Amazon > UPS In Seven Years? *On Topic Please*

[Brownslave688]

If their current growth (and plans) continues then they'll be processing more than us. And that's my point.

not going to happen. Sure as hell not in 7 years.


But let's pretend it does what's it matter?

How is them moving their own packages a threat?

 

[brownmonster]

Bottom rung grunts trying to figure out the inner workings of mega corporations.

 

[watdaflock?]

Big fan.

Wonder if the vinyl is available on Amazon.

 

[Rick Ross]

Clearly you did.....



When i said their own stuff it was obvious i meant the many products from many companies that they sell and we, along with other carriers, handle for them. That's what they are beginning to deliver themselves. As at their current growth they'll possibly pass both FedEx and UPS in parcel volume.


Exactly.......but most of it CURRENTLY is being fulfilled by outside carriers. If their current growth (and plans) continues then they'll be processing more than us. And that's my point.

I'm not following you on this, fulfilled by outside carriers? Processing more than us?

Right now individual sellers ship their products to Amazon. Amazon charges them a monthly fee per cubic foot of space their product takes up in one of their warehouses, charges them to pick the product, charges for the weight of the product and I think charges a fee for the packaging but that may just be on orders without free shipping. Amazon is using these fees to offer the free shipping on orders over $35 or whatever it is.

This is why Amazon is making such a big deal out of their shipping costs, most of the time they are paying for it out of fees they're collecting on the fulfillment side (most people try to get free shipping instead of paying the $6 or whatever they start shipping at). It's not that they need lower fees, they just want the extra money like any business would.

This is also where their PR spin comes into play. They want sellers to think there is no way they or any other company can fulfill their orders for less money. Amazon is delivering their own packages because UPS, FedEx and the USPS aren't smart enough to do it as efficiently as Amazon and aren't reliable. I should use them to fulfill my orders because it has to be cheaper than I could do it myself. Plus in the future Amazon will probably put other fulfillment companies out of business so I should just use them from the beginning.

Of course you can also sell on Amazon without using their fulfillment services but that isn't what this thread is about.

 

[Overpaid Union Thug]

not going to happen. Sure as hell not in 7 years.

Hope you're right.

But let's pretend it does what's it matter?

How is them moving their own packages a threat?

You already answered that question.

No I didn't misunderstand.


Really the only thing losing Amazon means to ups is less union jobs.

I'm not following you on this, fulfilled by outside carriers? Processing more than us?

Right now individual sellers ship their products to Amazon. Amazon charges them a monthly fee per cubic foot of space their product takes up in one of their warehouses, charges them to pick the product, charges for the weight of the product and I think charges a fee for the packaging but that may just be on orders without free shipping. Amazon is using these fees to offer the free shipping on orders over $35 or whatever it is.

This is why Amazon is making such a big deal out of their shipping costs, most of the time they are paying for it out of fees they're collecting on the fulfillment side (most people try to get free shipping instead of paying the $6 or whatever they start shipping at). It's not that they need lower fees, they just want the extra money like any business would.

This is also where their PR spin comes into play. They want sellers to think there is no way they or any other company can fulfill their orders for less money. Amazon is delivering their own packages because UPS, FedEx and the USPS aren't smart enough to do it as efficiently as Amazon and aren't reliable. I should use them to fulfill my orders because it has to be cheaper than I could do it myself. Plus in the future Amazon will probably put other fulfillment companies out of business so I should just use them from the beginning.

Of course you can also sell on Amazon without using their fulfillment services but that isn't what this thread is about.

Looks like you are following me quite well. This thread is about the possibility (according to who created the content within the link I provided) of Amazon overtaking FedEx and UPS in total parcel volume. The two biggest opponents of the theory so far in the thread have both (despite attempts at providing dissenting opinions) provided ample reasons and scenarios for why this could be happening.

 

[Rick Ross]

Everyone has their own opinion. When I see them building a network to deliver packages I'll believe it. Right now they have warehouses around the country in larger, more densely populated areas. It would cost them billions to build out infrastructure.

I just read the post office needs about $5 billion to replace their 25 year old fleet of delivery vehicles. What would happen to Amazon if the USPS decided that Amazon's low margin packages aren't worth delivering and decided to go to a 5 day week for cost savings? Amazon would be totally screwed right now and begging ups and FedEx for any help they could get. A 2 day prime guarantee would be out of the question for most of the country without UPS and FedEx bailing them out.

With your thnking we should all be terrified of Walmart. They have warehouses and stores everywhere and they already have their own trucking company.

 

[UpstateNYUPSer(Ret)]

Everyone has their own opinion. When I see them building a network to deliver packages I'll believe it. Right now they have warehouses around the country in larger, more densely populated areas. It would cost them billions to build out infrastructure.

I just read the post office needs about $5 billion to replace their 25 year old fleet of delivery vehicles. What would happen to Amazon if the USPS decided that Amazon's low margin packages aren't worth delivering and decided to go to a 5 day week for cost savings? Amazon would be totally screwed right now and begging ups and FedEx for any help they could get. A 2 day prime guarantee would be out of the question for most of the country without UPS and FedEx bailing them out.

With your thnking we should all be terrified of Walmart. They have warehouses and stores everywhere and they already have their own trucking company.

Unlike the major private carriers, the PO has to accept any and all packages tendered to them in good repair.

 

[Overpaid Union Thug]

Everyone has their own opinion. When I see them building a network to deliver packages I'll believe it. Right now they have warehouses around the country in larger, more densely populated areas. It would cost them billions to build out infrastructure.

That's what I've always believed. And its been true. But they've grown (with our help)

I just read the post office needs about $5 billion to replace their 25 year old fleet of delivery vehicles. What would happen to Amazon if the USPS decided that Amazon's low margin packages aren't worth delivering and decided to go to a 5 day week for cost savings? Amazon would be totally screwed right now and begging ups and FedEx for any help they could get. A 2 day prime guarantee would be out of the question for most of the country without UPS and FedEx bailing them out.

That's a possibilty. I'm thinking they are banking on that not happening.

With your thnking we should all be terrified of Walmart. They have warehouses and stores everywhere and they already have their own trucking company.

It's not just my thinking. I'm not the one that wrote that article. And Walmart is a bad comparison. Yes, they have their own trucking company but as far as i know they arent getting into the delivery game. Not like Amazon is SUPPOSEDLY aiming to do. I personally wish we had bought Amazon (back when UPS could afford it) or started something similar.

 

[Covemastah]

If UPS & fedex had balls and both dropped amazon for a year, they would sink themselves !

 

[Rick Ross]

Unlike the major private carriers, the PO has to accept any and all packages tendered to them in good repair.

I'm sure that's true but they could drop Amazons negotiated rate. There's a reason Amazon is the only package they deliver on Sundays, it's in the side deal they negotiated.

 

[Babagounj]

Not good news for Amazon .

Family Sues Amazon After Elderly Woman Killed By Delivery Truck

Escamilla ( 84 ) was walking near the intersection of 28th and Drake around 3:30 p.m. on Dec. 22, 2016, when she was struck by a Nissan delivery truck with an Amazon logo on it. She was taken to Mount Sinai Hospital, where she died less than an hour later.

The driver, 29-year-old Valdimar Gray, was charged with one count of operating an uninsured vehicle.

Attorney Louis Cairo said a witness saw the truck driver blow through three stop signs before hitting Escamilla, who would have turned 85 on Thursday.

“Amazon hires independent contractor companies, and they slap placards on the side of their vehicle that says Amazon; and then when there’s a fatality, Amazon says ‘it wasn’t our employee,’” he said.

 

[Babagounj]

Some of Amazon small suppliers ship directly to the customer using Amazon supplied shipping labels .
They would check the orders received for that day and after work rush over the the CC in SoBos. It closed the doors at 8 pm .

 

[hellfire]

A good 50 percent of my ridiculous stop count , related to my stupid time allowance, is Amazon daily. They are aggressive, they will continue to develop their own delivery infastructure... Matter of time....You people in denial are funny, hope your not low seniority.

 

[Gone fishin]

It seems arrogant to me that amazon sees everything going there way in the future.
If this is how shopping will be , stores will adjust,new ones will open and amazon will be taking a hit.

 

[Covemastah]

They will grow and grow till some ani trust laws start hitting them !!

 

[Faceplanted]

I heard Amazon is already offering shipping services to its customers in some areas

So if you are a prime member, you can ship a package to your son in school ect

Keep sleeping on them everybody, I think some of these low seniority guys may be in for quite the shock in the next 5 years.

 

[UpstateNYUPSer(Ret)]

Whenever I order something for either or my two children from Amazon I will have it shipped directly to them rather than having it sent to me only to have to send it to them.

 

[Faceplanted]

Whenever I order something for either or my two children from Amazon I will have it shipped directly to them rather than having it sent to me only to have to send it to them.

I'm talking about anything. In certian markets you can ship anything to anybody. Kind of like a ups store on wheels.

Like I said some people will be in for quite the shock in the coming years.

 

[Rick Ross]

I heard Amazon is already offering shipping services to its customers in some areas

So if you are a prime member, you can ship a package to your son in school ect

Keep sleeping on them everybody, I think some of these low seniority guys may be in for quite the shock in the next 5 years.

Are you talking about drop shipping or something else?

 

[Faceplanted]

Are you talking about drop shipping or something else?

Something else

I sit at home, schedule an Amazon pick up, Amazon van comes, picks up package and the package ends up in amazons fulfillment system to get to the receiver. There is an article somewhere on the net of Them rolling this out and testing it in areas