Bezos does the expected for once.

[Oldfart]

Can't do anything without a personal attack can you? It is however quite clear that you're two best and only friends paranoia and insecurity will be with you until your very end.

Na. Just speaking the truth. Whining and complaining people are very seldom successful long term.

 

[dmac1]

No protected work areas or covenants no proprietary rights or goodwill. You will be required to offer healthcare benefits and I'd love to see what it will cost and the benefits will be nonexistent if purchased through Amazon same with workman's comp.

There may be a huge benefit in only having $10k at risk. And it looks like you must lease the vehicles, so letting them 'age' may not be an option. If you can lease with little or nothing down, and don't have to spend $100k or more to buy the business, this could be a much better option.

Imagine using your $150k purchase money and instead invest it in realestate. In most parts of the country, you could purchase 3-4 rental properties worth $200k each, appreciating at 6% average long term. That appreciation alone is worth $40k or so per year. Compare that to buying an ISP operation for $150k, with assets that are depreciating faster and bringing the value down.

This Amazon offering should absolutely devalue the fedex ISP businesses. A $300k income demands a lot of effort and would probably take more than 40 fedex routes to earn that much. With Amazon support, hiring should be easier, and it sounds like you may have more control over who you hire. This will take real business owners, not the converted delivery driver running 5-10 routes, as hard as that is.

 

[dmac1]

So, the heat is on for more competition to convince people to work for slave wages. Just where is this endless supply of fools gonna' come from?

They are going to hire the drivers you train. Fedex ground will be the minor league. You won't be able to compete. Plus, with this opportunity available with much less investment, the value of 'your' business is going to drop to just about the value of your physical assets.

 

[bacha29]

They are going to hire the drivers you train. Fedex ground will be the minor league. You won't be able to compete. Plus, with this opportunity available with much less investment, the value of 'your' business is going to drop to just about the value of your physical assets.

That's a real possibility especially with the ADP operator being required to offer a benefit plan which may leave the X contractor with no choice but to up the ante with a plan of his own . Where he'll find the money to pay for it ...well in the eyes of Fat Freddy that's a contractor problem because he's only going to give that X contractor just so much money. to operate with.

 

[Fred's Myth]

Haven't researched the Amazon offer, but my question is, who is sorting the freight, and where, and how is the freight getting to that point.
I know you Ground operators are rolling in the dough, but I doubt your garage is gonna be big enough.
I wouldn't expect Amazon to provide you facilities to conduct your exciting, moneymaking venture.

 

[dmac1]

Haven't researched the Amazon offer, but my question is, who is sorting the freight, and where, and how is the freight getting to that point.
I know you Ground operators are rolling in the dough, but I doubt your garage is gonna be big enough.
I wouldn't expect Amazon to provide you facilities to conduct your exciting, moneymaking venture.

It wouldn't take much. Amazon already has the warehouse space. Adding an outside covered area where they could brink your loads out to your truck is pretty cheap. And if you have 40 routes, and they deliver to your location for sorting, etc, you are going to need a 100 x 150 warehouse, or schedule drivers to come in an order you set up.

I worked years ago at a warehouse where drivers lined up and pulled in to get their load in the order they got in line. Must have been 150 trucks. Some people liked to get there early, others didn't mind a later start. They could handle maybe 25 trucks inside at a time, so the line was nearly constantly moving. They had an employee watch ahead to see what order the trucks were coming in so orders would be set up as you pulled in. It was a very efficient use of the space they had.

If Amazon palletizes and wraps the load, it would be pretty simple. When I was at HD, loading was a cluster**** with unloading incoming packages, sorting, moving, loading, and scanning all trying to be done simultaneously. I'd expect almost all Amazon shipments to be automatically sorted so each route could be moved in bulk to your trucks. Either those cheap plastic pallets, or cardboard 'sliders' could be utilized to make the process more organized.

Basically think that sorting, where, when, and who is a minor issue and easy to overcome. I would assume/hope that they have accounted for any of those costs in their profit estimates.

 

[59 Dano]

And I've demonstrated knowledge on things that you were obviously uninformed on. Didn't stop you from trying to discount it. You're an arrogant twit.

Why would I try to discount the knowledge that you have and I lack? I tend to yield the floor whenever you want to be the expert on bad decisions and being broke. That's your wheelhouse.

 

[59 Dano]

He certainly is. What the two of us had is common is that we came from nothing, had nothing and therefore were projected to amount to to nothing. Nevertheless we made a pretty good accounting of ourselves. I would love to see how a snotty little millennial like Dano

Gen X.

would perform in a similar environment. One completely removed from his sheltered little world.

Tell me about my sheltered little world. I'm listening.

Better yet just think how he would do if he had to grow up with the World War II generation.

Get up, go to work, do the job well, go home to the family. Lather, rinse, repeat. It wasn't any different then than it is now.

 

[59 Dano]

Might fred just sell Amazon the whole ground business?

No. FedEx wants a diverse group of transport companies. Ground, as profitable as it is, isn't that efficient of an operation. If they ever tighten up the management they'd be making so much money FedEx wouldn't be able to spend it fast enough.

If they get rid of anything, it's Office, and they aren't going to.

 

[vantexan]

Why would I try to discount the knowledge that you have and I lack? I tend to yield the floor whenever you want to be the expert on bad decisions and being broke. That's your wheelhouse.

Annuities anyone?

 

[Fred's Myth]

It wouldn't take much. Amazon already has the warehouse space. Adding an outside covered area where they could brink your loads out to your truck is pretty cheap. And if you have 40 routes, and they deliver to your location for sorting, etc, you are going to need a 100 x 150 warehouse, or schedule drivers to come in an order you set up.

I worked years ago at a warehouse where drivers lined up and pulled in to get their load in the order they got in line. Must have been 150 trucks. Some people liked to get there early, others didn't mind a later start. They could handle maybe 25 trucks inside at a time, so the line was nearly constantly moving. They had an employee watch ahead to see what order the trucks were coming in so orders would be set up as you pulled in. It was a very efficient use of the space they had.

If Amazon palletizes and wraps the load, it would be pretty simple. When I was at HD, loading was a cluster**** with unloading incoming packages, sorting, moving, loading, and scanning all trying to be done simultaneously. I'd expect almost all Amazon shipments to be automatically sorted so each route could be moved in bulk to your trucks. Either those cheap plastic pallets, or cardboard 'sliders' could be utilized to make the process more organized.

Basically think that sorting, where, when, and who is a minor issue and easy to overcome. I would assume/hope that they have accounted for any of those costs in their profit estimates.

Wishful thinking.

AT&T is one of, if not THE, largest shipper Express has. Its DC is in my station's service area. We were assigned 2 dock doors, and just enough space inside to set up 2 rows of cans and deck rollers to maneuver the cans. They wanted us off of their dock completely. The warehouse space was just too valuable to accommodate FedEx.

Amazon's warehouse space is just as, if not more, valuable, than AT&T's. Accommodating the delivery fleet for free doesn't add to the bottom line. Better budget for that 100x150 warehouse and, btw, expect to transport your freight from their dock to your new warehouse as well.

Amazon isn't in the business of making others wealthy. If it were profitable to do what they are offering the gullible, they would do it themselves. After all, they use robots in the warehouse. And claim that drones are imminent.

 

[MAKAVELI]

Wishful thinking.

AT&T is one of, if not THE, largest shipper Express has. Its DC is in my station's service area. We were assigned 2 dock doors, and just enough space inside to set up 2 rows of cans and deck rollers to maneuver the cans. They wanted us off of their dock completely. The warehouse space was just too valuable to accommodate FedEx.

Amazon's warehouse space is just as, if not more, valuable, than AT&T's. Accommodating the delivery fleet for free doesn't add to the bottom line. Better budget for that 100x150 warehouse and, btw, expect to transport your freight from their dock to your new warehouse as well.

Amazon isn't in the business of making others wealthy. If it were profitable to do what they are offering the gullible, they would do it themselves. After all, they use robots in the warehouse. And claim that drones are imminent.

I'm pretty sure Amazon has a lot more volume than at&t could ever fathom.

 

[Fred's Myth]

I'm pretty sure Amazon has a lot more volume than at&t could ever fathom.

Agreed. Reinforces the point. Warehouse space is utilized to make money for the parent company, not those who are in business to service them.

 

[bbsam]

L

No. FedEx wants a diverse group of transport companies. Ground, as profitable as it is, isn't that efficient of an operation. If they ever tighten up the management they'd be making so much money FedEx wouldn't be able to spend it fast enough.

If they get rid of anything, it's Office, and they aren't going to.

Ground may not be efficient overall but the transit times are often better than UPS Ground.

 

[bacha29]

Gen X.



Tell me about my sheltered little world. I'm listening.



Get up, go to work, do the job well, go home to the family. Lather, rinse, repeat. It wasn't any different then than it is now.

Just a few small differences. Growing up in the worst depression in history. Joining up with the CCC which was nothing more than survivalist training while building the majority of the parks trails and roads your family enjoys today (assuming that they're not too lazy to do so) not to mention sending nearly all your pay home to your starving family. Afterward you go fight the bloodiest conflict in world history all before age 25. And if you were lucky enough to live through it you could go home and start the normal life you speak of but in the midst of the Cold War while still subjected to recall to go back and fight another nasty little war called Korea. .Modest differences in terms of life experiences between your generation and theirs but still worth mentioning.
Indeed, VT's description of your character could not have been more accurate.

 

[bacha29]

Na. Just speaking the truth. Whining and complaining people are very seldom successful long term.

You ought to know.

 

[Oldfart]

You ought to know.

Yep. I watch people like you fall behind every day while others move ahead.

 

[bacha29]

Haven't researched the Amazon offer, but my question is, who is sorting the freight, and where, and how is the freight getting to that point.
I know you Ground operators are rolling in the dough, but I doubt your garage is gonna be big enough.
I wouldn't expect Amazon to provide you facilities to conduct your exciting, moneymaking venture.

From what has been made public so far, a ADP will drive to the Amazon Delivery Center to pick up his load. I don't know if it will be staged waiting for you to pick it up nor who will load it or will the van unit have to wait for them to pick the order and then bring it out to you. I kind of doubt that they would be willing to load up a trailer and drop at your own warehouse station for your guys to sort and reload. They might if you are at the 40 max mark but you know darn well that they won't do it for free. Likewise it would appear unlikely that they would assign your own personal 40 doors at the center. You would more likely have to be at a specific door or doors at an assigned time and if your not your spot would go to the next appointment.
I think that we can all agree that when the day comes when ADP comes to town X contractors will be severely challenged when it comes to manning their own routes if ADP guys can match the pay scale AND provide a benefit package and yes a X contractor's equity could wash out pretty quick when ADP gets up to speed.
Given that you X contractor guys are all basing everything on a big cash walk away the best opportunity to do so might be now because if you are operating in a prime area of the country you know Bezos will show up soon.

 

[bbsam]

From what has been made public so far, a ADP will drive to the Amazon Delivery Center to pick up his load. I don't know if it will be staged waiting for you to pick it up nor who will load it or will the van unit have to wait for them to pick the order and then bring it out to you. I kind of doubt that they would be willing to load up a trailer and drop at your own warehouse station for your guys to sort and reload. They might if you are at the 40 max mark but you know darn well that they won't do it for free. Likewise it would appear unlikely that they would assign your own personal 40 doors at the center. You would more likely have to be at a specific door or doors at an assigned time and if your not your spot would go to the next appointment.
I think that we can all agree that when the day comes when ADP comes to town X contractors will be severely challenged when it comes to manning their own routes if ADP guys can match the pay scale AND provide a benefit package and yes a X contractor's equity could wash out pretty quick when ADP gets up to speed.
Given that you X contractor guys are all basing everything on a big cash walk away the best opportunity to do so might be now because if you are operating in a prime area of the country you know Bezos will show up soon.

A lot of wild speculation to get right back to your constant position.

The simple fact is Amazon is pushing deeper into the delivery market. I doubt their model will be the same in 5 years. It will evolve or vanish. X and UPS will respond to market conditions either by cutting Amazon discounts or modifying their own models.

 

[bacha29]

A lot of wild speculation to get right back to your constant position.

The simple fact is Amazon is pushing deeper into the delivery market. I doubt their model will be the same in 5 years. It will evolve or vanish. X and UPS will respond to market conditions either by cutting Amazon discounts or modifying their own models.

In a market that is constantly evolving where someone else calls the shots and doesn't give a rat's expletive deleted about what happens to you nothing can be deemed speculative or outside the realm of possibility . Likewise with the deeper pockets investor class being X's preferred owner of X contracts they now know that ADP is on it's way . As a result that knowledge is not going to do anything to increase the value of your contract because you will very soon be in direct competition with ADP for the investor class money .
Yes, X will do doubt continue to modify it's model . The question will be how much more money will you be required to place at risk and will the potential rewards be worth it?