Annually, Amazon and Google both sell small businesses many billions of dollars in products and services: fulfillment, e-commerce, data storage, advertising and millions of industrial and wholesale parts and products. In various ways, the two companies help small businesses market and sell their products. At other times, Amazon and Google can appear to be competing with one another in such a way that seems to catch small businesses in the crossfire (as we discussed in-depth in this article). One such service the two giant companies are competing over (that has a direct and negative impact on small businesses) is same-day home delivery of thousands of products. In the case of Google, the products it delivers through its Google Express service come from big-box retailers. Amazon Prime now uses Amazon’s existing product distribution system. Both companies plan on including popular restaurants and selected stores in its long range delivery plans. Additionally, there are countless startups—including Uber—who have some form of on-demand home delivery plans.


Amazon expands Prime Now delivery service to three more cities

Last Friday (11/20/15), Amazon announced that it has expanded its service into three more markets. It now serves parts of 22 metropolitan areas. (Or 23, if you count Brooklyn and Manhattan as two different cities as Amazon does.)

New Amazon Prime Now markets:

  • Nashville
  • Richmond
  • San Diego

Existing Amazon Prime Now markets:

  • Atlanta
  • Baltimore
  • Brooklyn
  • Chicago
  • Manhattan
  • Miami
  • Dallas
  • Austin
  • Houston
  • Indianapolis
  • Seattle
  • Phoenix
  • Portland
  • Las Vegas
  • Los Angeles
  • Minneapolis
  • San Francisco
  • San Antonio
  • San Jose
  • Sacramento

Prime Now is available from 8 a.m.–10 p.m., seven days a week. Two-hour delivery is free and one-hour delivery is available for $7.99. Amazon plans to have the service open on Thanksgiving Day this Thursday. The service requires users to order via the Amazon Prime Now app (iOS, Android).

Google Express is in seven markets

  • Boston
  • Chicago
  • Manhattan
  • San Francisco
  • San Jose (and Peninsula)
  • Washington, DC
  • West Los Angeles

The impact on small business

Amazon Prime Now is facing the same types of lawsuits other on-demand delivery companies (and Uber) are facing with regards to their treatment workers as employees or independent contractors, so the jury is still out (literally) over whether or not the business is viable.

Moreover, with the rise of on-demand delivery services, most small businesses will soon be able to offer similar delivery options to those customers can get via Google Express or Amazon Prime Now.

13
On-demand Economy Participants Typically Work 12 Hours a Week to Augment Household Income

Augmenting their household income is the primary reason independent workers participate in the on-demand economy.

14
New Small Businesses Are Emerging From the On-demand Economy

The on-demand business model is growing the segment of small business called “sole proprietors” or “single employee” businesses

15
The Five Faces of the On-Demand Workforce

Participants in the on-demand economy fall into different groups, different motivations and different levels of satisfaction.

16
Small Businesses Using On-Demand Economy to Access Tech Talent Pool

Because of the wave of on-demand economy companies, even the smallest of small businesses can use an app to connect with independent tech workers.

17
Yelp Joins Google, Amazon and a Slew of Startups in Home Services On-Demand Marketplace

Yelp adds Request a Quote feature to participating service providers.

18
Uber Settlement Defines Drivers as Independent Small Businesses, Not Employees

Uber has agreed to a class-action lawsuit settlement with drivers in California and Massachusetts

19
Shopify’s Ecommerce Merchants Can Now Offer Local, Same-Day Delivery in 200+ U.S. Locations

Ecommerce software provider Shopify is teaming up with on-demand same-day delivery service Postmates.

20
Uber Didn’t Create the On-Demand Economy, The On-Demand Economy Created Uber

Uber exists because of the growing need for highly flexible part-time work to supplement incomes.

21
Voters’ Decision Keeps Austin Too Weird For Uber, Lyft

Uber and Lyft, the ride-sharing, on-demand economy companies, lost a key vote by focusing on the wrong messages.

22
Employers Prefer Full Time Workers, But Agree That On-Demand Economy is Here to Stay | 2016

Employers have a love-hate relationship with the on-demand economy.

23
The On-Demand Economy Workforce Continues to Expand | 2017

Two-thirds of on-demand economy participants say they are satisfied with their work

24
HomeAdvisor Buys Angie’s List to Grow its Home Services On-Demand Marketplace

To compete with the giants creating new, on-demand home services marketplaces, HomeAdvisor acquires Angie’s List.

25
Gallup: Most Employees Who Work Varying Hours Like Their Schedules | 2017

According to Gallup, the majority of employees who work variable hours each week report no problems or financial hardship with the variable hours.

26
Two Small Business Trends That Contributed to Ikea’s Decision to Buy TaskRabbit | 2017

Are the acquisitions of TaskRabbit and Angie’s List pointing to the consolidation of the gig economy?