Amazon, Rite Aid Form New Package Pickup Partnership

Strategy helps Amazon cut delivery costs
Updated: Thu, 06/27/2019 - 11:12
 
 
  • Strategy helps Amazon cut delivery costs

Amazon customers will soon have more options to pick up packages at Rite Aid stores.

The service, called “Counter,” launched June 27 in more than 100 Rite Aid stores across the country and will expand to more than 1,500 by the end of the year. Amazon said it is also looking to add more retailers to the program, which already operates in the United Kingdom and Italy.

For Seattle-based Amazon – the world’s largest online retailer – the move has the potential to reduce delivery costs. The service is also expected to increase foot traffic to Rite Aid stores, which reported a $99.3 million loss in its first quarter. Rite Aid has already installed Amazon Lockers in 300 of its stores, where customers can pick up packages from a secure locker. The Counter program differs from Locker in that it provides staffed pickup points.

Rite Aid Chief Operating Officer Bryan Everett told investors that the program has already driven “additional traffic into our existing network of stores.”

Rite Aid recently began a pilot project to sell CBD creams, lotions and lip balms at stores in Washington and Oregon.

Rite Aid, which is based in Camp Hill, Pennsylvania, operates 136 stores in Washington state.

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