FeDEX Letters

[scratch]

I think that when people think of Fedex, they know they will get their overnight package a couple of hours before UPS will get a Next Day Air there. Thats why they will continue to own the overnight market. As long as we have later start times, we will always be second best. I have a Fedex delivery driver that lives on my area. When I deliver a NDA on his street, he is home on break after getting his early commits off. They appear to have less volume too in this bad economy.

 

[fxdwg]

Comming from a guy in sales who;s job depends on leads that advice dosnt surprise me..... to bad UPS is not being truthful about sales.

"Truthful about sales"? No such thing...Never been; never will..

 

[browniehound]

Being with Fedex Groung I think I should be insulted by this statement. I'm not. DHL was second rate. We are nothing like DHL. Our customers don't percieve us that way either. Pay attention though. Changes are taking place that will make you think again. Don't assume you're getting all your customers back unless you lose money getting them back (L.L. Bean).

I didn't mean that shot to be personal. I talk with the local FedEx ground guy and he is always crying with 80 stops and a half empty truck. He covers the area of 5 UPS drivers he tells me. If that route is making money, then surely the 5 UPS routes with 2X's as many stops are making money.

 

[UnconTROLLed]

First, I will say I am a firm believer in submitting sales leads. Good for the company = good for the employees, union, etc.

BD here has told me they can match or beat FedEx rates. Since I've been back in Package, I have submitted a substantial number of sales leads. I have exactly ONE s+p lead. I am extremely disillusioned with the sales lead program. So what's happening? If we can beat FedEx rates, why aren't shippers flocking to us?

It's just my opinion, but I would imagine the people in BD assert themselves to the largest selling sales leads first then the smaller ones later. The largest ones are probably the hardest and longest to sell. I don't know much about it but it would make sense that the leads of 5 pkgs a week are on the back burner and probably never even optioned.

 

[UpstateNYUPSer(Ret)]

It's just my opinion, but I would imagine the people in BD assert themselves to the largest selling sales leads first then the smaller ones later. The largest ones are probably the hardest and longest to sell. I don't know much about it but it would make sense that the leads of 5 pkgs a week are on the back burner and probably never even optioned.

We have two BD people in my center. One is senior to the other and handles the corporate accounts while the other handles the smaller sales leads. Both are responsive when we submit sales leads. I suggested a possible location for a new drop box Thursday morning and had a customer ask when they were getting the box when I delivered later that morning.

It is actually fairly simple for a new customer to open their own account and select the level of service they want (Smart pickup, daily pickup, or no pickup) without having a BD person walk them through it or do it for them.

 

[bbsam]

I didn't mean that shot to be personal. I talk with the local FedEx ground guy and he is always crying with 80 stops and a half empty truck. He covers the area of 5 UPS drivers he tells me. If that route is making money, then surely the 5 UPS routes with 2X's as many stops are making money.

No offense taken.

 

[UnconTROLLed]

It is actually fairly simple for a new customer to open their own account and select the level of service they want (Smart pickup, daily pickup, or no pickup) without having a BD person walk them through it or do it for them.

Yeah , I understand all of that, however I thought we talking about switching from one carrier to another type leads (stealing business"").

 

[UpstateNYUPSer(Ret)]

Yeah , I understand all of that, however I thought we talking about switching from one carrier to another type leads (stealing business"").

We were but then in post #24 you discussed sales leads in general, not specifically conversion leads.

 

[MrFedEx]

Great point Over9.5, and I have 2 guesses. I may be totaly off base here, but perhaps 1 reason is the FedEx brand name? People want overnight and they think FedEx. Another reason might be that we at UPS kick the crap out of their packages. Damages are an issue at UPS but the majority could be avoided if the customers packed them correctly.

Still, with all that being said, FedEx ground is a 2nd class operation and I think our customers percieve this...

Actually, FedEx Ground is a "steerage class" operation, and UPS could make considerable gains through an ad campaign that pointed-out the differences between a professional organization (UPS) and it's polar opposite (FedEx Ground). As far as the NDA product goes, UPS can always gain more business through providing customers with later drop box and pick-up times.

 

[bbsam]

Actually, FedEx Ground is a "steerage class" operation, and UPS could make considerable gains through an ad campaign that pointed-out the differences between a professional organization (UPS) and it's polar opposite (FedEx Ground). As far as the NDA product goes, UPS can always gain more business through providing customers with later drop box and pick-up times.

Maybe UPS needs you at the helm to put that pesky Fedex company in it's place.

 

[MrFedEx]

Maybe UPS needs you at the helm to put that pesky Fedex company in it's place.

UPS has been very passive with both FedEx Express and FedEx Ground. Actually, my suggestion to do a direct comparison between the Brown operation and Ground would probably be pretty successful. Really, to even suggest that Ground matches-up with UPS is a real stretch. Obviously, you're a bit biased. Every day, I see the Ground guys driving around in their crummy trucks, looking scruffy, and not very professional. When I go to the ramp, I see the Ground tractor-trailer drivers walking around with their untucked dirty shirts and flip-flops, cigarette dangling from their lips and generally looking bad.

Compare that with the average UPS driver. Also compare their level of service and professionalism. I'll admit that Ground has made great strides, and maybe your operation is first-class. You seem to be very intelligent and professional, and I'm guessing that's reflected in your workgroup. What I see out there every day isn't first-class, and that seems to be the norm.

When I stop having half a dozen customers walk-up to me every week with Ground issues, I'll know they've arrived.

 

[browned out]

After listening to the earning report yesterday It seems that are letter volume is way down, so it would seem logical that a good place to look for more volume would be fedex overnight letters, yet every time I turn in a sales lead for customers using fedex letters I get the same reasons for the sales not being sold... we cant match the price or wont give the customer a better rate, when I go back and ask the the customer how much of a diffence we are talking about it mostly under a dollar, sometimes 10 cents.
This comapny is not serious about getting more and keeping market share, it seems we only sell accounts when ups gets what they want, never giving a little to maybe get more in the end, I am done turning in sales leads, why bother, they either say we cant compete with the price or send it over to mail solutions, its sad, I fell like rome is falling before me.

Now that UPS has invested 100's of millions of dollars to roll out telematics; maybe next year they can use some of that money to cut prices and get some of the fed ex letter business. They will more likely buy pedometers and require every driver and hourly to wear them and make sure they are moving at the required sense of purpose pace.

 

[bbsam]

I agree. WE probably are biased. Note, however, that my bias is not to what Ground is today, but rather to where we are going and the strategy to get there. Long gone are the days of simply "buying" business. Fedex is continuing to invest alot of money down this road and they don't do so lightly.

 

[purplesky]

If ground were actually doing real damage to UPS than ATLANTA would fire the cannons MrFedEx. If FDX ground cant sink UPS in a major double dip recession where supposedly the bottom line rules than ground really has problems. After this next contract is settled you might see some offense from ATLANTA. FDX ground will always be a 2nd rate operation if they continue to treat their non-owner(non-contractor) drivers like crap. UPS is in a much better position for a price war than FDX because wages at FDX cannot realistically get much lower. Obviously UPS drivers don't want to see a pay-cut but if needed there is a huge amount of savings that could be passed to customers. A $5.00 hr pay-cut for example would suck but not really effect my lifestyle much like it would a FDX ground driver or Express for that matter.

The last thing FDX wants is a price war from UPS. UPS would crush FDX like a bug.

 

[bbsam]

If ground were actually doing real damage to UPS than ATLANTA would fire the cannons MrFedEx. If FDX ground cant sink UPS in a major double dip recession where supposedly the bottom line rules than ground really has problems. After this next contract is settled you might see some offense from ATLANTA. FDX ground will always be a 2nd rate operation if they continue to treat their non-owner(non-contractor) drivers like crap. UPS is in a much better position for a price war than FDX because wages at FDX cannot realistically get much lower. Obviously UPS drivers don't want to see a pay-cut but if needed there is a huge amount of savings that could be passed to customers. A $5.00 hr pay-cut for example would suck but not really effect my lifestyle much like it would a FDX ground driver or Express for that matter.

The last thing FDX wants is a price war from UPS. UPS would crush FDX like a bug.

Now that's certainly a spin I've never seen before.

 

[UPSBluRdg03]

Friday I had 16 air stops and 14 of them were letters. I have submitted atleast 200 sales leads and I think maybe 3-5 have been sold. No big deal as we have our shippers and FDX has theirs. Im not looking for rewards but to help generate more volume so that UPS is able to create more jobs and remain profitable so I will continue to submit leads. I have only been driving for 3 years and have many years ahead of me until I will no longer need UPS. So it is important to me that there are pacakges in the trucks everyday so that I have a job.

UPS has said they will not pursue or compete for an account if it is not going to be profitable. However to me I see it that all shippers, ship to buisnesses and houses we are already going to. I know all my buisness stops get visited by Fed Ex some days as well. I cant see how extra volume going to the same places we are already going couldnt be profitable by one red cent atleast.

To some people price is everything and they dont mind some ratty looking individual in a purple and green clown suit delivering their package. I respect Express and what they do, but the people around here representing ground really lack professionalism and the skills I would want delivering my packages.

 

[Foamer Pyle]

Dell hasnt come back to UPS.

 

[overallowed]

Dell hasnt come back to UPS.

I deliver Dell every day. Before they left, every Dell package was signature required. Now they are all shipper release. Lower level of service, but they are back.

 

[bbsam]

I deliver Dell every day. Before they left, every Dell package was signature required. Now they are all shipper release. Lower level of service, but they are back.

Well they aren't completely back b/c we deliver them also.

 

[browned out]

Dell hasnt come back to UPS.

Good; UPS was losing on that account anyhow. NI1 2 and 3's cost alot of dough. not to mention damages and driver follow ups