Why Supply Chain by Amazon?

Supply Chain by Amazon brings Amazon’s advanced capabilities

to your entire supply chain. Combine services through Amazon
Global Logistics (AGL), the Partnered Carrier Program (PCP),
Amazon Warehousing and Distribution (AWD), Fulfillment by
Amazon (FBA), Multi-Channel Fulfillment (MCF), and Buy with
Prime. You’ll enjoy optimized inventory placement, automated
replenishment for your sales channels, and reduced costs for
shipping and storage.

Keep your products in stock

Your FBA and MCF products are considered in stock and buyable
when they're received by AWD, making it easier to meet customer
demand.

Ship faster and more reliably

Amazon's advanced logistics, transportation, and fulfillment
capabilities move your products faster and more reliably from
manufacturers to customers around the world.

Enjoy significantly lower costs

By using our end-to-end solution, you tap into a set of fully
automated services that's more efficient. We pass the savings on
to you through lower costs and additional discounts.

Automate inventory replenishment

AWD auto-replenishment gets your products to the right Amazon
fulfillment centers in the right quantities, increasing the potential
for same-day and next-day delivery speeds, which in turn drives a
15% increase in unit sales on average.*
*Calculated April - June 2023
Streamline your entire supply chain
With a hassle-free solution, you can streamline global shipping,
distribution, storage, and fulfillment.

Track inventory at every milestone

Use Seller Central to track and manage your AGL shipments,
AWD storage, and FBA and MCF inventory.

What is Amazon’s competitive advantage?

Range of Products

One of Amazon’s most significant competitive advantages is its

vast product selection. The company offers an extensive range of
products, from books and electronics to clothing and groceries.
This selection is made possible by Amazon’s extensive network of
third-party sellers, who use the company’s platform to sell their
products directly to customers. The vast selection of products
helps to attract and retain customers, who know they can find
almost anything they need on the site.

Efficient Supply Chain

Another key competitive advantage for Amazon is its efficient

logistics network. The company’s investments in technology and
infrastructure have enabled it to offer fast and reliable shipping,
with options like two-day and same-day delivery available for
many products. Amazon’s fulfillment centers, which are
strategically located around the world, help the company to
quickly process and ship orders to customers, even during peak
shopping periods.

Focus on the Customer

Amazon’s customer-centric approach is also a significant
competitive advantage. The company places a strong emphasis
on providing a positive shopping experience for its customers,
with features like easy returns, 24/7 customer service, and
personalized product recommendations. This customer-centric
approach helps to build trust and loyalty among customers, which
can lead to repeat business and positive word-of-mouth
marketing.

Pace of Innovation

In addition to its focus on customer experience, Amazon’s focus

on innovation is another important competitive advantage. The
company has introduced a wide range of new products and
services over the years, including Amazon Prime, Amazon Web
Services, and Alexa. These innovations have helped to keep the
company at the forefront of the digital marketplace and provide
additional value to customers.

One area where Amazon has been particularly successful in

terms of innovation is its use of data. The company collects vast
amounts of data on its customers’ behaviors and preferences,
which it uses to make informed decisions about product selection,
pricing, and advertising. This data also helps Amazon to develop
new products and services that are tailored to the needs and
preferences of its customers.

Economies of Scale

Another key competitive advantage for Amazon is its ability to use

its scale and resources to drive down costs. The company’s size
and reach enable it to negotiate better deals with suppliers and
partners, which can help to keep prices low for customers.
Amazon also invests heavily in technology and automation, which
helps to reduce its operating costs and improve efficiency.