DPD has joined Amazon Partnered Carriers
UPS has long been the primary Amazon Partnered Carrier for small parcel FBA shipments in the UK. However, it appears that a new carrier has entered the game! DPD has now been added as a shipping option for small parcels.
Sellers began noticing last month that DPD had been added for small parcel delivery into FBA warehouses. Whilst there was seemingly no official announcement, the addition brings a number of benefits to sellers. So what are they?
A Trusted Model
DPD is trusted for its strong UK domestic delivery service, including real-time tracking and narrow delivery windows. For sellers who prioritise customer service and experience, these benefits are certainly more appealing.
More Competitive Pricing
With more direct competition for UPS, they may be compelled to lower their rates to stay competitive. This could involve lowering pricing or offering volume discounts to retain its market share amongst Amazon sellers. We could see more dynamic pricing and seasonal promotions in play as they try to differentiate from the competition. Should they choose not to lower their pricing, UPS may focus on enhancing its existing services, increasing reliability metrics or offering valuable logistics solutions.
In the end, Amazon controls the final rates. They may choose to subsidise shipping costs to some extent, negotiating with UPS and passing lower costs to sellers.
Increased Bargaining Power for Sellers
With more options available for sellers, they have a lot more leverage. Sellers will be able to compare rates, transit times and reliability, potentially being able to negotiate better deals for themselves. This will be particularly beneficial for those with high volumes of inventory.
The disadvantages
Whilst we think this new partnership is incredibly strong, there have been a few teething issues. To use DPD as your Amazon Partnered Carrier, sellers need to contact DPD’s Seller Onboarding Team (SOB) via email at [email protected]. You need to provide them with your Amazon merchant ID to request a collection. The SOB team then coordinates directly with the local depot to arrange collection and usually confirms in writing within 24 hours. Note: usually.
Some sellers have mentioned having trouble receiving responses from the SOB team, causing delays in their FBA stock being collected. You also need to ensure you advise the SOB team if you already have an account with DPD UK, so that it prevents any issues with shipping.
It’s worth noting that this update to Amazon’s Partnered Carriers is relatively new, and some operational aspects may require refining. If you’re considering using DPD, there may be some initial setup challenges to bear in mind. It may be worth sticking with your current options until the process becomes more streamlined. We suspect UPS may also continue to be many sellers’ preferred carrier for international shipments for now, but only time will tell.
If you’re an Amazon seller and would like to set up with DPD, check out Amazon’s help page here.
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