Amazon Goes Full Throttle To Handle Coronavirus Surge, Set To Hire 100,000; Prioritise Medical Supplies, Staples

Global retail giant Amazon has decided to overhaul its delivery strategy to handle the surge in orders due to coronavirus pandemic. A Reuters report says that the Jeff Bezos-owned company is set to hire 100,000 men and women to handle the warehouse and delivery operations in the US. This plan may also be replicated in other parts of the world as more and more nations are shuttering down shops and malls to contain the community-level transmission of the COVID-19 disease. The Reuters report said that like Amazon, other supermarkets are also on a hiring spree to meet the orders. Those who are out of the job in aviation and travel sector are likely to be hired by the retail giant and other companies. (Coronavirus Live Updates)

Apart from hiring a new workforce, Amazon is also tweaking its delivery focus area. From now, Amazon will put shipments of other goods on hold to focus on key items during the coronavirus outbreak.  "We are seeing increased online shopping and as a result some products such as household staples and medical supplies are out of stock," the e-commerce titan said on Tuesday. "We are temporarily prioritizing household staples, medical supplies and other high-demand products coming into our fulfilment centres so we can more quickly receive, restock and ship these products to customers," it said. People hunkered down due to the deadly coronavirus have turned to Amazon for anything from toilet tissue to groceries and pet treats. "There's enormous pressure on Amazon to meet these increased expectations," said Technalysis Research analyst Bob O'Donnell. "Fairly or unfairly, people expect that Amazon will always have some things, like toilet paper."

Amazon spent years investing heavily in warehouses, distribution and delivery, often to the chagrin of Wall Street investors eager for quick profits. Those investments appear to be paying off as Amazon becomes the go-to e-commerce site in a time of crisis. If Amazon becomes a salvation for people unable or afraid to go out due to coronavirus risk, analysts say it could win new users worldwide and become a more entrenched habit for those who already dabble with e-commerce. The best-case scenario for Amazon is "they look like a hero," said Patrick Moorhead of Moor Insights and Strategy.

Those investments appear to be paying off as Amazon becomes the go-to e-commerce site in a time of crisis. If Amazon becomes a salvation for people unable or afraid to go out due to coronavirus risk, analysts say it could win new users worldwide and become a more entrenched habit for those who already dabble with e-commerce. The best-case scenario for Amazon is "they look like a hero," said Patrick Moorhead of Moor Insights and Strategy.