Amazon lining up against La Poste?

Amidst the swirls of rumours around Amazon, one thing is clear – it is focusing on its logistics and delivery business and may well open itself up to making deliveries for businesses not connected with the company’s FBA system. Amazon is now said to be setting up a parcel locker network through its recently acquired delivery company Colis Prive.

In recent public communications, French postal operator La Poste has praised its largest client, Amazon. As with its behaviour in other countries, Amazon is increasingly taking its business away from third party delivery companies and doing them in-house. Its purchase of Colis Prive earlier this year was said to be part of that, though the newly acquired company was always going to continue to serve its existing client base.

Last year, Colis Prive announced that it had processed over 35 million parcels in 2015, giving it the ability to boast that it is France’s best delivery company.

La Poste is doing the same, as customer demand drives the innovation among almost every next day delivery business in the world. This is why some commentators are suggesting that La Poste’s favourite client is planning on going head to head with it. Colis Prive is also setting up lockers in the UK, suggesting that this isn’t a purely French phenomenon on the part of its parent company.

Amazon is known to be reducing its reliance on Royal Mail, and this is causing jitters among the postal operator’s shareholders as the cash cow seems to be intent on if not just withdrawing business but possibly taking it on in its biggest source of cash flow. The UK delivery market is packed and extremely competitive, so another entrant to the market in the UK will only heat up the competition slightly. Whether Amazon is bent on taking on the state owned French operator can only be seen when it happens…