- Between May and July, Amazon added nine planes to its air fleet, “the most it has added over a three-month span since its inception,” according to a recent study.
- Amazon’s air fleet plays a critical role in the company’s ability to ensure one- and two-day delivery.
- The company has grown its air cargo fleet to about 70 planes, up from a total of 50 last February.
The Postal Regulatory Commission will host a technical conference to consider a United Parcel Service (UPS) petition to change how the Postal Service determines incremental costs and how it accounts for peak-season costs in its periodic reports.
WHAT: The Commission has scheduled a Video Technical Conference to assist in its review of the petition.
WHO: UPS and the Postal Service will present material addressing current costing methodologies and potential improvements.
WHEN: September 29 at 11:00 a.m.
It’s a common sight. If it is not delivering a package to our house, then one is being unloaded to a neighbor.
You could say our neighborhood tries its best to keep the economy stimulated.
As Big Brown made its daily appearance last Monday, I couldn’t help but think if there’s one job this Labor Day that is safe from vanishing in the future, it belongs to delivery drivers. So many people are now comfortable buying so many things on the Internet that those driver’s must have a job for life. Then I went to work and a story that moved on the Associated Press wire changed my mind. It reported the Federal Aviation Administration granted Amazon approval to deliver packages by drones. It joins UPS and a company owned by search giant Google that are allowed to do so.
The courier has already added thousands of workers to keep up with a jump in deliveries as consumers order more online because of coronavirus concerns. FedEx’s U.S. ground deliveries rose 20% in the quarter through May from a year earlier. The company will likely match or exceed that for its fiscal first quarter, which ended in August.
FedEx Corp. and UPS Inc. have a holiday message for their big customers: Prepare to pay up or prepare to pound sand.
An extraordinary year for parcel shipping will conclude with an equally extraordinary peak season. Carriers are bracing for unprecedented volumes as the normal holiday shop and ship hysteria meets the abnormal nine-month surge in e-commerce as consumers continue to avoid stores due to the coronavirus pandemic.
Just as unprecedented, however, will be the surcharges levied by the carriers to deliver all these domestic parcels. For the first time, peak surcharges to handle “standard-size” parcels, the familiar packages that carriers process through their automated conveyor systems, will be pegged to a range of shipper volumes. And it will be the big shippers, companies accustomed to leveraging their massive volumes to win rate discounts, that bear the brunt of the fees. Small to midsize customers that typically pay higher rates throughout the year will be exempt from the surcharges unless their volumes exceed thresholds that would be hard to reach even during the holidays.