As Amazon continues to dominate the e-commerce industry, its fleet of delivery vehicles has become an increasingly common sight on roads across the country. With over 100,000 electric delivery vans on order and plans to expand same-day delivery to more than half of the U.S. population by the end of 2023, Amazon‘s logistics network is poised for explosive growth in the coming years.
For entrepreneurs and small business owners looking to capitalize on this trend, buying a used Amazon delivery van can be an affordable way to enter the last-mile delivery market. In this ultimate guide, we‘ll explore everything you need to know about purchasing a retired Amazon van, from where to find them and what to look for, to the economics of running an Amazon Delivery Service Partner (DSP) business.
Amazon‘s Expanding Delivery Fleet by the Numbers
To appreciate the scale of Amazon‘s delivery operations, consider these eye-popping statistics:
- Amazon delivered over 6 billion packages worldwide in 2022, according to internal company data
- The company‘s branded delivery fleet grew from around 20,000 vehicles in 2018 to over 70,000 by the end of 2022 (source: Amazon sustainability reports)
- Amazon plans to deploy 100,000 custom-built Rivian electric delivery vans by 2030 as part of its Climate Pledge (source: Amazon press release)
- Analysts estimate that Amazon‘s U.S. package volume will grow from 5 billion in 2021 to 10 billion by 2026 (source: Morgan Stanley research)
With such rapid growth, it‘s no surprise that Amazon‘s fleet sees high turnover as older vans are regularly retired to make way for new ones. Industry insiders estimate that Amazon works with its logistics partners to replace upwards of 20% of its delivery vans each year. That means tens of thousands of used vans hitting the secondary market annually, creating a prime opportunity for bargain hunters.
Anatomy of an Amazon Delivery Van
The workhorse of Amazon‘s delivery fleet is the Mercedes-Benz Sprinter van, with the Ram ProMaster also widely used in certain markets. Let‘s take a closer look at the typical features and specs of these vehicles:
Mercedes-Benz Sprinter
- Cargo Volume: 319 to 532 cubic feet
- Payload Capacity: 3,854 to 6,735 pounds
- Wheelbase: 144 to 170 inches
- Roof Height: 96 to 110 inches
- Engine: 2.0L 4-cylinder turbocharged gas or 3.0L V6 turbodiesel
- Fuel Economy: 14-21 mpg (gas), 18-25 mpg (diesel)
Ram ProMaster
- Cargo Volume: 259 to 463 cubic feet
- Payload Capacity: 3,940 to 4,680 pounds
- Wheelbase: 136 to 159 inches
- Roof Height: 88.7 to 99.4 inches
- Engine: 3.6L V6 gas or 3.0L 4-cylinder turbodiesel
- Fuel Economy: 14-19 mpg (gas), 18-24 mpg (diesel)
Both the Sprinter and ProMaster offer a range of body styles, including cargo, crew, and passenger vans to suit different route profiles and package volumes. Amazon‘s vans are typically upfitted with custom shelving, bulkheads, and rear camera systems to aid with efficient loading and unloading.
When shopping for a used Amazon van, pay attention to the specific configuration and dimensions to ensure it matches your needs. Vans with a high roof and extended wheelbase will provide maximum cargo space, but may be more challenging to maneuver in tight urban environments.
Finding a Used Amazon Van for Sale
So where can you actually find used Amazon vans for purchase? There are a few main sources to check:
Wholesale Vehicle Auctions
- Pros: Large selection, competitive prices, detailed condition reports
- Cons: Bidding process can be intimidating, vehicles sold as-is with no warranty
- Examples: Manheim, Adesa, ACV Auctions
Online Marketplaces
- Pros: Easy to search and compare listings, secure transaction tools, buyer protections
- Cons: Limited selection, prices may be higher than auctions, vehicle history not always clear
- Examples: eBay Motors, Commercial Truck Trader, Facebook Marketplace
Fleet Management and Leasing Companies
- Pros: Direct access to well-maintained vans, customized financing options, on-site support
- Cons: May require bulk purchase agreement, prices reflect markup for turnkey service
- Examples: Merchants Fleet, Mike Albert Fleet Solutions, Zeeba Vans
Amazon Delivery Service Partner Program
- Pros: Turnkey business model, exclusive access to Amazon branding and technology
- Cons: High startup costs (~$10,000), strict operational requirements, long-term commitment
- Process: Apply online, undergo hands-on training, lease vans through official partner
With some patience and persistence, you should be able to find a used Amazon van that fits your budget and requirements. Just be prepared to act quickly when a promising lead emerges, as these popular vans tend to move fast.
Inspecting a Used Amazon Van: What to Look For
As with any used vehicle purchase, thoroughly inspecting a prospective van is critical to avoid costly surprises down the road. When evaluating a used Amazon van, pay special attention to these components:
Exterior Condition
- Check for signs of accidents or body damage, including dents, rust, and mismatched paint
- Inspect the windshield and mirrors for cracks or chips that could impair visibility
- Test all lights, signals, and cameras to ensure proper functioning
Suspension and Brakes
- Look for uneven tire wear, which could indicate alignment or suspension issues
- Check brake pads and rotors for excessive wear or warping
- Test drive the van and listen for clunking or vibration when going over bumps
Drivetrain Health
- Review maintenance records for regular oil changes and transmission flushes
- Check engine belts and hoses for cracks, fraying, or leaks
- Scan the engine control module for any diagnostic trouble codes
Cargo Area
- Inspect the flooring for holes, cracks, or water damage that could compromise package security
- Test the functioning of any installed shelving, racks, or cargo management systems
- Ensure the rear door(s) open smoothly and latch securely
If possible, have a trusted mechanic perform a comprehensive pre-purchase inspection to identify any underlying issues. Investing a few hundred dollars upfront could save you thousands in unexpected repairs later.
The Economics of an Amazon DSP Business
For those serious about building a scalable delivery business, Amazon‘s Delivery Service Partner (DSP) program offers a compelling path to entrepreneurship. DSPs get access to exclusive Amazon branding, advanced routing technology, and ongoing operational support in exchange for meeting strict performance targets.
While the DSP program historically required leasing new vans from Amazon‘s fleet partners, the company has started to allow some DSPs to use qualified used vans as well. Here‘s a breakdown of the potential startup costs and revenue potential for a typical DSP business:
Startup Costs
- Delivery Vehicle Costs (5-20 vans): $50,000 to $200,000
- Driver Recruitment and Training: $5,000 to $10,000
- Insurance and Business Fees: $10,000 to $20,000
- Working Capital and Cash Reserves: $30,000 to $50,000
Total Estimated Startup Cost: $95,000 to $280,000
Revenue Potential
- Per-route revenue: $1,500 to $2,200 per day
- Average routes per van: 1.5 to 2 per day
- Typical profit margin: 10-15%
Annual Revenue Potential (20 vans): $1.8M to $3.2M
Annual Profit Potential (20 vans): $180,000 to $480,000
Keep in mind that these figures are highly variable based on a DSP‘s operational efficiency, local market conditions, and ability to scale. However, it‘s clear that buying used vans can significantly lower the upfront investment compared to leasing new ones, albeit with somewhat higher maintenance costs.
The Environmental Impact of Amazon‘s Fleet
As Amazon continues to electrify its delivery fleet, the environmental benefit of buying a used van is becoming more compelling. By keeping these vehicles on the road longer, buyers can help reduce the emissions and resource consumption associated with manufacturing new vans.
However, it‘s worth noting that older diesel vans may not meet the latest emissions standards and could be subject to additional regulations in certain cities. As governments seek to curb air pollution and combat climate change, the long-term viability of used diesel vans may diminish.
Future Outlook for the Used Amazon Van Market
As Amazon‘s fleet continues to grow and evolve, the landscape for used vans is likely to shift in a few key ways:
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Electric vans will become increasingly prevalent as Amazon phases out older diesel models and ramps up deployment of its custom Rivian vans.
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Competition for used vans may intensify as more entrepreneurs look to start delivery businesses, driving up prices and reducing inventory.
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Amazon may explore additional ways to redeploy or monetize its retired vans, such as selling directly to DSPs or donating to charitable organizations.
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Advances in battery and charging technology could make older electric vans more attractive and affordable for second owners.
Overall, the market for used Amazon vans is poised for sustained growth in the coming years as e-commerce continues to reshape the retail landscape. By doing your homework and being strategic about your purchase, you can position yourself to capitalize on this exciting opportunity.
