Twenty years ago, if you needed something fast, you had two options at your disposal: drive to a store to get it, or pay a high price to FedEx for overnight shipping.
Amazon saw an opportunity in that and launched its Amazon Prime subscription service, which hinged on the promise of the fastest shipping America had ever seen.
💵💰Don't miss the move: Subscribe to TheStreet's free daily newsletter💰💵
Most items showed up in two days or less, which not only amazed customers, but also tapped into the rush of impulse buying. It was easy, “free” (as long as you subscribed to Amazon Prime, that is), and unlike anything else out there.
Related: An unpleasant change is coming to Amazon Prime
Amazon Prime memberships hit 180 million in March 2024, and even though it flattened after the pandemic for a while, it had since recovered — an impressive feat, as the program is now 20 years old.
But Amazon has never been a company to remain content, even when its achieving things no other company has done.
CEO Andy Jassy made that clear during a recent interview, disclosing that his next goal for the e-commerce company is to turn up the volume on what it's already done.
Amazon is changing the game — again
In an interview with CNBC's Jim Cramer on June 30, Cramer asked Jassy about the company's plans to use robots to make deliveries, thereby speeding up the process.
More Retail:
- Huge retail chain suddenly closing hundreds of stores
- Major retailer scores huge benefit from Joann bankruptcy
- Home Depot, Target, Ulta and more strike back at retail crime
“I don't think we need a robot to be able to cut it down,” Jassy told Cramer. “I think with what we're doing with Prime Air, which is our drones project which we've made so much progress on the last couple years, I actually believe we'll be able to get items to people inside of an hour, and maybe even as quickly as 30 minutes.”
Related: Amazon shuts down another key business location
Jassy did pivot back to Cramer's original robot question, though, saying he does foresee a future where robots are involved in delivery.
“I do believe over time, especially as we expand the use of robotics in our fulfillment network, that we will have robots that will help do delivery and transportation,” he continued.
Amazon's expanding use of robotics
While Amazon's use of drones for delivery may seem like a new thing, it's actually a project that's been around since Jeff Bezos was CEO. Amazon first announced plans to use the technology in 2013.
Amazon took its time on developing the process, finally obtaining FAA approvals and launching drone deliveries in 2022 in Lockeford, Calif., and College Station, Texas. Amazon also aims to launch delivery in San Antonio, Texas, by the end of the year.
Amazon also revealed in mid-June that it's added a total of 750,000 robots across its operations network since 2012.
In a recent press release about adding faster delivery to rural areas, Amazon made it clear that it's not done picking up speed — and it's ready to run even faster.
“After delivering to Prime members at record-breaking speeds in 2023 and 2024, we are continuing to innovate to deliver even faster in 2025. So far this year, the number of items delivered the same or next day in the U.S. increased over 30% compared to the same period last year,” the release said.
Related: Why beauty will be the beast of Amazon Prime Day deals
