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Macy's stepped up its game against Amazon last week by expanding its same-day delivery service to nine new cities. The company now offers same-day delivery to customers in 17 markets. By comparison, Amazon's same-day delivery service, which was launched in 2009, services 14 metro areas, which according to Amazon includes over 500 cities.
Macy's, which is the country's largest department store, ran a pilot of its program last fall in eight markets. The service was a success and as a result the company is expanding its reach. Most locations will also offer same-day delivery to Bloomingdale's customers.
In total, Macy's will deliver to Atlanta, Boston, Dallas, Honolulu, Las Vegas, Miami/Ft. Lauderdale, New York/Western Long Island, Orange County (CA), Philadelphia, Washington D.C., Seattle, San Francisco, the greater San Francisco Bay Area, Chicago, Houston, Los Angeles, and Northern New Jersey.
By comparison, Amazon doesn't break down the cities it covers. Instead, it lists 14 metro areas including Seattle/Tacoma, San Francisco/Bay Area, Los Angeles, San Diego, Phoenix, Dallas/Ft. Worth, Indianapolis, Tampa Bay Area, Atlanta, Washington, D.C., Baltimore, New York City, Philadelphia, and Boston. For an area like New York, that would include surrounding cities like Jersey City and Hoboken in New Jersey.
Same-day deliveries from Macy's will cost a flat $5 above standard ground shipping fees.
Conversely, the cost of same-day delivery at Amazon depends on your membership and order size; it's currently free for Prime members as long as their order qualifies (not all items are eligible) and is $35 or more. Orders under $35 will cost $5.99. Pricing for non-Prime members starts at $9.98.
Powering Macy's recent expansion is start-up company, Deliv, an Uber-like crowdsourced delivery company. In certain markets, namely Chicago, Los Angeles, San Francisco, and the Bay Area, Deliv will also pickup and return Macy's or Bloomingdale's purchases that customers make online.
The race to offer same-day delivery is cut-throat in the retailer world. In 2012, Walmart began testing same-day delivery in select cities. Earlier this spring the retailer also announced an unlimited shipping program that for half the price of Amazon Prime grants its customers free 3-day or less shipping. For a flat $10, Target also offers its same-day delivery service, which it calls Rush Delivery, in Boston, Miami, and Minneapolis.
Where many of these retailers trump Amazon is in the number of physical locations they have at their disposal. Macy's, for instance, has nearly 900 stores in the U.S., which potentially means deliveries have less mileage to travel. Amazon, on the other hand, only has 50 fulfillment centers and smaller distribution facilities.
However, success isn't always guaranteed. Last week eBay terminated its same-day delivery service, eBay Now. So only time will tell which retailer will become king of same-day deliveries.
Have you used same-day shipping before? If so, what's the most you're willing to pay for the convenience? Let us know in the comments below.