Amazon launches Prime Now, a one-hour delivery service

Steven Loeb · December 18, 2014 · Short URL: https://vator.tv/n/3afa

Prime Now is only available for Prime members, and is currently only operating in Manhattan

There seems to be something of a race going on between online retailers over who can get their items to you the fastest. The two companies in the lead so far have been Google and Amazon, both of which offer same-day delivery services (eBay was a contender as well, but now seems to have pretty much dropped out.) What if you need something, you know, pretty much right now, though? Then what do you do?

Don't worry, Amazon's got your back. The company just took same-day delivery it up a notch with thelaunch of Prime Now, a new one-hour delivery service available only for members of Amazon Prime.

All Prime members have to do is download the Prime Now app, and they can choose from " tens of thousands of daily essentials" paper towels, shampoo, books, toys, televisions, headphones and batteries. The service is available from 6 a.m. to midnight, seven days a week. Users can also track their package within the app, a la Uber. 

While two-hour delivery is free, getting items delivered in one-hour will cost extra: delivery is available for $7.99.

Sadly, most of the country will not have access to the service, as it is only being launched in Manhattan for the time being. There is no word right now on when Amazon will be expanding it to other parts of the country.

The launch of Prime Now might coincide with another story that was reported last month: that Amazon had begun testing out a way to deliver packages by taxi, through a partnership with Flywheel, a ride-for-hire app that integrates into existing taxis and fleets.

The deal reportedly allows Amazon to summon cabs that use the software to its mini-distribution centers. The cabs are then loaded with up to 10 packages, which are all going to the same ZIP Code. Amazon is also reportedly paying roughly $5 per package for delivery within a single hour.

VatorNews has reached out to Amazon to find out if this partnership is being incorporated into Prime Now, but the company was unavailable for comment at this time. 

Same day delivery competition

One-hour delivery obviously puts more pressure on Amazon's e-commerce rivals, notably Google. 

Google's same-day delivery service was unveiled back in March, and was initially was only available in certain sections of San Francisco. It allows allow shoppers to purchase items online from local retailers and get their items during a time window of their choosing. 

In October, Google announced that the service has expanded to three new cities, 16 more merchants and an annual or monthly membership to compete against Amazon Prime. 

By paying either $95 a year, or $10 per month, shoppers will get free same-day or overnight delivery on eligible orders over $15, as well as first dibs on delivery windows. They can also share membership with other members of their household. If they don't want to pay for a membership, users still have the ability to pay $4.99 per eligible order.

There was one other big player in the same-day delivery space: eBay, whose eBay Now, announced in October of 2012, offers the rate of $5 on orders of at least $25. That experiment seems to be over now, though, as the standalone eBay Now app was recently pulled from the App Store.

Interestingly, there could be competition in a more unlikely source: Uber, which recently rebranded its delivery service, previously known as Corner Store, as uberESSENTIALS, which the company says can deliver items "in 10 minutes or less." It also expanded its list of products to include "holiday essentials" such as batteries, Hanukkah candles, scotch tape, wrapping paper and celebration mini lights, along with year round items that include drinks, snacks, cold and flu remedies, tissues, razors, pain relievers and condoms.

(Image source: amazon.com)

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