Walmart telling it's customers to ship fed ex

[bbsam]

Reminds me of the old saw about buying hay for a dollar a bale and selling the bale's for 99cents.
One makes profit by, selling them in volume.
CODB, for both companies, are neck and neck.

Wall Street companies rise and fall on those one cent profits.

 

[MrFedEx]

Wall Street companies rise and fall on those one cent profits.

Both companies have "bought" accounts for years by providing such heavy discounts that there was no profit generated at all....just impressive package counts. A major account once told me that they paid less than $4.00 to ship an Overnight Letter when the standard rate was $15.00. Their discounts on other FedEx products were similar, and I suspect that we may have even lost money in the hope of eventually taking away their long-time allegiance to UPS.

After a few months, the UPS 28-footer was right back on the dock as the customer played the 2 companies off against each other.

 

[bbsam]

Both companies have "bought" accounts for years by providing such heavy discounts that there was no profit generated at all....just impressive package counts. A major account once told me that they paid less than $4.00 to ship an Overnight Letter when the standard rate was $15.00. Their discounts on other FedEx products were similar, and I suspect that we may have even lost money in the hope of eventually taking away their long-time allegiance to UPS.

After a few months, the UPS 28-footer was right back on the dock as the customer played the 2 companies off against each other.

capitalism is beautiful

 

[UpstateNYUPSer(Ret)]

capitalism is beautiful

...unless the employees are unfairly compensated at the expense of the employer.

 

[Shadow999]

We just lost an account that shipped 120 boxes plus of t-shirts daily. WalMart forced them to change shippers. This is a small business so they did not have a choice. WalMart is just too big. There are more to follow.

 

[BLACKBOX]

We just lost an account that shipped 120 boxes plus of t-shirts daily. WalMart forced them to change shippers. This is a small business so they did not have a choice. WalMart is just too big. There are more to follow.

Again, if "Wally's" is paying the trans charges it is not how "big or small" any supplier is. Why would anyone jeopardize a upsetting someone who just invested in their company's product?

 

[MrFedEx]

...unless the employees are unfairly compensated at the expense of the employer.

Hey, someone who actually understands the "down" side of capitalism. And bbsam, how would you feel if FedEx Ground got a special exemption to hire illegal aliens at $3.50 per hour in order to replace IC's with "employees". That's capitalism too, isn't it? Would that be beautiful? Perhaps for Mr Smith, but not you. Great capitalist that you are, I'm sure Fred would have your complete support.

Also, is it possible that WalMart is deliberately switching accounts over to FedEx because they are so vehemently anti-union and want to show support for their fellow union-busters? I would say it's a definite posssibility.

 

[bbsam]

...unless the employees are unfairly compensated at the expense of the employer.

I make sure it is at the benefit of the employer. What solvent employer doesn't?

 

[hdtvtechno]

yup i see alot of wallmart packages on my belt at FedEx

 

[mdlz19]

Have any of you guys been hearing more of this from your customers???

 

[BLACKBOX]

Have any of you guys been hearing more of this from your customers???

More of what? Walmart shippers using FDX (which is already noted) or shipper's preference to use FDX instead of UPS?

 

[overallowed]

I'm delivering over 100 pkgs a say at the walmart I deliver to. Still picking up, too. They say the Fedex shipping book is too complicated. I don't know what is so hard about it. I think they don't like the fedex ground guy very well. He only shaves once every week or two and talks like Mel Tillis.
I still won't shop there, either. And I live across the street from it.

 

[hdkappler]

walmart was a big account for ups.so they aren't union.they are a customer.nice to the drivers.the union says boycott walmart.so now they ship fedx.in this econmy we need all the business we can get.(i myself don't think fedx should use brown cafe till they get a union.) ups isn't making any money off fedx.walmart they were.yes i belive in unions.but you should like money better.don't bite the hand that feeds you.

 

[MrFedEx]

walmart was a big account for ups.so they aren't union.they are a customer.nice to the drivers.the union says boycott walmart.so now they ship fedx.in this econmy we need all the business we can get.(i myself don't think fedx should use brown cafe till they get a union.) ups isn't making any money off fedx.walmart they were.yes i belive in unions.but you should like money better.don't bite the hand that feeds you.

Have you ever considered the fact that WalMart and FedEx are corporate clones in terms of their anti-labor policies? This might float in the right-to-work low wage South, but the rest of the country isn't like that. I have little doubt that WalMart will continue to support non-union carriers like FedEx and ignore UPS and other unionized companies.

While it's certainly WalMart's right to conduct business any way they'd like to within the bounds of the law, refusing to use UPS smacks of politics and support for a fellow company that treats it's wokers like crap.

 

[bbsam]

Have you ever considered the fact that WalMart and FedEx are corporate clones in terms of their anti-labor policies? This might float in the right-to-work low wage South, but the rest of the country isn't like that. I have little doubt that WalMart will continue to support non-union carriers like FedEx and ignore UPS and other unionized companies.

While it's certainly WalMart's right to conduct business any way they'd like to within the bounds of the law, refusing to use UPS smacks of politics and support for a fellow company that treats it's wokers like crap.

I'm not sure about the specifics, but Walmart's decision may have had more to do with UPS than Fedex. Apparently when Fedex won the majority of the business, UPS thew tantrum of sorts and tried to play hard ball. Walmart's reaction was to take the rest of the business from UPS. Any UPS folks know corporate types who can't keep their mouths shut? Yeah, we have them too. This time just cost UPS some major business.