The publicly owned YPO has signed a four-year contract with Amazon Business to supply goods and services to public sector bodies including local authorities, multi-academy trusts and universities.
The deal, which is worth up to £400m, will offer public sector customers who are buying from Amazon Business access to a much wider range of products.
Amazon Business provides access to hundreds of millions of products from tens of thousands of smaller independent suppliers from across the UK, helping customers to save time and money.
By accessing Amazon Business through Wakefield-based YPO, which is one of the UK’s largest public sector buying organisations, customers will be earning income for the public purse.
A percentage of each sale will be given back to the public sector.
Simon Hill, the managing director of YPO, said: “We’re excited to launch a public sector route to Amazon Business for our customers. The demand for innovative ways to buy better is one of the highest priorities for public sector organisations and our new framework agreement represents a forward-thinking approach to public sector purchasing.
“It offers brand new benefits in a first for a public sector buying organisation in the UK.
“Our recent customer survey showed that 80 per cent of our customers already use Amazon so this will give them an opportunity to complete their list of requirements through YPO, without fragmenting their spend and threatening the one-stop-shop proposition.”
“YPO will continue to sell its 30,000 products but many more business-related products will now be available, everything from agricultural supplies to medical equipment.
“Customers will also benefit from an enhanced offer in terms of value as well as service, such as competitive prices and delivery accessed through a single YPO route.”
The framework launches today with a sales managed service for local authorities, multi-academy trusts and universities.
A dedicated account manager will help customers with the registration process as well as helping them to assess and monitor their own level of compliance. A further self-service Amazon Business offering for schools will follow later in the year.
A spokesman for YPO said: “YPO customers will be directed to Amazon Business where they can set up their account and use a framework to buy products YPO currently doesn’t sell, while being assured that these products have been compliantly sourced.”
For 45 years, YPO has provided goods and services to public sector organisations from its headquarters in Wakefield, mainly to schools, other education establishments and councils. This is done through public tenders which provide full compliance with public procurement regulations.
Following the new public sector framework supplied by Amazon Business, YPO will continue to sell its products from its warehouse or directly from suppliers, working with small and local businesses in the same way.
A YPO spokesman added: “Amazon Business is an online marketplace, which combines the selection, convenience and value customers have come to know from Amazon, but with unique features and benefits tailored to the needs of institutional buyers of every size.”
YPO is owned by 13 local government member authorities.