Where Target Edges Out Amazon in Distribution: It's Closer to Customers
Minneapolis/St. Paul Business Journal | June 28, 2021
Amazon has spent billions of dollars to get within easy shipping distance of U.S. consumers. However, as a new research report points out, traditional-retail rival Target is already there.
MarketWatch has a story, which noted Amazon's spending just in 2020 to build out infrastructure. Much of the $35 billion investment went toward improvements in fulfillment, adding new distribution centers, sorting facilities and locker hubs for package delivery and pickup.
Target built out their networks long ago, and Target now uses stores to boost its own digital fulfillment. Target has a store within 60 minutes of 94% of the U.S. population. Walmart Inc. is even better, with a location within an hour of 99% of the U.S. population. Amazon drags behind with some sort of delivery station located with 60 minutes of 77% of the U.S. population, increased from 71% in 2019.