Wal-Mart Stores Inc (NYSE:WMT) And Amazon.com, Inc (NASDAQ:AMZN) Battle It Out For The Last Mile

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The stock of Amazon.com, Inc (NASDAQ:AMZN) closed at $1,110.85 gaining 0.90% in yesterday’s trading session. This company’s early and major focus on delivery is what has gotten it where it stands currently. It has been providing free shipping services to quite a large number of companies that exceed given spending thresholds.

In 2005, Amazon Prime was unveiled, a thing that saw the company give U.S. members unlimited, free two-day shipping for eligible items at a yearly rate of about $99.From that particular moment, the company has been seen as focusing on offering next-day and same-day shipping to the huge diversity of prime members on the growing list of select items.

Those decisions at the moment appear prescient. Consumer Intelligence Research Partners have made their estimates. They have counted about 90 million U.S. members, and on an average basis each spends about $1,300 yearly.  That is in close comparison to an estimated $700 per year for the non-members.

At the moment, quite a significant number of retailers have been seen to be countering. Amazon on its part is considering taking full advantage to the next level and that would of course be by accessing control of the last leg of the journey in the process of ensuring delivery to the exact locations of customers. Both Amazon and Wal-Mart Stores Inc (NYSE:WMT) seem to be scrambling for the last mile.

One is able to tell quite much from the recent developments. All of them point towards just how serious the top retailer can get in the last mile. Currently, the company takes great pride in its massive logistics and delivery operation that has been undergoing major expansions overtime.

A few months back, Amazon went quietly to unveil a program by the name Hub, which installed lockers in the multi-tenant dwellings like apartment buildings, complexes and condos. It is the residents who usually receive deliveries from any sender as opposed to what many believe to be Amazon.

The company’s spokesperson opined, “Amazon is also working to expand the number of products available for free two-day delivery. It is experimenting with a program called Seller Flex, where Amazon picks up goods from the warehouses of third-party sellers and delivers them to customers.”

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