Home > history, trends > Kiva – Ecommerce fulfillment disrupter

Kiva – Ecommerce fulfillment disrupter

HBR has a nice little article from the CEO of Kiva (now part of Amazon).


Kiva, makes robots that turn warehouse fulfillment on its head (the robots bring goods to humans, rather than the other way around). A couple of things caught my eye:

  • ~50% of labor costs in a fulfillment center are attributed to people walking around (presumably to get the products from the shelves). Advantageous for retailers that are competing just on price and watching their pennies.
  • Kiva has been deployed in a bunch of retailers – Staples, Gap, Walgreens, Dillards, Saks, Toys ‘R’ Us etc. Given that almost every retailer now is directly competing with Amazon, Kiva’s acquisition by Amazon should give these retailers cause for concern
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