Amazon has unveiled its new ‘Supply Chain by Amazon’ service, an all-encompassing, fully-automated solution designed to streamline the entire supply chain process for sellers. This end-to-end service aims to facilitate faster and more reliable product movement from manufacturers directly to customers on a global scale.
The service leverages Amazon’s advanced logistics, warehousing, distribution, and transportation capabilities, offering sellers the tools they need to significantly reduce shipping times. By automating the process, sellers can save time, effort, and money. Amazon highlighted that the service enables sellers to simplify operations by providing product details and pick-up locations while Amazon handles the rest—ranging from carrier pick-up and inventory consolidation to strategic replenishment and optimized fulfillment.
With hundreds of thousands of sellers already utilizing at least one component of ‘Supply Chain by Amazon,’ the company reports that the adoption of multiple services has tripled in the first half of 2024. The service’s popularity is further demonstrated by Amazon’s global operations in August 2024, where over 20,000 containers were moved, and its domestic logistics services are now available in 19 countries. In the US alone, Amazon’s domestic logistics have handled 2 billion product units in the past year.
In response to this growing demand, Amazon plans to triple its Amazon Warehousing and Distribution (AWD) capacity in the US by the end of 2024, a move aimed at accommodating the rapid growth of seller participation.
Steve Neufer, co-founder of Juvo+, an Amazon seller, described the impact of the new service on his business:
“Partnering with Amazon for our end-to-end supply chain has been transformative. The speed and reliability of their logistics have allowed us to maintain stock levels efficiently, requiring less working capital, while providing our customers with faster delivery options. We’ve seen our sales conversions roughly double as a result.”
Amazon’s continued investment in its supply chain infrastructure highlights its commitment to supporting sellers with a reliable, efficient, and scalable logistics solution.
