Anyone hear of "Coast to Coast 3rd Day" service...

Discussion in 'FedEx Discussions' started by Ricochet1a, Sep 14, 2012.

  1. Ricochet1a

    Ricochet1a New Member

    I've had an inquiry into whether the thread title is something that Express is considering. I haven't heard a thing regarding this after almost 2 weeks of casual inquiries on my part.

    Supposedly, this service will be a substitute option offered to shippers located on the east and west coasts, to keep them in Express after the plug is pulled on Express Saver.

    UPS has an analogous service called "3 Day Select" which offers a delivery guarantee within 3 days.

    What I've picked up, is Express is going to either: 1) have shippers on the coasts use E2 service if they need timely delivery once Express Saver is dumped, 2) offer discounts to E2 service to the coastal shippers who are currently using Express Saver service - to get them to upgrade to 2 day service, and pay close to what they are currently paying for 3 days service, 3) do nothing, let the shippers decide whether to use Ground and have cross country shipments take 4 to 5 days to be delivered, or choose to use Express 2nd day service and pay standard rates for that.

    To be clear, I'm throwing this out to see if anyone has heard of anything regarding this. I HAVEN'T... I'm trying to clear up whether this was an informed question from someone, or merely a case of confusion between service offerings between UPS and Express.

    The question was put to me about 2 weeks ago, and from my casual inquires, it appears that the individual posing the question may have confused UPS 3 Day Select service, for something that Express may potentially offer once Express Saver is dumped. It was a good question, since it does address the issue of what will happen to the approximately 20% of current Express Saver volume which CANNOT be shifted to Ground and delivered within 3 days - namely the volume traveling between the coasts.
     
  2. SmithBarney

    SmithBarney Well-Known Member

    The only thing I've heard are our managers hyping again and again how fast ground has become.
    citing various city to city times.. of 3 days or less in most cases. of course those left on the coasts
    are stuck at 4-5days currently via ground. I wouldn't be surprised if they continued to offer it.

    If you use the powership or internet shipping, I bet you'll be prompted(just like CSA's ask) "how soon do you want it there"
    if you say 3 days, it will automatically compute whether you need 3day express or 3 day ground, depending on locale.
     
  3. Ricochet1a

    Ricochet1a New Member

    I've received some further info on this.

    This product is going to be Express product, that is going to be offered solely to select shippers on the coasts, in an attempt to strip away UPS volume.

    Now what is really interesting, is that in the current world (Express possessing 3rd day service), this "alternative" service is redundant. So what this tells me, is that this service has been implemented in ANTICIPATION of Express dumping its Express Saver service, but wanting to maintain it for a very select group of shippers. Another thing I was told, was that this service WON'T be publically advertised, it will be offered from FedEx sales DIRECTLY to targeted shippers, in order to either gain or keep their volume within Express.

    So....

    If there are any FedEx sales types reading this forum, chime in on this newest, unadvertised, service offering. To me (assuming the source is correct), it is a smoking gun indicating the imminent demise of Express Saver. If my source on Express Savers' end date was correct (12/31/12), then the "dots line up" yet again.

    If anyone personally knows someone in FedEx Sales they can ask about this, please do so. Getting independent confirmaton on this would be interesting.
     
  4. STFXG

    STFXG Well-Known Member

    Anyone hear of "Coast to Coast 3rd Day" service...

    Makes sense to offer it to select shippers. I can't see Verizon wanting to lose their return shipping option...
     
  5. Out of the Dark

    Out of the Dark New Member

    Okay, first of all a coast to coast three day service is redundant, That is xpress saver in essence.

    My Senior Manager hates us so much he gloats when he spouts off.

    He says, I am going to make 95 percent of you fulltimers midshift routes. I can hire all kinds of crazy part time guys to do the FO and if I need them to stay and do P1 they are there. You guys that have been here 25 plus years, we will make you midshift, and by midshift I mean starting at 10 to 12 noon. And fedex changed the definition of DAY ROUTE. As long as your shift starts before 4 pm, well you are days. So you have no recourse to bump someone. I can do whatever I want. This is the way FEDEX is Going and if you don't like it. Burger King Is hiring.

    yep..............he said that
     
  6. DorkHead

    DorkHead Active Member

    I didn`t know that Fred Smith was a manager in operations!:happy-very:
     
  7. Goldilocks

    Goldilocks Well-Known Member

    Sounds like someone I know that moved to the Westcoast as a Senior. Hmmmm. This is the problem I have with Fedex, they need to send their managers and Seniors to the school of hard knocks. They need to learn how to talk to employees with respect. You are only as good as the people below you, they can make or break you....Remember that.....
     
  8. MrFedEx

    MrFedEx Engorged Member

    I don't think there's a whole lot holding them back now. The cat is out of bag as to what's going to happen, so they don't even have to pretend to be nice. Sounds like your SM needs to have an attitude adjustment.
     
  9. DontThrowPackages

    DontThrowPackages Well-Known Member

    Wow 4pm? The day is almost over. At least if you need to be off on a work day you can just clock 5 minutes before your scheduled end time.
     
  10. Ricochet1a

    Ricochet1a New Member

    I think you missed the point...

    With the currently existing Express Saver, "Coast to Coast 3rd Day" IS REDUNDANT - I said that in the lead post.

    However.... presuming the source on this is accurate (which I do believe, since it makes so much sense), it by necessity (logic exercise), means that existing Express Saver is going to be ended (something which I already know), if Express has already implemented this "service" to select shippers (which I was told has already occurred by FedEx Sales).

    There was the issue with the termination of Express Saver, of what to do with that 20% of Express Saver volume which couldn't be shifted over to Ground and have delivered within 3 business days (the coast to coast stuff). I commented on this before, what was FedEx going to do with this volume?

    By my calculations, the number of pieces that were going to be put into "limbo" with the ending of Express Saver (those which couldn't be delivered within 3 days by Ground), came up to between 50,000 and 80,000 pieces a day. That's not something FedEx would ignore.

    Without going into the financials of "incremental volume", FedEx couldn't just forget about this volume, there was too much end margin there to ignore, since the fixed cost of moving it is being covered by overnight and 2nd day volume. It is the proverbial "icing on the cake" when it comes to margin.

    This brings up a whole list of issues which will arise when Express Saver is "officially" terminated. Volume which originates on the west coast (to be delivered to the east coast), can be flown into MEMH, then TRUCKED out to most of the southeast, and if Memphis really wanted to allocate assets into dual team rigs (as they do during peak curently), as far north as Pennsylvania (keeping it off of aircraft for the outbound leg). Express would only have to allocate aircraft to get volume up into New England and NY, in order to make 3 day committment in this case.

    Going the other way, Express would still have to fly this volume, since it couldn't make it out of Memphis to the west coast within 3 days - Memphis is located just too far east for this to occur.

    Many may be thinking, "So what...". That is why I wanted to see if there was anyone who could get independent confirmatiion. Getting independent confirmation will be DAMN DIFFICULT, since this service ISN'T going to be publically advertised - Express is supposedly only going to offer it to select (presumably high volume) shippers located near the coasts, who want 3rd day service (what they are currently getting with XS), to continue AFTER XS is dumped.

    Its just another instance of "connecting the dots" in the transformation of Express.
     
  11. Rhoderunner

    Rhoderunner Active Member

    ....or just up the already generous discounts on the 2 day product to the select few and be done with it !!! SOLVED
     
  12. Kevinmevin

    Kevinmevin Member

    Re: Anyone hear of "Coast to Coast 3rd Day" service...

    Verizon moved that volume over to FDX SmartPost, at least part of it. I see them all the time going though the ground hub I'm at.
     
  13. DontThrowPackages

    DontThrowPackages Well-Known Member

    Re: Anyone hear of "Coast to Coast 3rd Day" service...

    Question, is SmartPost a creation of FXG? It just started showing up and no one has given us any info about it.
     
  14. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    Re: Anyone hear of "Coast to Coast 3rd Day" service...

    No--SmartPost is not a Ground product. It is a product created by FedEx in response to shipper requests for a lower cost shipping option. Packages by-pass the FedEx network and are delivered directly to Post Office DDU's. Our service is called SurePost---the chief difference is we move the packages through our network.
     
  15. STFXG

    STFXG Well-Known Member

    Anyone hear of "Coast to Coast 3rd Day" service...

    Actually packages are ran through the ground line haul network. Some contractors haul it to rural post offices still. Post office just does final delivery. We also pick up smart post packages...
     
  16. CJinx

    CJinx Well-Known Member

    Smartpost is such a pain in the ass. Boxes fall out of those canvas bags all the time and the labels absolutely refuse to stay attached to the bags. They need to make a label that can hang from the neck of the bag instead of trying to stick them to the bag itself, and stop trying to be cheap by filling up a bag to the point where it won't close properly- split the freight into two bags.

    Finding loose USPS freight on our trailers from the hub when we don't have a corresponding Smartpost bag or boxes that belong in another state really drives me nuts.
     
  17. Those velcro ties suck, it's too bad USPS employees aren't allowed to use scissors so they could zip-tie those canvas bags shut!
     
  18. worldwide

    worldwide Active Member

    What's interesting is that Fedex Express just announced their 2013 rate change and published their 2013 rate guide. Express Saver is still listed as a Fedex Express product. Do you think Fedex would announce a rate change on the product, publish updated rates and print rate and service guides listing the service if they are going to pull the plug on the service in a few months?
     
  19. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    I would bet that there is a disclaimer at the bottom of the page saying the prices, service offerings and carrier to be used above are subject to change.