Amazon is expanding the reach of its logistics network, announcing that its Multi-Channel Fulfillment (MCF) service will now support orders placed on Shopify, Walmart, and SHEIN. The move, revealed at the company’s Accelerate seller conference, marks a significant step in Amazon’s ambition to act as a third-party logistics provider (3PL) beyond its own marketplace.
What the expansion includes
- Walmart Marketplace: Merchants can now route orders to Amazon MCF manually via Seller Central or through integration partners like WebBee, Pipe17 and Rithum. Walmart orders fulfilled by Amazon will ship in unbranded packaging, with options available for different carriers.
- Shopify: Sellers can now select Amazon MCF directly within Shopify’s Fulfillment Network. The integration allows for automatic inventory syncing, real-time tracking and delivery estimates, with Amazon handling picking, packing and shipping.
- SHEIN: By the end of the year, a free Amazon MCF for SHEIN app will be available via Amazon Seller Central and the SHEIN Seller Hub, enabling fast delivery through Amazon’s network.
Amazon says that by pooling inventory with its Fulfillment by Amazon (FBA) service, MCF users can reduce out-of-stock rates, improve inventory turnover and cut down the complexity of running separate fulfilment systems.
According to the company, merchants using MCF for non-Amazon channels have reported an average 19% increase in sales.
Amazon’s positioning
Peter Larsen, Vice President of Amazon Multichannel Commerce & Fulfillment, said the initiative will be particularly beneficial to small and medium-sized businesses.
“By working with SHEIN, Shopify, and Walmart, we’re making it easier for sellers — especially the small and medium-sized businesses that drive our economy — to use our network to grow faster and more efficiently across their sales channels.”
Amazon also highlighted that its logistics network delivered 30% more items same-day or next-day this year compared with the previous one, driven by investment in delivery stations, sortation centers and transport hubs.
Benefits and potential concerns
On the plus side, the expansion could simplify operations for merchants, who can now centralize inventory and fulfilment across multiple platforms. It also extends Amazon’s reputation for speed and reliability to orders placed off Amazon.com, potentially boosting consumer confidence.
However, the move raises questions:
- Dependence on Amazon: Merchants could become increasingly reliant on a company that is also their competitor.
- Platform dynamics: Walmart and Shopify, while open to using Amazon’s network, may start to feel uncomfortable with the initiative as Amazon gains more control over last-mile logistics for their merchants; this raises questions regarding the longevity of Walmart and Shopify’s support for the initiative.
- Costs and margins: Amazon hasn’t highlighted detailed pricing structures in its announcement, leaving uncertainty about whether the economics will ultimately suit smaller sellers.
Why this matters to ecommerce merchants
The expansion of MCF offers both opportunity and risk to merchants.
On the plus side, a single fulfilment system across Amazon, Shopify, Walmart, SHEIN and other platforms means simpler logistics, fewer stockouts and potentially higher sales. Faster delivery times could improve customer satisfaction and retention too.
However, this greater reliance on Amazon’s infrastructure could reduce flexibility and bargaining power for merchants. Sellers may also face higher costs or find themselves locked into Amazon’s ecosystem over time.
Ultimately, Amazon’s MCF expansion could be a powerful growth lever for merchants looking to diversify sales channels — but one that should be weighed against the risks of concentrating too much control in Amazon’s hands.
Chris Singleton is the Founder and Director of Ecommercetrix.
Since graduating from Trinity College Dublin in 1999, Chris has advised many businesses on how to grow their operations via a strong online presence, and now he shares his experience and expertise through his articles on the Ecommercetrix website.
Chris started his career as a data analyst for Irish marketing company Precision Marketing Information; since then he has worked on digital projects for a wide range of well-known organizations including Cancer Research UK, Hackney Council, Data Ireland and Prescription PR. He then went on to found the popular business apps review site Style Factory, followed by Ecommercetrix.
He is also the author of a book on SEO for beginners, “Super Simple SEO.”