Advertisement

Blog

Amazon Wants Every Friday to be Black Friday

In leveraging delivery and logistics practices, Amazon.com hopes to make every Friday a Black Friday this holiday season.

The online retailer announced earlier this month that it would work with the United States Postal Service (USPS) to deliver on Sundays starting during the holiday season in select markets, New York and Los Angeles, with expansion to other major cities in 2014.

A few things jump out about the announcement. First, it's curious that for this partnership Amazon did not choose FedEx or UPS, two shipping companies that Amazon already partners with and that are arguably are more financially secure and better staffed to handle the additional seven-day-a-week load than the USPS.

And second, it's a way for Amazon to chip away at brick-and-mortar competitors using supply chain smarts. Ranked by Gartner as one of the leading supply chain companies, Amazon has had this move on its wish list for years and has put supply chain strategy in place to see it through.

For example, Amazon has been setting up delivery lockers in certain stores around the country and also recently set up mini-distribution centers in Procter & Gamble plants to ship directly to customers. That not only cuts down on costs but also increases the speed in which buyers receive their goods.

As a retailer, Amazon has some major wins: It's expansive selection of goods, simple to use website and apps, accurate recommendations feature, and overall competitive pricing, to name a few. What it has against it, even still in 2013 when more and more consumers look to the web for shopping each day, is shipping time.

Before this move, when I or any other consumer places an order on a Friday, I did so knowing that even as an Amazon Prime subscriber, I'd have to wait until at least Monday to receive my goods. If I needed something for the weekend or early in the week, which I often did, I'd have to drudge out to a local store to make a purchase and guarantee the goods are in hand.

It's a conclusion we'll see a lot over the holiday shopping season, especially this shortened holiday shopping season. Who has time to wait when there's six fewer shopping days between Thanksgiving and Christmas this year?

Amazon's move is a way to buck the brick-and-mortar trend and, in effect, a way for it to make every Friday a Black Friday for itself, upping its sales by enticing shoppers to cozy up to their PCs or mobile devices to complete their holiday shopping on a slow Friday afternoon at their desks or with their morning cup of coffee and seeing their Amazon package on their doorstep by the end of the weekend.

Overall, I'm applauding the move by Amazon as an example of supply chain strategy at its best. It's a strategy distributors have been using and embracing in recent years. More centers for stock based on regional buying trends and speedier shipping wins the components sale, just as the strategy could win the gift sale this holiday.

What do you think? Share your thoughts below.

18 comments on “Amazon Wants Every Friday to be Black Friday

  1. Ashu001
    November 27, 2013

    I was seriously thinking about the Pros and Cons of this Deal.

    While I am most definitely in favor of Increased Competition I am really starting to worry about what impact this Deal will have on the Retail Industry in America.

    As most folks know the Retail Industry is one of the Largest Employers in America.

    If Folks no longer need to come to the Mall/Shops to buy stuff they need;what does this do for those Jobs?

    Look at the Mess at JCPenny for instance.

    And,No I don't think Amazon will generate as many Jobs as it will Destroy going ahead with this Venture.

    Maybe it might save the USPS for some more time but for the rest the Signs are very much ominous.

     

  2. ahdand
    November 27, 2013

    @tech4apple: I think not only Amazon all the users who love tech would simply embrace it. I think Amazon would have made a good margin here especially with the current situation.      

  3. Ashu001
    November 28, 2013

    Nimantha,

    If you look at all the latest Quarterly reports coming out from Amazon you can clealry see that their Margins are shrinking(not expanding).

    Problem is what we are seeing now is cannabalization of existing retailers by Amazon(not growth).

    This is where things get very dicey for all retailers concerned.

     

  4. prabhakar_deosthali
    November 28, 2013

    Whatever be the strategy of Amazon and whatever may be the after effects of it on the retailers, one thing is sure – The shoppers will be happy this holiday season as they do not have jostle in the crowds to make their purchases.

  5. _hm
    November 28, 2013

    It is wonderful to shop with family having food and meeting few friends. Also, you can touch and experience and make impropmtu purchase. You discover many new things and walk and get good health.

    Online is good for urgent needs. Else it is lack luster approach. On the contarary, one should fly or drive far to do shopping and enjoy family life together.

     

  6. ahdand
    November 28, 2013

    @prabakar: Indeed since this will mean that the users will get a good discount plus the slow moving items too will be exposed for amazon.      

  7. Daniel
    November 28, 2013

    As a non US citizen, I would like to know more about this Black Friday. What is Black Friday means? Is it a celebration or something else?

  8. Ashu001
    November 29, 2013

    Jacob,

    I think Wikipidea explains the Phenomenon perfectly.

    http://en.wikipedia.org/wiki/Black_Friday_%28shopping%29

    Its basically the Day after ThanksGiving which is an extremely important Holiday in America ;where Americans celebrate (and are given a reason by the Government to Celebrate Abraham Lincoln's Fight and Eventual Victory in the Civil War whcih would have ended up Tearing America up into 2-3 different parts if he Would have lost the War.

    http://en.wikipedia.org/wiki/Thanksgiving_%28United_States%29

     

    Its like Christmas in most of the world where Families get together and ENjoy Themselves!!

  9. Daniel
    December 1, 2013

    Ashish, thanks for the link and educating me.

  10. t.alex
    December 2, 2013

    Recently Amazon introduced delivery droid, and that's pretty amazing. In the near future we can see many droids flying in the sky fiction movies.

  11. Ashu001
    December 3, 2013

    Alex,

    It will be a Massive-Massive Headache to Manage from the FAA point of view.

    I am sure you agree too!

  12. t.alex
    December 6, 2013

    tech4people, yes, safety, safety and safety standards!

  13. Ariella
    December 7, 2013

    @Jacob @ashish It used to be unique to the US, but it's making inroads in the UK, according to this

    'It was madness. It was over within a matter of minutes.'

    Added security guards were present for the Black Friday event – an American custom where stores cut their prices for 24 hours on the day after Thanksgiving. 

    Meanwhile, hundreds of people were waiting to get their hands on televisions, DVD players and other goods at the supermarket in Leyton, East London this morning.

    There were even some violent altercations detailed in the article.

  14. Daniel
    December 9, 2013

    Added security guards were present for the Black Friday event – an American custom where stores cut their prices for 24 hours on the day after Thanksgiving. 

    Ariella, that's a good deal for customers.

  15. Ashu001
    December 15, 2013

    Alex,

    This is where I struggle to understand what the FAA wants/Does'nt want.

    After all if it was just a matter of Security then the FAA would have given permission to many more Flying Machines than we have in the Air today.

    However,Whenever the Government wants anything;It gets it-No Questions Asked.

     

  16. Ashu001
    December 15, 2013

    Ariella,

    Undoubtedly.

    There is no Shortage of Crazy Folks Worldwide!!!

    LOL!!!

     

  17. t.alex
    December 16, 2013

    tech4people, 

    probably this is something very new, and the government itself does not really know what to define. 

  18. Ashu001
    December 17, 2013

    Alex,

    That could be one possibility.

    The other(which I prefer) is that The Government has already sold out to Crony Capitalist Interests which have constantly run this Country into the Ground and so will not let anyone else enter the Market who has the potential of Damaging the Status Quo and Cosy Comfort Levels for all those Companies currently doing Business here.

     

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.