Transportation Industry

Delivering the Dot.com Concept.(logistics management, Kozmo.com)(Brief Article)(Statistical Data Included)

Transportation & Distribution, December, 2000

Paying $20 to deliver an $8 purchase is crazy, especially when delivery takes several days. That was the inspiration behind Kozmo.com. The Internet purveyor of food, videos, music CDs, electronics, and more offers free one-hour or same-day delivery in the 11 U.S. cities it serves. Customers decide when they want the order delivered, and it's there. John C. Wu, director, logistics operations for the two-year-old company, claims Kozmo.com will be profitable in three cities by the end of this year. At the same time, the company is negotiating deals with retailers that will build needed density and allow Kozmo.com to continue expanding.

Once the infrastructure is in place, as it is in major metro areas such as New York City, Seattle, San Francisco, Boston, and...

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