Industry

Amazon to cut Prime delivery times to one day through $800 million investment

Amazon

Amazon is set to invest hundreds of millions of dollars in cutting its Prime free delivery time to one day.

Brian Olsavsky, chief financial officer, revealed on a conference call to discuss the company’s latest financial results that it had been expanding the availability of one-day delivery.

Olsavsky said that this would require an investment of around $800 million despite Amazon building its logistics capabilities over the last 20 years.

He added that the impact of this in the first quarter of 2019 had been minimal and it would “take time to achieve”.

Amazon has been insourcing key logistics capabilities, including expanding its air fleet.

The marketplace netted $59.7 billion in revenue in the quarter.