On-Demand Delivery of Products

Most e-tailers use third party logistics carriers to deliver products to customers. They might use the postal system within their country or they might use private shippers such as UPS, FedEx, or DHL. Deliveries can be made within days or overnight. Customers are frequently asked to pay for expedited shipments (unless they have a “premium” subscription, such as Amazon.com Prime [amazon.com/Prime]).

Some e-tailers and direct marketing manufacturers own a fleet of delivery vehicles in order to provide faster service or cut delivery costs to the consumer. According to Mark Sebba, CEO of Net-a-Porter (net-a-porter.com), the company prefers “to do as much as possible in-house, which includes operating their own delivery vans for customers in London and Manhattan” (see net-a-porter-brand.blogspot.com/2013/05/ some-more-current-content.html). Such firms provide either regular deliveries or will deliver items on demand (e.g., auto parts). They might also provide additional services to increase the value proposition for the buyers. An example in this category is an online grocer, or e-grocer. An e-grocer is a that takes orders online and provides deliveries on a daily or other regular schedule or within a very short period of time, sometimes within an hour. Home delivery of food from restaurants or pizza parlors is another example. In addition, office supplies stores, repair parts distributors (e.g., for cars), and pharmaceutical suppliers promise speedy, same day delivery. As of 2014, Amazon.com offers same day delivery (via their Local Express Delivery) into over 11 cities such as Baltimore, Las vegas, New York.