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Amazon Business awarded new YPO contract

Major UK public sector purchasing organisation YPO has awarded a new digital marketplace contract to Amazon Business.

YPO had previously awarded a four-year framework contract to Amazon Business in 2019.

Following what was described as a “robust” tender process that began in October of last year, it has now named Amazon Business as the sole provider of a new digital marketplace.

The latest framework began on 24 January 2023 and will run for up to four years. The total maximum value has been set at £500 million ($600 million).

In its press release, the purchasing organisation highlighted Amazon’s use of small business resellers.

“Amazon is partnered with up to

85,000 SMEs in the UK, with small businesses accounting for more than half of everything Amazon sells in its online stores,” it stated. “These small businesses selling on Amazon have created over 250,000 jobs nationally.”

Award criteria were based on the performance and security of a bidder’s digital marketplace, policies, procedures, sustainability, continuous improvement, innovation and cost. These, said YPO, were designed in line with its customers’ key national and regional priorities.

“During tender, Amazon Business best demonstrated and provided evidence for SME engagement, initiatives to achieve environmental targets and investment in positive environmental practices within the wider supply chain,” YPO noted.

“The bid also demonstrated competitive pricing, ensuring that delivery costs are minimised for public sector customers.”

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