"In 1997, UPS controlled more than 80% of the U.S. ground parcel market, according to estimates from consultancy ShipMatrix. Its two main competitors in the business-to-business segment — how most parcel traffic moved — were Airborne Express, with limited services compared to UPS, and Roadway Package System Inc. (RPS), a small but fast-growing company. FedEx Corp.
(NYSE: FDX) had no dedicated ground delivery network. The U.S. Postal Service focused on the business-to-consumer market, which was a fraction of what it is today because e-commerce didn’t exist.
At the time, UPS felt it could absorb a walkout — and the dislocations accompanying it — without much fallout. It reasoned customers would return because their alternatives were limited. Some post-strike business never returned to UPS – however, much of it did.
Many shippers didn’t think a strike would occur and failed to develop contingency plans far enough in advance. Enterprise shippers quite dependent on UPS moved some volumes elsewhere, but many chose to wait it out. They eventually went back.
Today, UPS controls about 50% of the total market, still a healthy share but not what it once was. The reason is clear: more and better competition."
DHL bought out Airborne Express.
80% to 50%! We have near monopoly? Let me tell you about LaserShip and Ontrac
"based regional shipping services provider OnTrac, announced they had entered into a definitive agreement to merge, with
LaserShip acquiring OnTrac for $1.3 billion, the companies last week stated they are taking a major next step in the process."
This move is a result of a 2021 transaction that brought
LaserShip and OnTrac Logistics under shared ownership, creating the first coast-to-coast partner of choice for last-mile ecommerce deliveries.
By combining their complementary delivery footprints, with LaserShip covering the East Coast and OnTrac Logistics serving the West Coast, the companies have empowered retailers to reach consumers in the country’s most populated regions.