The Candid Voice in Retail Technology: Objective Insights, Pragmatic Advice

Are Customers Ready for Amazon’s Drone Delivery?

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By Ramesh Sethuraman, Guest Contributor

When most people hear the word “drone, ” they immediately associate it with terror from above: usually in some remote or war-torn region of the world. But how about associating it with Amazon?

I’m sure most of us would agree that as a leading retailer of the digital era, Amazon has always been a tech savvy retail organization: whether introducing Kindle or acquiring companies such as Kiva systems and upnext. Recently, both Amazon (Amazon Prime Air) and UPS are said to be working on delivering packages via the use of unmanned drone aircraft.

Amazon has developed several early prototypes, and will keep iterating on new models with advancing technology. However, the major stumbling blocks are related to fail-safe mechanisms and safety concerns.

License to Deliver

The US Federal Aviation Administration (FAA) is still in the process of figuring out how to allow commercial (non-invasive) drones into national airspace. As it stands now, anyone who wants to fly unmanned aircraft for commercial purposes must apply to do so, and those applications are reviewed by the FAA on a case-by-case basis.

So far, only a single commercial drone operator has been approved to operate, and that operation is limited to the Arctic region. To even start on-the-ground experimentation, Amazon and other aspirants will have to wait for the FAA to define necessary rules and regulations – which are barely in their nascent stage.

Operational challenges

Using drones for product / package delivery raises a lot of questions:

  1. At what altitude will they operate? Low altitude means higher probability of getting into an accident (poles and wires); high altitude means irreparable damage if they fail mid-air.
  2. Today’s concept drones use rechargeable batteries; there is a chance that they might run out of juice anytime midflight.
  3. Weather conditions: can drones operate effectively in bad weather?
  4. What about delivery confirmation? 

Safety, Privacy & Security Concerns

Some people panic when a bird flies over their head. How do we expect them to feel or react when drones fly overhead?

There are currently two types of drones: autonomous and pilot operated. Both require significant technology infrastructure development. For the moment, if we consider pilot-operated drones, such aircraft need visual guidance and this, of course, means privacy concerns.

Drones can’t defy the laws of physics; the higher they fly the more risky it is. They have moving parts, electronic circuits, and in addition to their own weight, must carry that of their cargo. In case of any failure or vandalism, the drones could lead to losses for the operator. The possible scenarios are:

  1. Drones may become damaged
  2. Carried products may become damaged
  3. Drone accidents may injure people or damage private / public properties

While the loss from first two types might be comparatively lower, lawsuits resulting from people and properties could carry astronomical price tags. Also, drones will be operated / controlled using radio signals. Could mischievous hackers – always looking for a new thrill – hack into these signals and manipulate drones?

Conclusion

I would like to quote Paula Rosenblum: “Drones… I think of them a bit like what Detroit calls ‘Concept Cars’. It means you’ll never see one in the wild, but it’s a glimpse of what’s to come. “ While the idea of delivery via drones sounds exciting (read it as hype), the concept is in its initial stages and has a long way to go.

Newsletter Articles December 10, 2013
Authors
  • Guest ContributorsRamesh Sethuraman
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