Purplepackage
Well-Known Member
I hope you're right, im planning on going part time in a few years.
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I hope you're right, im planning on going part time in a few years.
Gone fishin
Well-Known Member
Sweet. I only need 3. You better be right
That is what has been widely discussed. Slowly but steadily lower priority shipments will go to ground possibly higher priority over time. Express can then use the freed up capacity elsewhere or as many expect downsize express over time. Given the rapid expansion of Ground hubs and satellite terminals clearly something's up and they are not going to let that increased capacity go unused for long. I know you can't use this as an example but after building and moving us into a new terminal building in 2007 doubling capacity, they expanded the building last spring doubling the size of the building adding extra belts While at the same time the Xpress operation 20 miles away is still in the little tin garage they have been in for the past 20 plus years
I think what they're saying is that Ground delivers freight that used to go to Express. That's the point of Ground though, isn't it? Deliver the bulk freight, the big box freight that cost shippers way too much at Express, and yet FedEx does even better profit wise because all that bulk is trucked instead of flown and delivered by low cost employees(of contractors).
Gone fishin
Well-Known Member
So about how long does express have left. I need 3 years
Well obviously they aren't adding all that capacity to take over the little Express operation. Ground is growing because it's gaining marketshare from UPS. Taking over Express too is going to add layers of complexity to what Ground does well.
You could have 30 years if you wanted it. I believe that it will be a smaller operation doing tasks that have not yet been conceived of free of the growing price resistance that is moving more shipments to Ground.
Possibly decades. When the teleporter is perfected we're all out of business.
Gone fishin
Well-Known Member
Nope. Just need 3. Hope the best for my express brothers tho
When the next annual report comes out check out the forward looking guidance section. Sometimes you can get a hint as to what it's plans are in the years ahead Granted it's almost always vague and ambiguous but sometimes you can read between the lines and get a clear dense of direction.
Savvy customers are already using Ground for overnight shipments in their region. Having worked all over the U.S. I've seen how much shipping goes on between big cities and smaller markets in their region. Not just metro area, but hundreds of miles away. If customers are made aware of the cost savings then Express will lose a considerable amount of freight and are probably doing so now.
Gone fishin
Well-Known Member
Ground is also taking huge amounts of freight from ups. It's starting to cut into them too
Cactus
Just telling it like it is
Well yeah, I wrote that in other posts.
Gone fishin
Well-Known Member
Right, I'm just overwhelmed by all the success of ground and the crumbling of express and its competition.
UpstateNYUPSer(Ret)
Well-Known Member
Most customers want one driver handling both.
Cactus
Just telling it like it is
As of right now, if you need a widget made in Seattle by 1030 tomorrow morning in Atlanta, you have to go with Express. Only Express is doing that, and there's absolutely nothing happening right now that will change that. Express may eventually use smaller planes as Ground dominates regional overnight, but there will be an Express service for customers who have to have expedited national service.
Purplepackage
Well-Known Member
I cant wait to bring this thread back 5 years from now, the best part is essentially nothing will have changed by that point
Bingo. Ground will not replace Xpress high priority shipments but it's not the high growth area X is so obsessed with.You guys have nothing to worry about going forward but the expansion of Xpress headcount in the coming years will not be as large as it has been in past years and much of that will be part timers.
