Henry
