Amazon has started offering 1-hour and 3-hour delivery in several U.S. cities, expanding faster shipping as competition with Walmart grows.
The company confirmed on Tuesday that the new delivery options are now active in markets including Los Angeles and Chicago.
The Amazon 1-hour delivery service already covers more than 90,000 products, ranging from everyday items to toys and household goods. Meanwhile, the 3-hour option has rolled out to over 2,000 cities and towns.
Fast delivery has become essential to how Amazon wants customers to shop, and the company is trying to get people to buy more items and return more often.
To support this, Amazon is not building an entirely new system. Instead, it is using its existing same-day delivery centres.
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Inside those facilities, workers now handle fast orders at dedicated stations. Packages carry yellow labels so they can be picked and moved quickly and there are signs to guide delivery partners through the process.
Amazon is also testing even faster delivery through a service called “Amazon Now”. That pilot runs in cities such as Seattle, Philadelphia, and parts of London. It focuses on groceries and daily essentials, with delivery promised in 30 minutes or less.
“We saw an opportunity to use our unique operational expertise and delivery network to help make customers’ lives a little easier while unlocking even more value for Prime members,” Amazon Senior Vice President of Worldwide Operations Udit Madan said in a press release.
Customers pay extra for the speed as Prime members are charged $9.99 for 1-hour delivery and $4.99 for 3-hour service. Those without Prime pay $19.99 and $14.99 respectively.
This enhances Amazon’s competition with Walmart, which already reaches about 95% of U.S. households with next-day or faster delivery. Walmart’s strength in groceries gives it an edge, and Amazon’s recent changes show it wants to close that gap.
