Faster delivery and preferably free. That is increasingly what customers are demanding in the fast-moving consumer goods (FMCG) sector. According to Sarah Rhoads, vice president of Amazon Global Air, it was with this in mind that the global e-commerce giant opted to lease another 12 Boeing 767-300 converted cargo aircraft. One of the aircraft has already been delivered to Amazon Air, while the remaining 11 will be delivered in 2021, boosting the company’s fleet to 82.
“Amazon Air is critical to ensuring fast delivery for our customers – both in the current environment we are facing, and beyond,” said Rhoads. “During a time when so many of our customers rely on us to get what they need without leaving their homes, expanding our dedicated air network ensures we have the capacity to deliver what our customers want: great selection, low prices and fast shipping speeds.”
According to Rhoads, Amazon will continue to invest in ways to provide not only fast, but free delivery.
Supply chain experts maintain that the likes of Amazon and Alibaba are the biggest disruptors in the FMCG sector due to their ability to meet ever-changing customer demands.
According to Ismael Villarrubia, global supply chain director for food retailer Angel Camacho, keeping up with these companies will be crucial for FMCG producers and their logistics service providers.Amazon and Alibaba’s abilities to give consumers near-unlimited choice of products with same-day delivery makes them forces to be reckoned with.
They have also recognised the importance of logistics and taken control of this process by setting up their own f leets and distribution centres. Cathy Foulon, Southwest Europe SCM Manager at Maersk, said it had become critical for companies to react very fast in terms of the supply chain, making end-to-end data visibility crucial.“Considering that 80% of supply chain data comes from outside an organisation, it is of super importance to have everyone aligned – manufacturer, supplier, carrier, forwarder – to ensure global visibility for faster reaction to market demand and improved competitiveness.”