Amazon optimizes its delivery network for faster delivery, lower costs

May 13 (Reuters) – Amazon.com Inc ( AMZN.O ) said it has optimized its delivery network coming out of the COVID-19 pandemic, allowing it to increase delivery speeds and lower costs, while reducing the e-commerce giant’s carbon emissions.

The online retailer said on Saturday that it has reduced delivery times, changed its inventory management system and search functions to show customers items closest to them, resulting in products reaching 1[ads1]2% fewer touchpoints before being delivered.

At a time of weak consumer demand, Amazon and other online retailers have also made efforts to reduce home delivery and return costs.

Amazon said this week that it is offering US customers $10 to pick up a purchase instead of having it shipped to a home address. As the company tightens its belt after a period of explosive growth, it has made a number of moves to reduce delivery-related costs across the company.

The e-commerce company’s move was first reported by the Wall Street Journal on Saturday.

Reporting by Kanjyik Ghosh in Bengaluru

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