Amazon’s ‘The Hub’ : A Move Towards Parcel Delivery Lockers

Amazon Hub

With customers turning to be King, everything is being done to keep them from moving away to another kingdom. Amazon’s new parcel delivery lockers is the latest bid to keep the customer hooked and edge out the competitors in the e-commerce space.

The Hub Locker System – Decoded!

The latest locker offering from Amazon is in fact a modular unit, having a digital keypad which is to be used by buyers to find their parcels. Typically, the building owners must apply to get the Hub installed in their property. Even though at present it seems to be an invitation only solution, with time it is expected that many residential buildings will get access to the Hub locker system. Amazon also offers choices like:

  • Apartment complex with on-site management
  • Condominium/HOA (with on-site management)
  • Commercial office space (with on-site management)
  • Single family home & others

The idea of the Hub is to address the major concern of customers who buy something bulky which cannot be delivered in the regular mailbox. So, what usually happens is that the package is redirected to the parcel depots. Hub on the other hand makes it easier to get the packages at one’s own convenient time and therefore is a major package management solution.

Parcel delivery lockers : How different are they from Amazon’s public lockers?

It is not for the first time that the e-commerce giant has come up with the option of parcel lockers. Rather, lockers at several public places and various in-stores lockers have already taken Amazon’s delivery services to new heights. But, with ‘The Hub’, Amazon has broadened the definition of customer-centric services. The idea with launching ‘The Hub’ is to make it easier and more flexible for customers to collect their packages as per their convenience right in their apartment building.

The essential point of Hub is that customers can pick their packages at their own schedule, that too near their own premises. This way, the new locker system is clearly an improvement over Amazon’s public package locker systems, and the parcel delivery lockers at the retail stores. The move is a testimony of Amazon’s ambitious goal of revolutionizing the coordination and delivery chain space. Also, it is in line with its drone project to deliver parcels, services like Prime Air, and its acquisition of delivery services in various geographic locations – the recent one being Clois Prive of France.

Is this a logistics masterstroke from Amazon?

Contrary to what many must have thought, Hub is not restricted for Amazon parcels alone. Rather, the delivery service is for packages from any service provider. This puts Amazon in direct competition against DHL, UPS, and FedEx. With its Hub project, there is no denying that Amazon did make a masterstroke in global logistics and delivery systems.

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