Amazon built it's supremecy on the back of a 'JUST IN TIME' delivery model, not a warehousing one. Their warehouses aren't for stockpiling, but for in and out distribution. There is no way they have weeks let alone months stockpiled.
How can they prime one day delivery if they’re waiting for “just in time” product (from China)? They have to have supply to a degree. Granted, maybe they stockpiled for a month or so but with demand they would adjust.
Edit: it’s probably why things like... I don’t know, let’s say horsepaste.. are no longer available two day. They have supply for a certain period, beyond that they have to refill product. My horse was parasite free months... today he’d be in limbo. They’re building warehouses everywhere now.
By being really fucking good at their supply chain. That's the point. That's why Amazon is fucking amazing. It's not their front end shit, it's their backend supply chain.
They may have enough for three days, with additional projected replenishing supply arriving daily, but they definately don't have weeks, let alone months sittign around.
If in general they sell 1,000 units of something a day, they have 3,000 arriving every three days on a boat and keep 4,000 spread in warehouses across the US. So even though it takes two weeks to arrive from China, they can still meet same day shipping.
And I'm probaly over estimating. They probably don't even keep a supply, and only have a projected number arriving daily - and everytime your shipping delays to a two day or a threeday delay, it's because there was a spike their algorithm didn't predict despite showing and guiding you to other products they did have in supply.
They will eventually have « out-of-stocks ».!They are currently fulfilling from U.S. based warehouses, (and other U.S. based fulfillment options but eventually they have to replenish the inventory. That is when it really hits the fan. Plus the beauty of those container ships just floating hurts China because they only get paid upon receipt of good at the warehouse. So they are not paid, and probably won’t ever be paid because of the EO, According to a fren.
When you click 'buy', the item that they shipped 2 weeks in advance (because they sell on average x units per day) that just arrived in port yesterday and arrived in the warehouse 3 hours earlier is allocated to you and shipped out. It arrives at your local distribution hub 1 dday later, and your home same day or the next (1-2 day shiping)
And had you waited 24 hours before buying, you'd have gotten the item that arrived on the ship the following day. They order and receive constantly, in advance.
If enough orders are placed for that item from that warehouse, the supply tally will decrease to a preset replenishment level
No. They do not keep 10,000 units on hand, then place an 8k order when it hits 5,000, so they get back up to to 10,000 when their 2 week shipment finally arrives when they are then below 2k units and running real low. That's 90's fullfillment. Amazon broke the model by going 'just in time' and being able to offer lower prices in part due to needing a tiny fraction of the amount of warehouse space.
If they sell 500 units a day. They have 500 units arrive every day, with maybe a few hunded more as a buffer. The consequence is an insanely lowered warehouse footprint which saves a ton of money and allows them to redirect and instead open ton of region 'distribution' centers rather than larger stocking facilities - this regionality then allows for 1-2 day shipping.
All because they do what you can't fathom as actually being possible - have the item you purchase ordered and on a boat two weeks before you hit the buy button, using predictive statistical modeling, dynamic pricing, and product nudging (they order too much of something, it shows up in your feed for less, they order two few and it shows up costing more and you get shown alternatives first)
They could have a stockpile? Already here?
Amazon built it's supremecy on the back of a 'JUST IN TIME' delivery model, not a warehousing one. Their warehouses aren't for stockpiling, but for in and out distribution. There is no way they have weeks let alone months stockpiled.
How can they prime one day delivery if they’re waiting for “just in time” product (from China)? They have to have supply to a degree. Granted, maybe they stockpiled for a month or so but with demand they would adjust.
Edit: it’s probably why things like... I don’t know, let’s say horsepaste.. are no longer available two day. They have supply for a certain period, beyond that they have to refill product. My horse was parasite free months... today he’d be in limbo. They’re building warehouses everywhere now.
Easy. Tons of distribution centers. One in town doesn’t have it or ran out? Well then one nearby likely does.
By being really fucking good at their supply chain. That's the point. That's why Amazon is fucking amazing. It's not their front end shit, it's their backend supply chain.
They may have enough for three days, with additional projected replenishing supply arriving daily, but they definately don't have weeks, let alone months sittign around.
If in general they sell 1,000 units of something a day, they have 3,000 arriving every three days on a boat and keep 4,000 spread in warehouses across the US. So even though it takes two weeks to arrive from China, they can still meet same day shipping.
And I'm probaly over estimating. They probably don't even keep a supply, and only have a projected number arriving daily - and everytime your shipping delays to a two day or a threeday delay, it's because there was a spike their algorithm didn't predict despite showing and guiding you to other products they did have in supply.
They will eventually have « out-of-stocks ».!They are currently fulfilling from U.S. based warehouses, (and other U.S. based fulfillment options but eventually they have to replenish the inventory. That is when it really hits the fan. Plus the beauty of those container ships just floating hurts China because they only get paid upon receipt of good at the warehouse. So they are not paid, and probably won’t ever be paid because of the EO, According to a fren.
No dude.
When you click 'buy', the item that they shipped 2 weeks in advance (because they sell on average x units per day) that just arrived in port yesterday and arrived in the warehouse 3 hours earlier is allocated to you and shipped out. It arrives at your local distribution hub 1 dday later, and your home same day or the next (1-2 day shiping)
And had you waited 24 hours before buying, you'd have gotten the item that arrived on the ship the following day. They order and receive constantly, in advance.
No. They do not keep 10,000 units on hand, then place an 8k order when it hits 5,000, so they get back up to to 10,000 when their 2 week shipment finally arrives when they are then below 2k units and running real low. That's 90's fullfillment. Amazon broke the model by going 'just in time' and being able to offer lower prices in part due to needing a tiny fraction of the amount of warehouse space.
If they sell 500 units a day. They have 500 units arrive every day, with maybe a few hunded more as a buffer. The consequence is an insanely lowered warehouse footprint which saves a ton of money and allows them to redirect and instead open ton of region 'distribution' centers rather than larger stocking facilities - this regionality then allows for 1-2 day shipping.
All because they do what you can't fathom as actually being possible - have the item you purchase ordered and on a boat two weeks before you hit the buy button, using predictive statistical modeling, dynamic pricing, and product nudging (they order too much of something, it shows up in your feed for less, they order two few and it shows up costing more and you get shown alternatives first)
This is (in part) how Amazon stole the market.