Maui
Well-Known Member
Amazon to build air cargo hub outside Cincinnati
Story says they also plan to carry freight from other retailers.
Story says they also plan to carry freight from other retailers.
Amazon to open air hub Cincy
- Thread starter Maui
- Start date
Turdferguson
Just a turd
The article said that was their goal, not their plan. When you say plan you make it sound like it's a done deal. I would be shocked if other retailers would want their stuff moved by Amazon
Indecisi0n
Well-Known Member
Yawn
Looks like they're copying the XGround model. Just a cheaper version of it. God help the people who work there. At the same time when Bezos' network is set up and he can undercut UPS, X and the USPS some might go with him. Remember Bezos spends money as fast as Amazon makes it for him. So don't underestimate him.
Gone fishin
Well-Known Member
I would start charging Amazon full price as should ups. Why help them to get started
UpstateNYUPSer(Ret)
Well-Known Member
We already helped them get started.
BootsOnTarmac
Well-Known Member
Too bad Amazon never really addressed the problem with the quality of packaging they provided us, ( FedEx,UPS). I have seen so many shipments with Amazon tape falling off the box and contents spilling out as well as crushed boxes too big for the contents and lacking proper packing material. We (Fedex,UPS) gave them stupidly low shipping prices just to get their volume, ending up with almost no profit on the shipment. How many hours have been spent by FedEx employees to repair / fix the torn labels (placed on the box seam) to convey delivery? Unfortunately the consumer blames the delivery company for the delivered item, not the Seller / Shipper for the crappy packaging! Maybe Amazon can do better on their own.
Maui
Well-Known Member
Semantics. You need a plan to reach a goal. Many retailer companies sell their goods on Amazon currently. Like cloud services, they could seek to be a distribution channel for consumer goods. Not sure, but it would be in line with their current practices.
MemphisHubFedExer
Well-Known Member
I can't count the number of boxes we have to pull off belts and slides during the sort to patch up and make somewhat presentable. And we (FedEx, UPS) are forced against the wall to do it because the customer isn't going to blame amazon for a busted up package- they will blame the shipper. Stinks
Route 66
Slapped Upside-da-Head Member
You mean the customer will blame the carrier - Amazon is the shipper.
SmithBarney
Well-Known Member
Why not, we carry, USPS, DHL and others... believe me when given the choice shippers take the cheapest option
UpstateNYUPSer(Ret)
Well-Known Member
None of the carriers that you mentioned double as retailers.
I highly doubt that Amazon will deliver anything other than their own goods/services.
dezguy
Well-Known Member
Move stuff cheap enough and even their biggest competitors will jump at the chance to save money.
With the planes they've leased they don't have the carrying capacity of Express or UPS. So they really can't offer much in the way of service dedicated carriers can. But they do have plenty of their own freight and apparently the numbers add up to make it worth their while to transport and deliver it themselves.
Maui
Well-Known Member
You're right. 40 Boeing 767s would not even haul all their own freight. AMZL - Amazon logistics is reliably bad service right now. They are the only carrier that gets packages to my house late. They really need to improve dramatically to make it work. The irony is Amazon does not trust FedEx, UPS or USPS even though each does a better job.
I think we need to think a little bigger than hauling their competitors though. Consumer goods (staples and discretionary) is a huge market and Amazon already sells millions of SKUs. They could easily move third-party seller goods immediately. It is too soon to say how successful Amazon will be in this endeavor. It might be the fire phone or it might be Amazon Web Services. Time will tell.
UpstateNYUPSer(Ret)
Well-Known Member
Trust or the lack thereof has nothing to do with it.
Amazon wants to cut their shipping costs.
McFeely
Huge Member
The amazing thing is that I'd be willing to bet FedEx nor UPS make hardly any money on Amazon shipments. They probably pay just enough to cover fuel and labor, but we likely make next to nothing on each crappy Amazon box.
Amazon is about to learn how messy the logistics biz really is.
MrFedEx
Engorged Member
My theory is that Amazon will continue to give the low revenue freight to UPS and FedEx, and move the higher end products themselves, thereby providing better service and creating an enhanced revenue stream.
They are also building their own Ground-type infrastructure with low-ball owner-operators and OTR trucks. They wouldn't be doing it if it wasn't to their advantage, and they've been moving in slowly.
Looks like the pace just picked-up. The rumor has been that they would soon start buying new Boeings vs. leasing them. When that happens, you know they're in all the way.
