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Amazon has big plans for small businesses

Amazon has big plans for small businesses
Amazon has big plans for small businesses

Large successful companies are not built overnight. It takes long hours, many trial and errors, before that day when all the puzzle pieces fall into place. The world’s largest online retailer Amazon has taken note of the effort and great strides made by the small passionate businesses in communities. It’s incorporating that effort by hoping to empower over 2 500 small businesses with its new program called Amazon Hub Delivery.

Another success story is a local Australian beef company Our Cow, now delivering same day meat to your doorstep. It all started with humble beginnings when two young farmers Bianca Tarrant and Dave McGiveron lost everything in a natural disaster. The worst droughts and bushfires tore down everything they had more than four years ago. In 2019 they started afresh and are today supporting 150 farmers and boasting with 50 000 customers. 

What is Amazon Hub Delivery?

With over 28-years of experience, Amazon wants to partner with small businesses with an exceptional knowledge of delivery in their communities. Instead of trying to rely on small fleets, fearing to add that “same-day delivery” button on your website, Amazon is trying to breach those shortfalls. This way small businesses will have an opportunity to tap into the big market, boosting their revenue significantly. 

Experts believe this is a smart business expansion move by Amazon. Locate2u’s CEO Steve Orenstein thinks so too. “They are incorporating a delivery driver that will be delivering to all these smaller hubs across the areas. This means tey will take the hub-volume and deliver to the actual consumers. It will enable them to build this vast network of delivery drivers right across the world. It means they will continue to keep on controlling the delivery experience.”

How Amazon gets small businesses involved

Who knows how to navigate through a small town better than its own locals. Amazon Hub Delivery is not trying to fight against a system that is already working. It will therefore be joining hands with over 2 500 partners, to empower small entrepreneurs, with a strong understanding of their neighborhood, to deliver goods to doorsteps much faster and efficiently. 

The best part is small businesses won’t have to get rid of their staff, they can use their own resources available. According to Amazon, if they reach their goal of partnerships with small businesses, this program could result in $38 million in incremental income for those businesses who have signed up.

Business benefits of using local delivery services

Speed and cost are always at the top of the delivery list for any type of customer. The Amazon Hub Delivery project aims to improve the delivery speed, cost and invest back into the local economy. By reducing the amount of delivery vans traveling to the same warehouses, at the same time of the day, it will reduce cost and resources.  “Now what you could be having is a truck, it’s actually doing that big pickup. The one truck is going to all these little hub locations along the way, that’s going to be far more efficient and reduce costs. Then you will have that last mile, whether it’s 3km or 5km. It’s really a short distance from these hub locations across the world. It makes a lot of sense,” said Orenstein. 

It will take a lot of planning, effort, and strategy to set up these hubs, which other retailers and online shops will be taking notes from in the future. 

A small business’ success story

Australian based meat company, Our Cow, has grown by a whopping 15% in May, four years since it started. Only now it has managed to launch same-day delivery to Sydney customers in Australia. With same-day delivery clients who are prepared to pay a bit extra, can order meat at around noon, and can expect a delivery by that evening.

 But it all started with humble beginnings for owners Bianca Tarrant and Dave McGiveron when they lost everything in the worst drought in Australia’s history/ “It was during these challenging times we saw how strong the support for farmers and rural communities is. We had a vision to create an everlasting connection between farmers and the people who purchase their food. This is the driving force and inspiration of Our Cow from its early beginnings to today,” said the founders.

Get other businesses involved

The aim was never to only to grow a successful business by themselves, but also create a market for farmers in the community that can support them with customers throughout the difficult times. “To give people in the city an opportunity to support farmers everyday through their food choices. We wanted to connect consumers to where their food comes from, tell the positive stories of agriculture and deliver the very best grass fed and organic meat to the dinner table of fellow Aussie Families.”

Start small is the message from the successful farmers. As the demand grew for quality meat, the business expanded gradually. “We wanted to help farmers all across the country get a fair price for their livestock and connect them to where their food goes. Rarely as a farmer do you know where your produce ends up and it’s extremely rewarding to know a family just like yours, in your own country is sitting down and enjoying the fruits of your labour,” explained Our Cow.

About the author

Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.

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