With Amazon Expanding into Transportation, Will Small Carriers Benefit Too?

With all the media speculation about whether –and when – Amazon drones might become part of the day to day freight delivery landscape, you might have missed Amazon’s recent announcement that they have purchased thousands of semi-truck trailers.  Find out why Amazon is expanding into trucking and freight transportation and why we think that independent owner-operators and small fleet trucking companies stand to benefit too.

“Amazon takes control of delivery with thousands of semi truck trailers” via Jacksonville Business Journal bizjournals.com

With Amazon Expanding into Transportation, Will Small Carriers Benefit Too?

Amazon just purchased thousands of semi truck trailers and announced that they will work with third party contractors to ship packages between fulfillment and distribution centers across the US. This move will allow them to supplement existing partnerships with FedEx and UPS.

After taking criticism last year for failing to deliver some customer purchases by Christmas, this move is seen as one that can better enable them to fulfill on delivery promises, although it might be speculated that the company might also be looking to lessen its dependence on outside freight transportation services in the process.

This move could also mean opportunities to grow a trucking business for freight haulers of all size, from independent truck drivers to small fleets on up. As Amazon ramps up its own trucking fleet it is very likely that they will partner with trucking companies and trucking industry organizations like load boards, freight brokers, and truck driver recruiters. Not only will it take time to recruit and train Amazon drivers to man the thousands of semi truck trailers they plan to put on the road, but with Amazon sales and Amazon Prime memberships continuing to experience rapid growth, there may be constant opportunities for independent truck drivers and small fleets to pick up business from the e-commerce retail giant.

How Can You Make Your Trucking Company Amazon-Friendly?

We found information on Amazon’s website about Partner Carrier Services that provide clues about what Amazon is looking for when they partner with trucking companies to move freight or make deliveries in the US.  Ensuring that your trucking fleet is properly equipped to meet Amazon’s carrier guidelines or follow its written procedures could make partnering with you trucking company more attractive.

The LinkedIn group Amazon Fulfillment Careers might be the place to start for truckers who want to haul freight for Amazon as part of this expanded freight delivery initiative. 

Will Amazon Direct Delivery to Customers Be Far Behind?

Amazon already employs drivers in several major cities to fulfill its one-hour delivery services. Similar to the Uber driver model, Amazon drivers work on an on-call basis for a set fee. Only instead of delivering people from point A to point B, they deliver Amazon products.

With the announcement that Amazon is going to have its own fleet of branded trucks for moving freight between distribution and fulfillment centers, it’s possible that the logical next step will be the addition of delivery vans which, along with much-anticipated Amazon drones, fulfill nearly all customer deliveries within a few years.  It stands to reason that if this occurs, local trucking companies that innovate to accommodate local delivery service as well as long-haul freight transportation could be attractive partners to Amazon.

Invoice Factoring for Amazon Freight Haulers, Trucking Carrier Partners and Amazon Drivers

Invoice factoring has been a go-to for the transportation industry since it allows trucking companies to get instant access to working capital as soon as they’ve moved freight from point to point and generated a customer invoice. Expedited cash flow is a must in this industry where growing – or even taking on the next load – requires that adequate working capital be on hand to pay drivers, buy fuel, and meet other operating expenses.

We work with the best freight factoring companies Amazon freight haulers, Amazon freight brokers, trucking carrier partners and delivery drivers could choose to work with. We offer low factoring rates and free same day advances up to 98% and additional factoring agreement perks such as:

• Invoice factoring fees as low as 1%
• High advances – up to 98% and free same / next day funding
• No requirement to sign a long term contract – you stay in control
• No monthly minimums – factor only when you choose
• No cost to apply and no hidden fees
• Non-recourse factoring which lessens your company’s financial risk
• Free credit checks on your customers
• Fleet Fuel Card programs
• TruckersB2B for at-the-pump fuel discounts, savings on fuel, tire and oil and dozens of other industry discounts

We pride ourselves on delivery a consistently high level of customer service. We want to help our clients grow from where they are today to where they want to be tomorrow, and this mantra shows up in how we do business with our clients day in and day out.

Complete our 1-page application online or simply request a free, no-obligation quote for invoice factoring using the quick quote form below. You could go from approval to your first funding in a matter of hours!