Amazon "Express"

Discussion in 'FedEx Discussions' started by MrFedEx, May 21, 2016.

  1. MrFedEx

    MrFedEx Engorged Member

    This goes well beyond "are we losing Amazon". Rather, is Amazon going to enter the package transportation business full-scale or just dip their toe in the water? Here's what we already know:
    1. Amazon has 20 767 freighters on lease and just ordered 20 more.

    2. Atlas Air has been contracted to operate the aircraft and probably ground support. A well-known, non-union operator that also has it own fleet of freighters.

    3. Amazon is actively looking to purchase a hub airport, probably first in Europe. Several weeks ago they were in negotiations to buy the Frankfurt facility. I have not heard the end result.

    4. Jeff Bezos has been openly displeased with both FedEx and UPS.

    When you lease 40 planes, that isn't an idle threat, although it is a small fleet in comparison to both FedEx and UPS. What if Bezos leases 200 planes, and decides to create several hubs? I think he's smart enough to stay out of the full-scale ops that we run, so perhaps much of the volume will go USPS, which is located everywhere already and charges less than either FedEx or UPS. Plus, the Amazon distribution center network continues to expand, negating the need for interstate transport for many orders.

    While it's true that Amazon receives a huge discount, Fred is making big money on volume. The net profit on each package is small compared to someone paying full ticket, but there are many more packages.

    Bezos is very smart, and he will save the garbage for us and take the premium services (and revenue) for himself. The new generation wants their stuff in 5 minutes, and is willing to pay whatever it takes to have that new device or toy today instead of tomorrow. Not very smart, but it's their money, and Bezos "gets it".

    I see big changes down the road.
  2. Cactus

    Cactus Just telling it like it is

    Maybe he'll hire Dano as senior shill.
  3. Purplepackage

    Purplepackage Well-Known Member

    Yeah there will be some big changes probably 5 years from now, all will take is the economy to tank again and Amazon will find that it's losing a lot more than its making when people can't afford to spend all their money on amazon
  4. Gumby

    Gumby *

    I wonder how many ground drivers will jump ship?
    Deliver With Amazon
  5. Purplepackage

    Purplepackage Well-Known Member

    Either way they will make 300 dollars a week with no health Insurance or vacation
  6. Gumby

    Gumby *

    It's sinful what they make. I had a customer say to me the other hustle compared to the FedEx ground driver. I said if I got paid as little as he did,i would even work slower than him.
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  7. realbrown1

    realbrown1 Annoy a liberal today. Hit them with facts.

    And give up that $625 a week with no benefits for 50 plus hours a week?

    For a job that you have to provide your own delivery vehicle, safety training and so on.

    And I bet their pay sucks too.
  8. Gumby

    Gumby *

    I had heard around $19 an hour. Not 100% sure if that's true. I just seen an Amazon delivery van on my route the other day.
  9. realbrown1

    realbrown1 Annoy a liberal today. Hit them with facts.

    $19 bucks an hour and supply your own delivery vehicle?????

    That's like $14 and hour after gas, insurance and maintainance.

    Hell to the no.
  10. Gumby

    Gumby *

    I agree. Is it more than a ground driver makes?
  11. realbrown1

    realbrown1 Annoy a liberal today. Hit them with facts.

    Guy on my route make $625 a week, no benefits.

    That sucks in SoCal.
  12. Gumby

    Gumby *

    $125 a day lump sum Two weeks vacation but he usually works them for the extra money
  13. RonBurgandy??????????

    RonBurgandy?????????? God is Great, beer is good , People are crazy.

    I could make more $ mowing old lady's lawns on the weekend.....
  14. dmac1

    dmac1 Active Member

    I always price things on Amazon- every grocery items- before deciding to buy. Their prices are lower on what I buy about 1/2 the time. Then with free shipping, I don't have to spend any gas or the time to go buy it. And it seems like the more demand for an item, the lower the price, so as the economy tanks, Amazon may actually pick up customers with lower prices.
  15. Keenj

    Keenj Active Member

    It'll be interesting to see how this works out for them. I'm not that worried since I work in a small town that isn't anywhere close to a major metropolitan area and I don't see Amazon putting forth the money and effort to put us out of work anytime soon.

    Hell, I'm banking on this blowing up in their faces anyways especially if they don't pay them very well or provide benefits. A lot of stolen or "lost" merchandise would definitely not look good on Amazon.
  16. dmac1

    dmac1 Active Member

    They are building distribution centers all over. But unless you are in an urban area with suburbs stretching for miles and miles, they won't waste their money chasing every delivery. But when they can get 6000 stops a day within a 50 mile radius, it is stupid for Amazon to let fedex make the profit.
  17. Gumby

    Gumby *

    Wait until Xmas. Add in a little bad weather and let's see what happens
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  18. Keenj

    Keenj Active Member

    We average 1500-2000 stops a day at our center. We are mostly rural.
  19. Star B

    Star B White Lightening

    They'll double the pay and advertise heavily. Get all those people on the fence off of it and in the line.

    "Great way to make christmas money!"
  20. Gumby

    Gumby *

    This job isn't as easy as it looks.