E-commerce firm Amazon India has increased storage capacity by 54% to 20 million cubic feet by launching five new warehouses, also known as fulfilment centres, in cities including Gurgaon (part of Delhi-NCR), Mumbai, Kolkata, Bengaluru and Vijayawada. Till 2017, all Amazon warehouses put together had a storage capacity of 13 million cubic feet.
“The new fulfilment centres would allow sellers to stock more goods. Further, this would help in expediting the process of delivery, especially for Amazon Prime customers. We would be able to cater to customers’ demand at a faster pace in 13 states,”Akhil Saxena, VP, customer fulfillment, Amazon India, said.
Moreover the total number fulfilment centres run by Amazon has increased to 67 from 41 centres in 2017. The e-commerce company had just 27 fulfilment centres in 2016. The new warehouses will stock all kinds of goods including apparel, home and kitchen appliances, except grocery items and large appliances. Of the total number of warehouses, 15 fulfillment centres are run to service orders for Amazon Now — it’s grocery business, and another 15 such centres for large appliances such as refrigerators, TV besides furniture.
Amazon has also set up close to 150 delivery stations in an effort to support last mile delivery programmes. Additionally, it has 60 delivery stations to exclusively manage deliveries of large appliances and furniture. Further, it runs a service partner programme.
Under this, the e-tailer works with entrepreneurs to manage logistics and transportation in Tier 3 and Tier 4 cities and towns. The number of service partner delivery station increased 40% to 350 in 2017, compared with 250 stations in 2016.
Earlier in an interview to FE, Saxena had said that the expansion of warehouses is part of the $5-billion investment commitment Amazon has made in India. The investment is being used to build key areas of the e-commerce business, such as technology and infrastructure, including building warehouses, logistics, transportation, besides introducing seller-enablement programmes, such as Tatkal – a quick enrollment programme for sellers.
Source: financialexpress.com