Amazon DSP Routes: Complete Guide for Investors and Operators
Costs, earnings, requirements, and FAQs for Amazon delivery businesses.
Amazon DSP (Delivery Service Partner) businesses are independently owned delivery companies that contract with Amazon to deliver packages. Whether you’re a buyer, investor, contractor, or seller, this guide covers how Amazon DSPs operate, startup and operating costs, and what to expect financially and operationally.
Frequently Asked Questions
-
To purchase an Amazon DSP business, you will need to pay cash for the full transaction price. You will also have other expenses such as incorporation fees and legal fees through the acquisition process. Buyers should also account for any needed equipment expenses and working capital for unexpected costs that may occur.
When calculating how much money you will need to acquire an Amazon DSP business, consider all of these variables. Route Consultant can help you determine what your total acquisition costs will be for a business you are interested in.
-
Amazon DSPs are very involved with their business. Amazon expects all owners to be local and actively involved in the business daily.
All Amazon DSP owners are required to be physically present and active in the daily operations of the business. New DSPs are expected to be local and live within driving distance of the depot. As your business grows, you may have opportunities to improve your management structure and decrease your personal workload. However, Amazon will still expect you to be available and engaged in the business.
-
Unlike other package delivery networks, Amazon controls how many routes your company dispatches every day. The number of trucks needed will be determined by the number of routes. If you are required to dispatch 30 routes, then you will need at least 30 trucks. As the DSP, it is your responsibility to ensure that you have the resources necessary to meet these demands, but you do not have the control to change the number of routes.
Amazon vehicles are mostly acquired through their leasing program, but it is also a good idea to have spare vehicles available in case a truck breaks down or is unable to dispatch for any other reason. Route Consultant recommends having at least 1 spare truck for every 5 routes.
-
No, you do not need prior experience to be successful, but you are expected to be involved and learn quickly.
Many successful DSPs began with little to no prior experience in the package delivery industry. While Amazon does not require prior experience, they do expect you to learn quickly and show that you are capable. All new DSP candidates have to interview with Amazon; in which you are expected to show that you understand the needs of the business and the expectations Amazon has for you.
While prior experience is not required, it can be an advantage. The learning curve is very steep, and the runway you are given to catch up is very short. When exploring whether being a DSP is the right fit for you, consider your past experiences and evaluate how you might apply them to this industry. Working with a company like Route Consultant can add major value by shortening your learning curve and getting you up to speed and ready to succeed faster than other DSPs.
-
The most common trucks used by Amazon DSPs are transit vans and stepvans.
Amazon DSPs typically operate Amazon-branded transit vans, step vans, and in some cases box trucks, depending on the delivery volume and route type. Amazon supplies these vehicles directly, so DSPs do not need to purchase or store their own fleet.
Vehicle Types Used by DSPs
Transit Vans (Prime Vans):
Standard vehicle for most residential routes.
Easy to maneuver and fuel-efficient.
Step Vans:
Used for larger-volume routes or areas with denser package density.
Provide greater cargo capacity and faster loading/unloading.
Occasional Box Trucks:
Utilized in select markets for oversized or high-volume package movement.
Less common, but still Amazon-supplied when needed.
How Vehicle Provisioning Works
Amazon provides all required delivery vehicles, including branding, maintenance scheduling, and replacement.
DSPs do not purchase or lease their own trucks, nor do they need storage space for off-shift vehicles.
Maintenance and safety standards are enforced through Amazon’s fleet management program.
Amazon DSPs rely on Amazon-supplied transit vans and step vans for daily operations, with occasional use of box trucks. Because Amazon handles all vehicle provisioning, DSPs can focus on workforce management, route execution, and safety performance rather than fleet ownership.
-
Amazon DSPs are paid directly by Amazon for the services they provide.
Amazon pays its DSPs a contract rate for every package delivered. Amazon provides a list of applicable charges in which the DSPs earn revenue for various services. DSPs who meet certain performance metrics receive additional compensation above and beyond the base pay rates. The most profitable DSPs are also those who consistently meet these metrics and perform above the base requirements.
-
Full-time and part-time drivers can be found on common job sites such as Indeed or on social media.
The most common source for drivers is Indeed. There are also recruiting vendors who specialize in delivery industries. These are great outsource options to use if you need assistance filling your recruiting pipeline.
-
EBITDA profit margins for Amazon DSPs typically range from 5% to 15% of Annual Revenue.
Your earnings as an Amazon DSP depend largely on how many packages you deliver and how efficiently you operate your business. Most DSPs net 5%–15% EBITDA profit margins, with top-performing operators sometimes exceeding that range. In short, profitability is driven by volume and operational efficiency, and strong cost control can push margins toward the higher end. The details below explain what influences your earnings.
What Determines How Much You Can Make
Package volume: Higher daily volume increases revenue potential.
Route efficiency: Strong dispatching, routing, and staffing lead to fewer delays and better margins.
Labor management: Driver productivity, retention, and overtime control are major factors affecting costs.
Fleet costs: Lease rates, maintenance, and downtime have a direct impact on profitability.
Operational discipline: Monitoring metrics, reducing waste, and staying compliant with Amazon’s performance standards all improve profitability.
What High Performers Do Differently
Optimize routes daily to reduce miles and time on road
Keep turnover low and invest in driver training
Track KPIs closely (on-time delivery, rescues, safety scores)
Maintain vehicles proactively to avoid costly repairs
Bottom Line:
While the typical DSP earns 5%–15% EBITDA margins, your actual profitability will depend on how well you control expenses, lead your team, and run the day-to-day operation.
For more information, check out our blog How Much Money Do Amazon DSPs Make?
-
Amazon does have an application program in which routes can be awarded. However, the waitlist can be extremely long, and you have very little to no control over where you are awarded routes. As Amazon’s network expands, the opportunities are less frequent and less desirable.
It is highly recommended that you consider purchasing an existing operation, especially for your first foray into the Amazon DSP space. The learning curve is steep and you are expected to perform well from day one. Purchasing an established operation not only allows you to get your foot in the door quicker and easier, it also gives you much more control over where you want to operate and better ensures you are set up for success.
-
No, financing is generally not an option for Amazon DSP routes because Amazon requires DSP transactions to be completed in cash.
Amazon’s policies are designed to ensure operators do not carry acquisition-related debt, which could affect performance and financial stability. This is the reason Amazon requires all acquisitions to be cash purchases.
Why Financing Isn’t Allowed
No acquisition debt: Amazon requires DSP owners to enter the program without outstanding loans tied to the purchase.
Financial stability: Cash-only transactions ensure owners start with stronger liquidity and fewer financial risks.
Approval requirements: Any DSP deal involving financing will be rejected by Amazon.
What This Means for Buyers
You must have full cash available to acquire the business.
Additional working capital is recommended to cover payroll, fuel, uniforms, vehicle leases, and operational reserves.
Alternative paths: Some buyers partner with investors or form equity partnerships, but traditional loans for the acquisition itself are not permitted.
If you need help determining the capital required or exploring alternative structures, advisory partners like Route Consultant can guide you through the process.
Ready to get started?
Explore listings or learn the basics with our free 101 course.
Why Contractors and Investors Trust Route Consultant
Industry Leadership
We also publish weekly Industry Insights, one of the most comprehensive knowledge hubs for route-based businesses—covering entrepreneur stories, business strategies, industry updates, and more.




