Amazon Discontinues Kia Soul Same-Day Delivery Program, Shifts Back to Flex Drivers

Amazon.com Inc. (NASDAQ:AMZN) is one of the best Fortune 500 stocks to buy according to billionaires. On June 20, Bloomberg reported that Amazon is discontinuing its experiment with same-day deliveries using Kia Soul vehicles, opting instead to rely on its existing network of gig-economy workers, primarily through the Amazon Flex program.

The trial began rolling out in 2023 and involved Amazon contract delivery firms, known as Delivery Service Partners (DSPs), deploying drivers in four- or five-hour shifts using rented Kia Corp. hatchbacks in several US states, like Florida, Illinois, Massachusetts, Ohio, Texas, and Washington. The objective of the Kia Soul program was to give Amazon more control over deliveries and potentially reduce its dependence on Amazon Flex drivers who utilize their own cars.

Amazon Discontinues Kia Soul Same-Day Delivery Program, Shifts Back to Flex Drivers

A customer entering an internet retail store, illustrating the convenience of online shopping.

However, Amazon spokesperson Steve Kelly confirmed that after more than a year of gathering feedback from customers, DSPs, and teams at Same-Day Delivery facilities, the DSP model was determined not to be the right fit for Same-Day Delivery. The program will be phased out over the next few months, and the rental vehicles will be returned to their vendors. Amazon has stated it will support affected DSPs in operating other Amazon routes and assist drivers in finding jobs with other firms if needed.

Amazon.com Inc. (NASDAQ:AMZN) engages in the retail sale of consumer products, advertising, and subscription services through online and physical stores through three segments: North America, International, and Amazon Web Services/AWS.

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Disclosure: None. This article is originally published at Insider Monkey.