Amazon now has eight distribution centres across Brazil and is moving closer to extending some fulfillment services to sellers, in what is likely to pose an even bigger challenge to competitors also striving to respond as fiercely to Brazil’s growing e-commerce demand.
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Amazon grows delivery network in Brazil’s largest logistics push

Amazon.com Inc. is opening three new distribution centres in Brazil, marking its largest logistics push in Latin America’s largest market as competitors intensifies amid the coronavirus pandemic.

The enlargement, which comes two months after the US e-commerce big launched its largest distribution middle but within the nation, provides 75,000 square-meters to Amazon’s logistics infrastructure. It additionally offers it extra bandwidth, elevating to 500 the variety of cities with deliveries in lower than 48 hours — simply shy of 10% of municipalities in Brazil.

“It’s in our DNA to expand and be closer to our customers,” Amazon’s nation supervisor for Brazil Alex Szapiro stated in an interview, including that “there’s still more to come” with out elaborating additional.

The new distribution centres, which collectively are anticipated to create 1,500 direct jobs in Belo Horizonte, Brasilia and Porto Alegre cities, had been made within the so-called “built-to-suit” mannequin and have the identical expertise utilized in different international locations, he stated. Szapiro declined to supply funding figures, however added all three can have storage capability expanded if wanted.

The Seattle-based firm started to construct its long-awaited supply community in Brazil in January final yr, when it opened the primary distribution centre simply exterior the mega metropolis of Sao Paulo to kick off direct gross sales and develop operations past {the marketplace} for third-party sellers.

Amazon now has eight distribution centres throughout Brazil and is shifting nearer to extending some success providers to sellers, in what’s more likely to pose a good greater problem to rivals additionally striving to reply as fiercely to Brazil’s rising e-commerce demand.

Magazine Luiza, B2W Companhia Digital, Via Varejo and powerhouse MercadoLibre Inc. have been stepping up efforts to hurry up deliveries and take a much bigger chunk of the market, both via acquisitions or organically.

Read More: MercadoLibre Takes Page Out of Amazon Playbook With Air Fleet

Like the Buenos Aires-based retailer, Amazon at the moment makes use of airplane cargo carriers to ship merchandise in Brazil.

“Some of the new locations we’re opening like Brasilia, for instance, have a fantastic air route with daily flights to North and Northeastern cities,” Szapiro stated.

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