Amazon Introduces Seller Storage Service to Tackle Supply Chain Woes
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The logo of Amazon at the company logistics center in Bretigny-sur-Orge, near Paris, France, on Dec. 7, 2021. (Gonzalo Fuentes/Reuters)
Amazon.com Inc. introduced a new service to help its sellers store bulk inventory and ease distribution to tackle supply chain issues, the company said in a blog post.
In 2023, sellers will be able to use the new service called Amazon Warehousing & Distribution (AWD) to send their inventory to any location, including to wholesale customers or brick-and-mortar stores, the online retailer said on Aug. 31.
The pay-as-you-go service will also help sellers significantly cut logistics costs, the e-commerce platform said, without disclosing specifics.
“Amazon Warehousing & Distribution addresses critical supply chain challenges and helps sellers grow and manage their business while significantly cutting costs,” Gopal Pillai, vice president of Amazon Distribution and Fulfillment Solutions, said in the blog post.
The development comes after Amazon said that it has started slowing warehouse openings to rein in costs.
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