Amazon volume being taken away in major cities?

[ChickenLegs]

The US small package market is just about tapped out.

I disagree. There are many improvements that could be made to the US network of buildings - Adding automated sort buildings. Ground should also take no less than 3 days.

 

[ChickenLegs]

I would hope in the future almost everything shipped would be NDA, of course with different commit times.

 

[worldwide]

A couple of friends of mine and I discuss amazon at nauseam. We always come back to ups starting their own amazon. They could do it. If there is really that much long term money in it I'm betting they at throwing the idea around. I just think ten years from now there will be several amazons and it will dilute any of the profits they are hoping to make long term.

The one to watch is Alibaba. Profit is the name of the game for long term business success and Alibaba crushes Amazon on profitability. Well established in China, a market larger than the US and now starting to make in-roads in the US. The landscape is changing.

http://www.forbes.com/sites/steveba...aba-omni-channel-competitor-and-collaborator/

 

[wage EARNER]

UPS could expand into the retail business and use it to revamp their physical and organizational infrastructure. New buildings which combine retail warehousing with sort and delivery components to increase efficiency. Unfortunately, UPS has a history of shoving new ideas into outdated buildings with hodgepodge remodeling and duct tape fixes and then telling their 'C' average managers to "make it work."

 

[Returntosender]

We are expanding overseas as that is where the opportunity is. The US small package market is just about tapped out.

How can it be tapped out. When the PCMS are we need you guys to get sales leads. Maybe it's just me UPS corporate seems scared Amazon delivery might actually work? That's why they start sales lead program, and expansion overseas is happening faster than it did the past years. I don't know if UPS is being proactive or reactive with Amazon delivery threat?

 

[Foamer Pyle]

They are already doing same day delivery in some cities right now with their vans and Im sure that as they tweak it more they will expand unless it goes terribly wrong..

http://www.amazon.com/b?ie=UTF8&node=8729023011

The one thing I don't know is how cost efficient is it really; to do it themselves? Think about the cost of vehicles, fuel, maintenance, insurance, registration, employees, benefits, workman's comp, disability and unemployment insurance. This list goes on and on versus paying a single shipping charge to UPS at a good discount Im sure to deliver it. Not to mention that amazon is a company that already does not turn a profit.

You are listing a bunch of expenses they do not pay for. The folks delivering those packages use their own vehicles, pay for their own fuel, insurance etc. Also, they are very low wage employees. They save a ton of money by not using us.


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[Foamer Pyle]

Sorry my friend you have it backwards Ups is biting off the hand that feeds them.We lose Amazon as a shipper,we will lose thousands of jobs across the country and our profit will tank.Forget about the fantasy of Ups outdoing Amazon as a online shopping megastore,not gonna happen Amazon is the best at what they do and Ups used to be the best at what we do.The whole concept of doing more with less in a service orientated business has hurt us.Corporate greed cutting this cutting that has created a recipe for disaster for this company.Less loads,less drivers creates service failures.Cutting and taking everything away from there employees has eliminated morale and company pride we all once had.This company needs to stop having the attitude that we are the only game in town and get back to providing excellent service like we used to.So we do not lose shipping giants like Amazon.

Amazon has been in business nearly 20 years, and they still have not figured out how to turn a profit. Personally, I don't know how they stay in business, but they better figure it out because you can have all the sales numbers you want, but if there is zero profit, the business will fail. Do a search on Google for Amazons profit, don't worry, you won't find an article that shows they make money.


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[brown metal coffin]

You are listing a bunch of expenses they do not pay for. The folks delivering those packages use their own vehicles, pay for their own fuel, insurance etc. Also, they are very low wage employees. They save a ton of money by not using us.


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I just did some research on that and it would seem that they are hiring independent contractors. Is it 100% independent; I don't know... Even fedex only has their independents doing the ground service and the rest is company. Not sure how the breakdown is but you nailed that one.

 

[purplesky]

Amazon(Jeff Bezos) wants control of his own destiny and business model. UPS has always been a key major player in Amazons business from Amazons get go.

People like Jeff Bezos that are worth $30 billion want complete control. UPS HAS A HOLD ON JEFF BEZOS.

There are problems at Amazon with vendors and underpaid workers that are starting to surface.

Jeff Bezos said himself on 60 minutes that Amazon won't be around forever and I think other retail players like Walmart and Target and Costco and Macys,Best Buy will do their own self delivery type service that gives Amazon no real advantage.

The no sales tax game was what made Amazon so great. Its quickly disappearing.

UPS would have such a huge advantage being COMPLETELY self sufficient as an online retailer.

UPS could build retail distribution centers or use existing BLDS that would work logistically with the UPS delivery system.

UPS could use the UPS stores for returns and even pickups.

UPS could partner with Best Buy or lets say Macys or Lowes. Possibilities are endless.

UPS could generate huge revenue with a shipping membership type program kind of like Amazon prime but UPS could do many versions that would give online members many shipping options.

 

[sortaisle]

Our service sucks.Especially during peak.Employee morale is in the toilet.Past CEO for Ups was a greedy bastard.He took away all forms of appreciation that we once had as employees.He cut benefits everywhere he could.On top of treating all of us like we are nobody and replaceable.He forced us all to do more with less.Less morale and less people to provide good service equals shippers looking for alternatives.Hopefully the new CEO at Ups will turn things around.Nobody including corporate Ups wants to lose an account like Amazon.Jobs will be lost all over the country.

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UPS needs to move at the speed of business and not the other way around. All UPS CEO's after the Casey has trimmed and cut so there is nothing new from any of the CEO's so far as that goes. UPS has found a way to be profitable or at least survive in the worst climates...including The Great Depression. UPS will find a way to roll with Amazon's whims and Amazon is free to run their business as they see fit. Every single time we get a raise, UPS has increased the stop count. Maybe the union should have embraced the productivity standard UPS offered in 2008. We would have been locked in at 108 stops per car instead of the 141 it is now. If you feel you see the writing on the wall then I suggest you make ready to find other employment or retire early and well. I don't mean to sound like an ass but it seems senseless to make all of UPS current issues seem new. They're hardly new so it should be a roll with the punches time rather than a freak out session.

 

[Karma is a bitch]

Amazon needs ups and ups needs Amazon. This use to be a great company. Now it's just united parcel. No more service. If you don't service the customers, they may go else where.

 

[Karma is a bitch]

They want sales leads and when they get the new customers, they don't provide good service. They flag pkgs. Miss pieces. Miss pickups. Tell customer they can't wait for their pkgs to be ready. Hurry up and punch out. I have left customers in the street with loads of boxes at my pkg car and told by management to close my door and pull away. Having no choice, since the supervisor is right next to me instructing me to pull away. Yet they want leads? For what? So we can screw them too.

 

[Foamer Pyle]

I guess they could do that but now your talking a situation like fed ex ground. They will have to find people to purchase their own vehicles; if they have to be uniform or use their own which will look unprofessional with a mitch match fleet, disheveled work force but still be bound by all the rules and regulations of amazon. I just don't see how that makes them better or more cost efficient.

You guys are behind the times for sure, and this was discussed in a previous post. Amazon has their own guys here in the Tampa area delivering their stuff, and yes they save loads of money over our cost. The guys drive their own vans, and pay for all of their own expenses, no benefits, and they look unprofessional. But who cares, As long as Amazon saves money. They have a magnetic sticker on the side that says Lazer Ship. Coming to a town near you!

 

[Overpaid Union Thug]

You guys are behind the times for sure, and this was discussed in a previous post. Amazon has their own guys here in the Tampa area delivering their stuff, and yes they save loads of money over our cost. The guys drive their own vans, and pay for all of their own expenses, no benefits, and they look unprofessional. But who cares, As long as Amazon saves money. They have a magnetic sticker on the side that says Lazer Ship. Coming to a town near you!

Lazer Ship is not Amazon. They are a regional carrier that sucks very badly. Even worse than the USPS and DHL.

 

[oldngray]

Amazon has really been trying to cut their shipping costs as much as possible. My recent orders have been a lot of USPS or Surepost. I don't have Prime but still used to get most orders in 3 or 4 days. Now it can take a week or longer even from a nearby shipper. Cheap but slow.

 

[UpstateNYUPSer(Ret)]

Lazer Ship is not Amazon. They are a regional carrier that sucks very badly. Even worse than the USPS and DHL.

Truth be told, does it really matter who brings your Pantry order to your front door?

 

[upschuck]

Truth be told, does it really matter who brings your Pantry order to your front door?

Yes, I prefer UPS.

 

[TooTechie]

Truth be told, does it really matter who brings your Pantry order to your front door?

Definitely. I don't want a rusty smoking unsafe vehicle idling on my property.

 

[thebrown1]

Worst move we can make is allow them to slowly grow their delivery business. Tell them all or nothing and watch them crash and burn.

Do you honestly think that a company that made 74 billion in sales (2013) actually cares much weather UPS delivers there items... Not likely! Would it be a HUGE inconvenience, sure. They plan on delivering there own items sooner or later and they will eventually succeed. The only thing stopping them now is more than likely anti trust issues.

 

[Brownslave688]

Do you honestly think that a company that made 74 billion in sales (2013) actually cares much weather UPS delivers there items... Not likely! Would it be a HUGE inconvenience, sure. They plan on delivering there own items sooner or later and they will eventually succeed. The only thing stopping them now is more than likely anti trust issues.

Lol sales. Sales don't mean . Profit talks and if we forced Amazon to go all in and deliver all of their stuff tomorrow they'd go bankrupt before they had a chance to stop spinning their wheels.