Amazon enters supply chain space with Amazon Supply Chain Services

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Online retail giant Amazon announced it has entered the supply chain space with its latest offering – Amazon Supply Chain Services.

The company said it has opened its portfolio of freight, distribution, fulfillment and parcel shipping capabilities to businesses of all types and sizes. With the supply chain services launch, the company expands its third-party logistics capacity to support businesses in industries like healthcare, automotive, manufacturing and retail.

“Amazon is bringing the infrastructure, intelligence, and scale of its supply chain services—proven over decades—to businesses everywhere, much like Amazon Web Services did for cloud computing,” Peter Larsen, vice president of Amazon Supply Chain Services, said. “Supply chain wasn’t just a function at Amazon—it was core to providing an exceptional shopping experience. Our differentiator. The reason we could offer fast, dependable delivery that nobody else could. And with the launch of ASCS, we’re confident we can give any other business access to the same cost efficiency, reliability, and speed that we’ve built for Amazon customers.”

The company said that over the past three years, hundreds of thousands of Amazon sellers have used the company’s logistics network to move, store, and packages across third-party facilities, warehouses and sales channels. Now with its supply chain service, Amazon opens up its freight, distribution, fulfillment, and parcel shipping capabilities to businesses outside of its existing seller base.

“Amazon has added value at every stage of our supply chain from cross-border logistics to warehouse storage and parcel shipping,” Todd Bairstow, founder of Finer Form, said. “We’ve been able to save money, eliminate operational complexity, and it’s given us more time to focus on what matters: building our brand. Honestly, there wouldn’t be a Finer Form without Amazon.”

So far, Procter & Gamble, 3M, Lands’ End, and American Eagle Outfitters, Inc. have been among the first companies to sign up to use Amazon’s logistics network across their supply chain.

“Amazon is one of our key ecommerce partners, and we’re excited to leverage Amazon Supply Chain Services to position inventory closer to customers so we can reach them even faster,” Andrew McLean, CEO of Lands’ End, said. “This consistency is central to our solutions-based approach, enabling us to serve customers with confidence and agility, especially during peak seasons.”