Amazon releases new seller storage service, Amazon Warehousing & Distribution

Amazon launches new service in effort to help alleviate supply chain issues

Amazon.com Inc introduced a new service on Wednesday to help its sellers store bulk inventory and ease distribution to tackle supply chain issues, the company said in a blog post.

In 2023, sellers will be able to use the new service called Amazon Warehousing & Distribution (AWD) to send their inventory to any location, including to wholesale customers or brick-and-mortar stores, the online retailer said.

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The pay-as-you-go service will also help sellers significantly cut logistics costs, the e-commerce platform said, without disclosing specifics.

Amazon building

Amazon is now offering a seller storage service called Amazon Warehousing & Distribution, in an effort to alleviate supply chain issues. Pictured: Amazon building in Bretigny-sur-Orge, near Paris, France, on Dec. 7, 2021. (REUTERS/Gonzalo Fuentes / Reuters Photos)

"Amazon Warehousing & Distribution addresses critical supply chain challenges and helps sellers grow and manage their business while significantly cutting costs," Gopal Pillai, vice president of Amazon Distribution and Fulfillment Solutions, said in the blog post.

The development comes after Amazon said that it has started slowing warehouse openings to rein in costs.

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