Core Insights - Innovative Warehouse Solutions (IWS) has signed a partnership deal with Amazon Shipping, enhancing its eCommerce fulfillment capabilities [1] - Amazon Shipping has become the largest small parcel carrier in the U.S., delivering 5.7 billion packages in 2024 and reaching 90% of the U.S. population [2] Company Overview - IWS operates as a leading eCommerce fulfillment company based in New York, focusing on omni-channel fulfillment solutions that aggregate orders from various platforms [3][6] - The company emphasizes customization in its services, offering tailored solutions like retail EDI, kitting, and channel-specific packaging, which differentiate it from Amazon's offerings [4] Industry Context - The small parcel third-party logistics (3PL) industry has seen stagnation over the past 20 years, with legacy carriers imposing outdated surcharges [5] - Amazon Shipping is disrupting traditional models by eliminating residential surcharges and providing competitive pricing, which is beneficial for eCommerce brands [5] Partnership Benefits - The partnership with Amazon Shipping allows IWS to enhance cost-effectiveness, speed, and reliability in logistics, providing clients with faster delivery at lower costs [6] - Amazon Shipping's operational advantages include 7-day-a-week delivery, faster long-distance shipment windows, and delivery photo confirmation, which are not commonly offered by smaller carriers [5][6]

Core Insights - Amazon Shipping will implement peak season surcharges from October 26, 2025, to January 17, 2026, with the highest fees occurring from November 23 to December 27, 2025 [4][8] - The surcharges include a per-package demand surcharge and additional fees for large, heavy, or special handling parcels, with increases compared to 2024 fees [8] - Amazon's logistics arm experienced a 7.3% year-over-year volume increase in 2024, surpassing competitors like the U.S. Postal Service, UPS, and FedEx [6] Fee Structure - The fee structure for the 2025 holiday season includes: - $0.40 per package surcharge from October 26 to November 22 - $0.60 per package surcharge from November 23 to December 27 - $0.40 per package surcharge from December 28 to January 17, 2026 - Additional handling fees ranging from $8.25 to $10.80 depending on the period - Large package fees ranging from $90 to $107 depending on the period - Extra heavy package fees ranging from $485 to $540 depending on the period [3][4][8] Market Dynamics - Amazon Shipping is attracting more shippers, including companies like BarkBox and KiwiCo, who report faster delivery times and more economical rates after switching from other carriers [5] - There is a growing trend among shippers to seek alternative carriers due to rising parcel shipping rates, with other carriers collectively increasing their volumes by 22.6% [6]

Core Insights - KiwiCo has shifted to Amazon Shipping for logistics, resulting in faster and more reliable last-mile delivery [1][2] Group 1: Partnership Details - The company now ships between 180,000 and 200,000 packages per month using Amazon's third-party delivery service [2] - The switch to Amazon Shipping was made in May, aiming for a cost-effective and easily integrable shipping service [2][3] - Amazon Shipping's ground shipping costs per package are the most economical compared to other national parcel carriers [3] Group 2: Operational Efficiency - KiwiCo's shipments typically weigh under four pounds and are smaller than a shoebox, making them attractive for parcel shipping [4] - Amazon employs a "drop and hook process" for KiwiCo's shipments, enhancing operational efficiency [4] - Deliveries are completed half a day quicker with fewer reports of damaged products since the switch to Amazon Shipping [6] Group 3: Delivery Schedule Benefits - Amazon Shipping operates 24/7, unlike KiwiCo's previous last-mile carrier, which did not operate on Sundays [5] - The expanded delivery days allow KiwiCo to capture up to four additional sales days during the busy holiday season [5]