Eventually if it works it would be a little bit of a disruptor to a degree for ground pickups and HD deliveries. Looks like at the moment they are looking at "prime now" food type service would probably be a few years before they took it to the next level with incorporating all major cities. I am skeptical it will be pulled off, I think govt and insurers will step in and have enough and at minimum change it to the IC type model we are getting away from. Will be interesting to see.
Amazon buying fedex.. Whaaat!
- Thread starter Fragiledonthrow
- Start date
Which begs the question, did they just up and decide to do this, or did they consult with lawyers and gov't first? I'm betting the latter. Major corporations usually run things by legal first. Note that Bezos wanted to use drones, but the FAA shot it down. He didn't just start using drones, hoping the gov't would go along.
Highly doubt it. It is legal now so why not make the money now knowing that it would probably be years before govt shuts it down and they can create a workable model while that is going on (sound familiar). Drones were publicity he knew it was a possibility, was nowhere close to the same thing since commercial drone use was not legal/is not legal unless permitted. Not just illegal, major offense with flying over freeways, illegal airspace, and all other FAA issues.
But you forget he's answerable to stockholders. If he's doing things that might hurt Amazon he'll be voted out. They aren't picking up freight to put on a plane. They aren't handling haz. If anything this could lead to FedEx ultimately having contractors deliver all their freight, having employees doing pickups only. Yes, it's a big if, and we all know FedEx isn't above paying off politicians to protect their turf. Amazon is a huge account, and a lot of couriers are going to have a lot less to do if this works out for Amazon.
overflowed
Well-Known Member
This is exactly what uber and all these tech companies have been banking on. Make as much money before regulation catches up. They are ground x 1 million.
overflowed
Well-Known Member
Huge account we don't make huge amounts of money on. Boonie stations I agree will split in half, bread and butter metro won't. There are many routes at my station not a single amazon package will be seen on.
Fragiledonthrow
Well-Known Member
I think the big picture is anything that u deliver that is obtainable in the same town. Is pretty much lost freight in your truck. Cause don't pass on this guy from picking products out of somewhere else besides his warehouses.
If the model works, why wouldn't major retailers do the same thing(Walmart target)?
I think that we can all agree that this concept has the capacity to be a major disrupter or completely transform the shipping industry. With legacy costs impacting the older carriers therefore if this thing works then rest assured there's a whole lot more on it's way from where this came from
Sure, in big cities you have routes doing mostly business. But plenty of routes do resi's too. It's not about how much FedEx makes off of Amazon, but how the couriers will be affected. Another thing to consider, FedEx will be competing with Amazon for workers. Flex might actually be a factor in why the company is suddenly sounding more generous with pay.
59 Dano
I just want to make friends!
Why not? You're the standard "I'm a mgr, thus I know more than you about everything." Which you've demonstrated repeatedly that you don't. Tip: If you grow a set you won't have to grovel at Fred's feet until you're 70.
When have I ever claimed (or claimed not) to be a manager? Alas, I enjoy your long-winded (bad) explanations of semi-complex topics from the perspective of someone with no practical understanding of them.
Says the genius who thinks Wall Street buys stock to hold long term. You're a mgr, we all know it.
I think we can agree on this. If the new Amazon delivery service reaches it's full potential what it will mean is that a lot of HD routes that were going out 90-100% fully loaded on a typical day will be in the 75-85% range and that will definately hurt the guy who has a bunch of HD routes. By the way today thanks to machine trading today a share of stock is held for an average time of just 3 minutes.
59 Dano
I just want to make friends!
Considering that "Wall Street" is made up of thousands and thousands of people making millions of transactions over the course of a given year to serve a nearly infinite number of goals, I don't think I would ever sum its actions up with such a simplistic statement. But hey, thanks for trying!
I don't think HD is that exposed to fluctuations in Amazon volume. Occasionally we will see quite a bit but nowhere close to a daily occurrence.
59 Dano
I just want to make friends!
:::snicker::: Yep, Express is (hopefully) upping pay so that FT couriers making $17/hour don't leave for a job that offers absolutely zero benefits, hardly any hours, you have to use your own car, and you're 1099. WHERE DO WE ALL SIGN UP?????
59 Dano
I just want to make friends!
Who said anything about your 3 minute figure?
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