Amazon has launched a new service that opens its logistics network to businesses beyond its marketplace sellers, expanding its role in third-party logistics.
Amazon Supply Chain Services (ASCS) provides access to the company’s freight, distribution, fulfillment and parcel delivery capabilities to businesses of all types and sizes across sectors including retail, manufacturing, healthcare and automotive.
Amazon said the move builds on its existing logistics infrastructure, developed over nearly three decades to support its e-commerce operations and third-party sellers. Over the past three years, the company has supported hundreds of thousands of sellers in moving and storing goods across facilities and sales channels outside its own marketplace.
“With the launch of ASCS, we’re confident we can give any other business access to the same cost efficiency, reliability, and speed that we’ve built for Amazon customers,” said Peter Larsen, vice president of Amazon Supply Chain Services.
The company’s fulfillment model has been tested through its Fulfillment by Amazon (FBA) program, which has handled more than 80 billion units since 2006. Amazon said sellers using its end-to-end logistics services have seen nearly 20% higher sales.
ASCS expands these capabilities into a broader, integrated offering that connects multiple stages of the supply chain, from inbound freight to last-mile delivery. Services include ocean, air, rail and ground freight, inventory storage and distribution, and parcel shipping with delivery speeds of two to five days.
Several major companies are already using the service. Procter & Gamble and 3M are using Amazon’s freight services to move raw materials and finished goods, while Lands’ End is using its inventory and fulfillment network across multiple sales channels. American Eagle Outfitters is using Amazon’s parcel delivery network for direct-to-consumer shipments.
Andrew McLean, CEO of Lands’ End, said, “We’re excited to leverage Amazon Supply Chain Services to position inventory closer to customers so we can reach them even faster.”
Amazon said the service is designed to provide end-to-end visibility and simplify logistics operations by reducing the need for multiple providers and contracts. Businesses can access the services through a centralized platform, allowing them to select and manage different logistics functions within a single system.
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