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Fixing the Peak Problem with Large Retailer Shippers
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<blockquote data-quote="&#039;Lord Brown&#039;s bidding&#039;" data-source="post: 1245210" data-attributes="member: 32753"><p>We give them that because they ship so much the revenue received is comparable to what is received from others who don't ship as much and are accordingly charged a higher price.</p><p></p><p>To me, Amazon serves as filler. The profit margin on their packages may be infinitesimal, but it does generate a profit, while keeping us drivers busy and efficient so that UPS can keep the system fluid and on-the-ready. Kinda like how FedEx loses money on the contract with the USPS for shipping the Post Office's air products, but the revenue received does help overall with what FedEx has got going on and they making some money on panes that would otherwise be parked and not making any money, so they were desperate to keep it.</p></blockquote><p></p>
[QUOTE="'Lord Brown's bidding', post: 1245210, member: 32753"] We give them that because they ship so much the revenue received is comparable to what is received from others who don't ship as much and are accordingly charged a higher price. To me, Amazon serves as filler. The profit margin on their packages may be infinitesimal, but it does generate a profit, while keeping us drivers busy and efficient so that UPS can keep the system fluid and on-the-ready. Kinda like how FedEx loses money on the contract with the USPS for shipping the Post Office's air products, but the revenue received does help overall with what FedEx has got going on and they making some money on panes that would otherwise be parked and not making any money, so they were desperate to keep it. [/QUOTE]
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Fixing the Peak Problem with Large Retailer Shippers
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