Amazon To Establish Local Business Delivery Network

(RTTNews) - Amazon.com, Inc. (AMZN) is planning to turn small local shops into delivery partners, under the program dubbed "Amazon Hub Delivery", according to Axios.

The company has actively started recruiting existing small businesses in 23 states in the US to help deliver packages. It also implied that the company isn't looking for any prior experience to make this partnership work.

The company said that it will be working with a wide range of businesses to complete shipments to customers. Those businesses need secure storage areas and must deliver an average of 30 packages every day outside of major holidays. The company will be paying a small fee to small partner shops for each package they deliver to Amazon customers.

Amazon wouldn't explicitly state how much it would pay per package, though based on earnings of $27,000 a year, the rate would probably be about $2.50 a package.

This Hub Delivery is basically an expansion of previous schemes. Amazon had introduced an "I Have Space" system in India in 2015, and branched out to both Japan and Spain.

Amazon stated that it's looking to partner with 2,500 small business drivers by the end of 2023.