Dive Brief:

• Amazon has purchased thousands of semitrailers to expand its shipping capacity between warehouses and sorting centers in North America. 
• The online marketplace will continue to employ outside trucking companies to tow the Amazon-branded trailers throughout its distribution network. 
• Fast growth has forced the e-commerce giant to test multiple initiatives to get goods from warehouses throughout North America to customers’ doorsteps on time. 

Dive Insight:

Fast-growing Amazon has purchased thousands of semitrailers to boost its shipping capacity and smooth transport of goods throughout its delivery network. The company will continue to contract with trucking companies to haul the trailers, which will be dedicated to transporting items among fulfillment centers and sorting centers, where the company stages deliveries by zip code.

While the company owns only the trailers, it is taking more control of fulfillment, continuing exploration of drone deliveries, tapping local couriers for Prime Now two-hour service and regular deliveries, and contracting with the United States Postal Service to deliver packages on Sundays.

Amazon’s North American retail business was up 35% in the third quarter, and the company grabbed a similar share of online sales on Black Friday. Prime membership continues to expand, and Amazon is making inroads into apparel and other categories. Its fulfillment initiatives have often produced their own growing pains, however—contract couriers in Orange County, CA, recently filed suit against Amazon seeking the benefits afforded to its own employees.