Insight / Blog

Amazon inventory value swells to deal with 1-day delivery

Posted on 1st October 2019

The ecommerce giant recently announced the expansion of one-day delivery for Prime customers to include millions of SKUs available through A side effect of this decision has been a huge increase in the value of inventory held by the company, as it increases purchases and holds more stock in fulfilment centres to enable the new delivery promise.

The value of Amazon’s inventory has increased 25%, to almost $18.6 billion per its quarterly report.

While Amazon has had to massively increase inventory in order to offer this level of delivery, competitors like Target and Walmart are better positioned to offer fast delivery without adding billions in new inventory thanks to their existing inventory in stores.

This highlights an advantage of omnichannel retail and the opportunity for US retailers to maximise the value of their store footprints in terms of online order fulfilment. Unsurprisingly, Amazon is also trying to move into stores as we’ve seen extensively in the US. Now though, they’re hiring for stores in the UK

Related articles

5th January 2023

5 changes we predict in ecommerce delivery & returns 2023

We check last year's predictions and forecast more changes in the first and last mile for 2023.

Read more

2nd November 2022

Q4 product release highlights – flexibility, C2C and more

These are the new product features and changes we've added in the last quarter.

Read more

27th October 2022

How to change consumer behaviour: We talk to Royal Mail, CTT and Delivering London

We spoke to industry leaders about consumer behaviour, convenience and sustainability.

Read more

Sign up for our newsletter to stay on top of the latest industry trends, challenges and solutions.


You're on our global site.


Switch the country

Japan United States