Selling on Amazon means that you have a lot of different options when it comes to order fulfillment and delivery. This is typically a great thing since you can choose what’s best for you, your business, and your products, but one of the most important things you can do is learn about your options. There are so many people who don’t take advantage of all the Amazon benefits that are available to them, so in this post, we’re going to do a deep dive into Amazon Logistics – what it is, how it works, and everything you need to know to make the right decision for you.
If you want to use Amazon Logistics, it’s important to be strategic about it. When done right, it can be a really great thing for your business. However, if it’s done wrong, it can affect your ratings as a seller and ultimately harm your business. We’ll discuss it all in this post so you can go into it with as much knowledge as possible.
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Overview of Amazon Logistics
First, let’s talk about what Amazon Logistics is. Amazon hires contractors to deliver products in certain areas instead of shipping them through USPS, FedEx, or UPS. This doesn’t mean that Amazon doesn’t use those other shipping methods – it’s just another way for them to get products to customers as quickly and as efficiently as possible.
These individuals can use any method of transportation to get packages from the fulfillment center to homes, but they do have to meet some requirements that they have to meet. And while these contractors are not technically employed by Amazon, they are expected to uphold the same customer service and efficiency that Amazon so highly values. However, that doesn’t mean that those standards are always met.
In short, their job is to pick up Amazon packages from a warehouse and deliver them. It’s on a flexible basis so they can set their own hours and work as often as they would like.
If you want to use Amazon Logistics, it’s important to be strategic about it. When done right, it can be a really great thing for your business. However, if it’s done wrong, it can affect your ratings as a seller and ultimately harm your business. We’ll discuss it all in this post so you can go into it with as much knowledge as possible.
Amazon Logistics Pros & Cons
When you’re deciding whether to implement something into your business, it’s important to weigh all of the pros and cons. Here are a few pros and cons that come with Amazon Logistics:
Pros:
- There are a number of programs Amazon offers that you can only have access to by shipping through Amazon Logistics. These include:
- Amazon Fresh
- Prime Air
- Amazon Lockers
- In some places, Amazon Logistics allows you to offer same-day or two-hour delivery
- Gives another shipping option during busy times (like Christmas) when FedEx and UPS are backed up
Cons:
- Errors can be made more easily since employees are contracted
- If something is wrong with an order, it can affect your overall feedback score
- As a seller, you can’t choose who is picking up and delivering your orders
What You Should Know Before Using Amazon Logistics
- While there can be some pretty significant drawbacks when it comes to using Amazon Logistics, as long as you get in front of the potential problems, it can be a really great thing for your business and products. To do this, you’ll want to get in contact with your customer as soon as the order is placed, then keep that communication going until the product gets to their door.
When you’re staying in contact with your customers, they’re more likely to reach out directly to you if something goes wrong rather than taking it straight to a public review or leaving negative seller feedback. When they have a point of contact, they’ll be able to have their questions and issues resolved much faster. Here’s a good example of customer communication:
1. Reach out as soon as soon as the order is placed
When someone places an order, send them an email that says something along the lines of, “Thanks for your order! We’re working hard to get it fulfilled. In the meantime, reach out if you have any questions.”
2. Reach out once the order has been fulfilled
Let your customer know when their order is ready to ship. Send them something like, “Your order is placed and ready to be shipped!”
3. Let them know when the order has shipped
This is where you’ll want to let them know that their order is on its way. You’ll also give them a tracking number so they can see where their package is at any given time.
4. Notify them that their package is out for delivery
Letting your customer know that their package is out for delivery reduces problems that could arise from an Amazon Logistics contractor making a mistake. If your customer knows that their order is on its way and they never receive it, they’ll know they can reach out to you to make it right.
5. Let them know when their order has been delivered
At this point, your customer will most likely know that their order has been delivered. However, if anything goes wrong at this stage and the order doesn’t make it to the right destination, you can work with the customer to resolve the issue.
Once their order has been delivered, you should consider sending a follow-up email asking for feedback. This can say “Give us a 5-star rating,” “Rate your experience 5-stars,” or something similar. This can really help boost your rating and help others trust that you’re a great seller. All of these touchpoints might seem redundant, but keeping your customers informed and involved at all times will benefit you (and them) in the long run.
You can send these via email, but it’s always a good idea to have your customers sign up for text updates. This way, you can be sure that your customers are seeing the updates you’re sending out.
Common Questions About Amazon Logistics
With such a massive service, it’s completely normal to have questions – and we’re here to help answer them. Here are a few things you might be wondering:
When does Amazon Logistics deliver?
The hours of operation for Amazon Logistics are 7 days a week, 8 am to 8 pm in whatever time zone the drivers are in. This gives a lot of flexibility to the drivers, but customers benefit as well. In their preferences, customers can update their preferences on when they like to receive packages.
If a customer isn’t home when Amazon Logistics comes by, depending on the item, the package will be left in a safe place on the doorstep. If it requires a signature, they’ll leave a note and let the customer know that they’ll be back the next day.
How do you accurately keep customers updated?
Sending your customer notifications like we talked about earlier will be important in keeping your customers updated, but some prefer to track things on their own. They can do this by going into their Amazon account and clicking “my orders.” If their package is out for delivery, this should show them exactly where it is, a timeframe of when it will be delivered, and as it gets closer, it’ll update them on how many deliveries are in line before them.
Sometimes their account will say the package has been delivered when it actually hasn’t yet. When that happens, the customer might get nervous that it went to the wrong house or was stolen. More than likely, it’ll still be on its way and will be delivered within a short period of time. If it does happen, encourage your customers to watch this video so they know what to do.
Is it risky to use Amazon Logistics?
Because Amazon Logistics drivers are contractors and not Amazon employees, they’re not vetted the same way and there are risks that can come up because of it. And because they set their own schedule and it’s so flexible, using FBA or FBM might be better for you and your business. However, there are thousands of sellers who use and trust Amazon Logistics and it works great for them. Almost anything worth doing comes with some level of risk, so the very best thing you can do is what’s best for you.
Is it worth it?
When you’re deciding what to do, it’s important to weigh all of the pros, cons, and possibilities that come with Amazon Logistics. It can be a great way to grow your business, but if you’re worried about the risks, sticking with FBA or FBM might be your best option for now. As long as you’re keeping your customers updated and happy, using Amazon Logistics will most likely do great things for your business.
If you need help navigating Amazon Logistics, the experts at Laser Sight Digital are here to help. Contact us today for all of your Amazon Seller needs.
