Amazon India to test India Post’s cash on delivery model

Amazon India to test India Post’s cash on delivery model

Amazon India has launched a pilot project to test India Post’s cash on delivery model, reports The Economic Times. It revealed that Amazon’s India head Amit Agarwal on Tuesday met telecom and IT minister Ravi Shankar Prasad and urged him to allow the use of new technologies such as real-time tracking and monitoring devices on the India Post network to develop a delivery mechanism based on smart logistics.

The government has sought a detailed proposal from Amazon, to which it will respond, a person familiar with the details of the meeting told ET. Amazon wants to leverage an improved India Post network to ramp up its delivery mechanism to within 24 hours anywhere within the country.

Agarwal was accompanied for the meeting by Monique Meche, Amazon’s vice president for international public policy. In an emailed response to a query by ET, Amazon said that it is “looking for ways to deepen” its relationship with the Indian postal service which started last year. It currently uses the Indian postal services as a delivery channel, but it is looking to deepen this further.

The cash on delivery model was launched In January. The ‘Business Parcel’ service aims to promote the e-commerce market in India by offering reliable and cost efficient delivery solutions. This service will provide add-on facilities to customers, which include online end-to-end tracking of consignments, cash on delivery facility, insurance, etc.

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