Amazon now using Express

[TUT]

Just remember UPS logistics helped build Amazon from the ground up. UPS is the primary shipping partner for amazon. I have said this before.

Do you realize how much cash and manpower it would take to build a shipping company like UPS today? Now UPS could become an Amazon very easily within 24 months and Amazon would be saying WTF just happened?

Amazon needs UPS more than UPS needs Amazon. Amazon is just a middleman online seller with big warehouses designed by UPS. Amazon isn't even that profitable of a company?

There is no reason why UPS could not become an online seller like Amazon.

Think about it. IF WALMART OR AMAZON(THE BIG BOYS IN RETAIL) COULD REALISTICALLY DELIVER THEIR OWN STUFF WE WOULD SEE THEIR TRUCKS ON THE ROAD TOMORROW.

Do you think Atlanta or Memphis have discussed this possibility? You bet they have.

I believe that is incorrect. With Amazon building more regional warehouses, they could just buy the regional carriers, they already are in the same pay scale they like to pay their drivers. Both are massive to build, you totally under-estimate building their efficient warehousing systems, the website, the partnerships Amazon has and the buying brand they have. No one but no one relates to UPS to online shopping, moving buyers over to UPS would be herculean, because Amazon would still be there (why would people leave them?) as with all the other online retailers. How the package gets to us, almost no one cares. I get packages from Ontrac and don't complain, because it is there timely and in one piece.

Amazon likes UPS but doesn't critically need them, they could manage using all the other carriers if push came to shove. UPS also doesn't need Amazon I agree, but it would still be a kick in the gut if they ever turned the tables and UPS would be there wondering.... WTF did we just allow them to become? Perhaps maybe that is why all the carriers give their services away to them, so Amazon doesn't get the bright idea of just doing it themselves (along with USPS). Amazon could be saying, "hell at these prices... we couldn't even compete."

 

[TUT]

UPS driver in my area said January 1 they are getting most if not all Amazon.

I won't say it will happen. But this is becoming Nostrodamonian around here. People have predicting saying that for years. I see no real reason why they wouldn't do Rate Shopping on each package/location to come up with the best choice. Unless UPS is once again lower their prices again. Also to note this would only be Prime, they don't control shipping on the over 10,000 partners they have, it's all their choice.

 

[purplesky]

I believe that is incorrect. With Amazon building more regional warehouses, they could just buy the regional carriers, they already are in the same pay scale they like to pay their drivers. Both are massive to build, you totally under-estimate building their efficient warehousing systems, the website, the partnerships Amazon has and the buying brand they have. No one but no one relates to UPS to online shopping, moving buyers over to UPS would be herculean, because Amazon would still be there (why would people leave them?) as with all the other online retailers. How the package gets to us, almost no one cares. I get packages from Ontrac and don't complain, because it is there timely and in one piece.

Amazon likes UPS but doesn't critically need them, they could manage using all the other carriers if push came to shove. UPS also doesn't need Amazon I agree, but it would still be a kick in the gut if they ever turned the tables and UPS would be there wondering.... WTF did we just allow them to become? Perhaps maybe that is why all the carriers give their services away to them, so Amazon doesn't get the bright idea of just doing it themselves (along with USPS). Amazon could be saying, "hell at these prices... we couldn't even compete."

Dude there is no other carrier besides FDX that could even touch what UPS delivers for Amazon. I have seen some of the Amazon warehouses firsthand and UPS has thousands of dedicated 53s at 100% rolling out of those Amazon centers on a weekly basis all over the USA. USPS IS A SINKING SHIP. THEY WILL BE GONE.

Amazon isn't really that profitable from what I understand? So they don't really have the cash to become a UPS?

If UPS became an online seller they wouldn't necessarily need to use the UPS brand. But hell why not? Its known all over the globe. Consumers shop for price.

Also venders would love to have another online venue to sell their products. Do you think anybody is going to say no to more profits? Why would they?

And again. UPS literally HELPED BUILD AMAZON FROM THE GROUND UP. UPS HAS THEIR BLUE PRINT AND DATA TO LEARN FROM AMAZONS MISTAKES AND SUCCESSES.

I dont think this will happen now because there is a solid partnership and history between UPS and Amazon. I just think its a interesting possibility for UPS in the future.

And you have to remember when other carriers give their services away(undercut UPS) and don't make a profit they wont be around long. DHL and USPS are examples.

 

[PiedmontSteward]

Take the Brown glasses off. Amazon is a money losing fiasco as it now stands. Do you think they will continue to exist to soley enrich UPS? They are going to have to cut costs somewhere and so are not one bit beholden to UPS.

Amazon has one of the weirdest relationships with their investors I've ever seen. They continue to hemorrhage money and post losses every quarter yet the shareholders continue heaping buckets on money onto them. They're killing the brick and mortar retailers just through economy of scale while barely breaking even.

 

[bbsam]

Amazon has one of the weirdest relationships with their investors I've ever seen. They continue to hemorrhage money and post losses every quarter yet the shareholders continue heaping buckets on money onto them. They're killing the brick and mortar retailers just through economy of scale while barely breaking even.

And that is the definition of unsustainable.

 

[MrFedEx]

I believe that is incorrect. With Amazon building more regional warehouses, they could just buy the regional carriers, they already are in the same pay scale they like to pay their drivers. Both are massive to build, you totally under-estimate building their efficient warehousing systems, the website, the partnerships Amazon has and the buying brand they have. No one but no one relates to UPS to online shopping, moving buyers over to UPS would be herculean, because Amazon would still be there (why would people leave them?) as with all the other online retailers. How the package gets to us, almost no one cares. I get packages from Ontrac and don't complain, because it is there timely and in one piece.

Amazon likes UPS but doesn't critically need them, they could manage using all the other carriers if push came to shove. UPS also doesn't need Amazon I agree, but it would still be a kick in the gut if they ever turned the tables and UPS would be there wondering.... WTF did we just allow them to become? Perhaps maybe that is why all the carriers give their services away to them, so Amazon doesn't get the bright idea of just doing it themselves (along with USPS). Amazon could be saying, "hell at these prices... we couldn't even compete."

Amazon currently uses Third World delivery providers like OnTrac when the distribution center is within a certain proximity. The OnTrac drivers make even less than FedEx Ground. Why would Bezos invest in his own delivery network when he already has ultra-low cost service?

 

[TUT]

Amazon currently uses Third World delivery providers like OnTrac when the distribution center is within a certain proximity. The OnTrac drivers make even less than FedEx Ground. Why would Bezos invest in his own delivery network when he already has ultra-low cost service?

He could buy them out. I guess when I look at Amazon long-term I see a company that wants to do everything. They just aren't online shopping, they make their own devices, have video services etc. I'm not saying they will do this, but I also wouldn't rule it out, from their actions, they aren't just a one industry type company. The more warehouses they place the more regional carriers could have an impact, you could be right, they could say "why even buy them, they are already as cheap as can be". Recently they are bunking up with household products companies like P&G right in their warehouses. P&G truckloads to the stores, or P&G moves product from one side of their warehouse to the Amazon side and now they are selling Diapers online. These are also examples of partnerships that would be hard for UPS to pickup quickly.

 

[Cactus]

Amazon has one of the weirdest relationships with their investors I've ever seen. They continue to hemorrhage money and post losses every quarter yet the shareholders continue heaping buckets on money onto them. They're killing the brick and mortar retailers just through economy of scale while barely breaking even.

Yeah, that's beyond strange but it can't go on forever. The bottom will fall out one day.

 

[MrFedEx]

Yeah, that's beyond strange but it can't go on forever. The bottom will fall out one day.

Actually, just the opposite. Bezos is thinking long-term, and the investors who stay with him will be glad they did.

 

[UpstateNYUPSer(Ret)]

I am curious to see what effect, if any, a national and/or state Internet sales tax would have on the Amazon empire.

 

[bluehdmc]

I am curious to see what effect, if any, a national and/or state Internet sales tax would have on the Amazon empire.

Amazon is already starting to collect sales tax on some purchases. It's probably just if it's distributed and delivered in the same state, as they build more distribution centers they'll probably start collecting more.
What I'd be really worried about with Amazon is as they start to ramp up their food delivery service. They're already test marketing in LA and Seattle. What's to stop them from including any merchandise purchases with a food delivery on the same day, similar to UPS diverting a Surepost delivery.

 

[UpstateNYUPSer(Ret)]

Amazon is currently collecting sales tax in those states in which it has a brick and mortar presence. I am talking about extending the sales tax to all 50 states, regardless of whether they have a DC there or not. With our local communities and states struggling to find new sources of revenue it only makes sense to impose an Internet sales tax.

Amazon plans on having 1M of their most commonly ordered items available for delivery along with their online food orders.

 

[MrFedEx]

Amazon is already starting to collect sales tax on some purchases. It's probably just if it's distributed and delivered in the same state, as they build more distribution centers they'll probably start collecting more.
What I'd be really worried about with Amazon is as they start to ramp up their food delivery service. They're already test marketing in LA and Seattle. What's to stop them from including any merchandise purchases with a food delivery on the same day, similar to UPS diverting a Surepost delivery.

It's all about the money. If it costs less to use OnTrac or get heavily discounted rates through an established carrier, why start your own service?

 

[purplesky]

Didn't the large grocery store chains already try the grocery delivery service years ago? It failed big time because of no demand. Except for wealthy people who don't care about costs.

Amazon will need large volume sales to be profitable and it doesn't seem like enough Americans have the extra cash to throw at the service fees and shipping that Amazon will need to charge to deliver groceries and make a profit? Warehousing fresh food will be very expensive for Amazon.

Anotherwards if this delivery service didnt work for actual grocery chains why would Amazon be successful? The grocery chains can do it cheaper? They already have the product available right in your neighborhood?

Amazon is now lobbying hard for the internet sales tax because they do plan on having a warehouse in every city in America. Its Ironic they don't want other internet sellers to have the no sales tax advantage they currently enjoy.

I love Amazon and I am a prime member using the video service and I order alot of stuff. But Amazon will and can be duplicated and GOOGLE is a company that has the cash and has talked about doing a same day delivery service for stores like target.

Maybe in the near future Googles self driving cars will show up in your driveway and you will just unload your online delivery and then wave at the google camera and say thank you.

 

[UpstateNYUPSer(Ret)]

My daughter orders her groceries online and will normally have them delivered. They charge $6. They will also pull her order got store pickup at no charge.

 

[Cactus]

That $6 charge is pretty low to make any real money on. It should cost more than that just to have someone pick the order let alone the delivery time in wages and fuel costs.

 

[Route 66]

Anotherwards

Didju make that wardup? ....Yudid, dinchu?

 

[Harry Manback]

Maybe it was the "midget" thing that was too much. Sorry, post gods :/.

 

[overflowed]

Amazon is currently collecting sales tax in those states in which it has a brick and mortar presence. I am talking about extending the sales tax to all 50 states, regardless of whether they have a DC there or not. With our local communities and states struggling to find new sources of revenue it only makes sense to impose an Internet sales tax.

Amazon plans on having 1M of their most commonly ordered items available for delivery along with their online food orders.

Don't know about you? Most people shop Amazon to avoid the taxes. If this happened in a widespread way I think the whole thing goes away. Then we can stop delivering cases of diapers and paper towels.

 

[TUT]

Don't know about you? Most people shop Amazon to avoid the taxes. If this happened in a widespread way I think the whole thing goes away. Then we can stop delivering cases of diapers and paper towels.

They still have by far the fastest and cheapest shipping. I've been paying tax for a while now, hasn't slowed me down on my end.