If you too are searching the answer to this question – How to get an amazon delivery agency in India? Then you are in the right place. In this article, we will be sharing all the essential information related to Amazon Delivery Franchise in India.
You must be very well aware of the fact that franchise is the most preferred mode of expansion for any business. A franchisee is nothing but a kind of partnership between Franchiser and Franchisee owner under specific terms and conditions.
A recent report says there is an increase in the number of companies working through franchise mode by 1.11% in the year 2019 as compared to the year 2018. And that the approximate number of companies offering franchises is 769 thousand.
So, before moving to this franchise business, let’s have a closer look at this giant brand, and explore why we need to consider for Amazon Courier Franchise in India.
- Amazon Logistics India Overview
- History of Amazon Brand
- What is an Amazon Delivery Franchise?
- How Does Amazon Delivery Franchise Work?
- Key Benefits of Owning a Franchise of Amazon
- Requirements for Starting an Amazon Delivery Franchise In India
- Area Requirements
- Investment – How Much Does an Amazon Franchise Cost in India?
- Earning Opportunities
- Profitability Estimation
- How to Apply for an Amazon Logistics Franchise in India?
Amazon Logistics India Overview
Amazon is undoubtedly the best example of modern logistics and e-commerce technology. The services that Amazon offers, for instance, Amazon Prime as well as other product delivery services wouldn’t be possible without the warehouses, carriers, and most importantly delivery persons.
Usually, Amazon mainly depends on conventional carriers like FedEx for the delivery of the packages. However, Amazon is looking into reducing these costs and thereby has come up with a new program called Amazon Logistics.
The Amazon Logistics program enables entrepreneurs to own Amazon delivery service franchises. These small franchise businesses will ensure the seamless delivery of the products and allow the franchise owner to gain a good percentage of profit.
History of Amazon Brand
The founder of this company, Jeffery P Benzos, is quite successful in keeping a lead in the world of the franchise and online business.
In 1994, Amazon was started as the online business of Books, later on, it took a leap by bringing in the market audio as well as video streaming products and later on presented multiple in house products such as Amazon Echo, Amazon Kindle and many more.
At first, the name of the company was Cadabra, which was later changed to Amazon. And the interesting part is that the logo of Amazon connects letter A to Z, which indicates that Amazon, the best e-commerce company, sells all kinds of products from letter A through Z.
And now, Amazon is the largest e-commerce company as far as revenue collection is concerned.
Suggested Reading – How to get Ekart Logistics Franchise in my City
What is an Amazon Delivery Franchise?
The actual name that is used by owners of Amazon delivery franchisees is Amazon Delivery Service Partners. And as a DSP of Amazon, you’ll run a delivery company, with almost 100 employees and around 50 delivery vans. Furthermore, hiring the employees, management of whole staff, and delivery of packages throughout the week around the year will be your responsibility.
Amazon, the largest e-commerce company, will collaborate with for setting up and operating the amazon delivery business. Moreover, you will also be provided ongoing support by an accounts manager who will make sure that you are meeting your business goals. And if the required business goals are attained, Amazon will give you a guaranteed income.
So are you wondering how you too, can get involved in this new Amazon Logistics program and to become an amazon delivery partner?
Well, in this article, we will let you know how you can start your own amazon delivery franchise, the cost involved, how it works, and much more.
How Does Amazon Delivery Franchise Work?
Have you ever wondered how a typical day is for DSP is? According to Amazon, the franchise business is not only about logistics but also about leadership. An amazon delivery partner must have the ability to manage your employees. It should be noted that the Amazon delivery service franchise business will not provide you a passive income, but it will require the involvement of your attention, energy, and, most importantly, hard work.
The tasks that are performed daily in any amazon delivery franchise in India are as follows:
- Make a schedule of drivers various delivery routes.
- Decide routes to be followed for the day.
- Ensure proper working of all the vehicles.
- Communication with all the delivery drivers to inform them about their goals and to encourage them.
- Tracking the progress of delivery drivers throughout the day.
- Connecting regularly with account manager as well as Amazon support personnel.
- End the day with debriefing delivery drivers.
- Ensuring that the delivery is made on time.
- Vans fuel tanks are full, and vehicles are appropriately parked at night.
The working of the Amazon delivery franchise is straightforward. The delivery of products through Amazon Logistics is done through three steps. First, the parcel reaches to regional pick up centre. Local centers are connected through the air. Packages are then quickly transferred to a city center. The role of the Amazon Delivery Franchise starts after the product has reached the city center.
Going further, the Amazon routing technology helps the Amazon deliveryman or driver to navigate the location of a particular customer to whom the parcel is to be delivered.
Key Benefits of Owning a Franchise of Amazon
There are several benefits of owning an Amazon courier service franchise. A few of them are as mentioned below –
- Great Brand – Do you know that Amazon ships more than thousands of parcels every day, and is continuously offering products of the highest quality at competent prices? It is an opportunity to collaborate with such a great brand.
- Competitive Prices – Amazon keeps the prices of its products quite competitive and is, therefore, very affordable. Furthermore, the delivery charges are also very low. This altogether makes Amazon a total deal giver.
Requirements for Starting an Amazon Delivery Franchise In India
To start the Amazon delivery franchise, there are specific essential requirements such as area requirements, logistics carrying facility i.e., vans or bikes requirement, etc.
Following points let us know the requirements for starting the Amazon Delivery Franchise in India
For the Amazon delivery service, the area requirement is enormous. Warehousing facility should be such that a minimum of 5 M cubic vehicles having 3.5 tons of consignments could be accommodated. Apart from the carpet area of around 150-200 sq. ft., there is a requirement of open space where 10-15 vans can be kept.
The primary skills that are required to own or run amazon delivery franchise business are as follows,
- Customer management skills
- Careful handling of the parcels and delivering the same on time
- Selection of efficient employees
- Effective management of employees for seamless working
Amazon provides training for its delivery franchise. They also provide proper training in traffic rules, driving, and road safety. Amazon ensures that no discrepancies are left in training the employees. It offers technological resources as well as training through.
Amazon does not have a strict policy; however, a minimum staff of 8 people should be employed. And to ensure that the seamless rotation of the shift is possible, you will need to employ a few more employees so that no delivery of the product remains unattended.
Investment – How Much Does an Amazon Franchise Cost in India?
Amazon Franchise cost mainly is due to the requirement of a vast infrastructure to keep the parcels. Other than that, the significant investment is in the delivery van and bikes. However, you can put a condition for your employees to bring their bike.
The average investment in the project is approximately 50 lakhs. However, if you own the premises, then there would be little reduction in the initial investment that you will have to make.
Becoming a franchisee partner of the world’s largest e-commerce company Amazon, you have a good scope of earning. Weekly commissions and incentives are the primary sources of earning. Apart from that, Amazon provides fuel charges along with vehicles per day movement charges.
Are you wondering is the Amazon delivery franchise a good investment? Then you must note that profit gained in Amazon delivery franchisee depends on the business volume because the revenue model is based on the commission that is earned on delivery of a parcel. Approximately an average profit gained in the franchisee business is 30% of the net sell.
How to Apply for an Amazon Logistics Franchise in India?
You require only 10 minutes to apply online to start an amazon courier franchise in India. First, you have to make an account by providing an email ID and mobile number. Then, you have to fill a requisition form online. It takes around seven working days to convey their decision. The online application requires a reference of three people known to you. Your identified person’s feedback has good weightage.
Further Reading – How to Start a Blue Dart Franchise Courier Service In India
We can conclude that the amazon dealership in India is one of the best business opportunities available in India.
The requirement to start the Amazon parcel delivery requires a vast infrastructure and a fleet of the lorry. The income in this franchisee business depends on commission and incentives. No doubt, the Amazon delivery franchise business is popular these days.