MAKAVELI
Well-Known Member
Just business. Except Saturday I believe it's 1630 as is 2Day Saturday.
Big announcement coming in Jan
- Thread starter snowcat66
- Start date
Maui
Well-Known Member
At least to start 2D SDR is excluded.
The business/resi breakdown isn't here, but her is the number of packages for 2D and XS.
So, around 41,000 per day for business and resi.
MAKAVELI
Well-Known Member
I think your number is way off.
I can't wait to see how this 7 day a week Smart Post and now several classes of Express packages cluster ( can't use the friend word that usually goes with it) is going to work on a nationwide basis with consistent and reliable results.
So fill me in on this. So in other words the cure for Ground's peak season debacle due entirely to the fact that they couldn't get anybody to go out there and bust their posteriors ( can't use the A word here) for nothing and nothing to look forward to is to restructure operations in a way that will require even more of a commodity they couldn't get enough of in the first place?
I don't know about you guys and obviously you have access to sources of information I don't have but what it looks to me like is that given the very limited measures the company could take to plug up the earnings drain and ward of a takeover bid is to throw up a " Hail Mary" and hope that it might create something albeit limited in the way of positive results .
Furthermore when you think about it contractors are now tasked with the thankless job of literally saving that company and they're not even employees of the company, are working under a contract that isn't binding upon the company they're charged with saving and if they can't find people controllable enough, work productively enough, cheap enough and in quantities sufficient enough then it's "hasta lavista baby" .
Perhaps this might help to explain why yesterday the broker board I follow posted 67 new contracts for sale .
So fill me in on this. So in other words the cure for Ground's peak season debacle due entirely to the fact that they couldn't get anybody to go out there and bust their posteriors ( can't use the A word here) for nothing and nothing to look forward to is to restructure operations in a way that will require even more of a commodity they couldn't get enough of in the first place?
I don't know about you guys and obviously you have access to sources of information I don't have but what it looks to me like is that given the very limited measures the company could take to plug up the earnings drain and ward of a takeover bid is to throw up a " Hail Mary" and hope that it might create something albeit limited in the way of positive results .
Furthermore when you think about it contractors are now tasked with the thankless job of literally saving that company and they're not even employees of the company, are working under a contract that isn't binding upon the company they're charged with saving and if they can't find people controllable enough, work productively enough, cheap enough and in quantities sufficient enough then it's "hasta lavista baby" .
Perhaps this might help to explain why yesterday the broker board I follow posted 67 new contracts for sale .
MAKAVELI
Well-Known Member
@Maui you totally missed the mark on this one.
FedEx Express to start using Ground for certain home deliveries
FedEx Ground will deliver the Express packages if they are home deliveries Ground can meet the original delivery date of, the company said. The program will start in Greensboro, North Carolina, and other markets will be added through the rest of 2020.
The logistics giant said the move will lower costs and increase efficiencies for the growing number of residential deliveries it sees in its networks. The packages will have a special code on their labels and be sorted via FedEx Express before being transferred to FedEx Ground stations for delivery.
Fitzgerald said how much volume will move to Ground because of the program can’t be quantified yet, but deferred shipments are currently a large piece of FedEx Express’ business. They accounted for 31% of Express’ domestic package revenue in the 2019 fiscal year, with the remaining revenue coming from overnight shipments.
Maui
Well-Known Member
You’re 100% correct. It is 2.78 million daily and IE is another 300k. Right in the image. Not sure what the business/resi split is and that includes 2 Day AM, which is pretty small, but will be excluded.
Amazon was between 200-240k a day for Express.
Serf
Well-Known Member
I was wondering what would happen to all PM routes. But I tend to agree. More AM/Day route specific.
Because they’d much rather pay you to do that than have a Ground contractor send a much cheaper option over to Express.
Maui
Well-Known Member
The special code is most likely just a new URSA. Nothing east-shattering.
The communication is that it will be bulk loaded and moved by FXE. Could not be easier to drop a FXG bulk trailer instead.
Serf
Well-Known Member
You’re not wrong. Maybe both will shuttle. Who knows.
2:ES delivers. Would the void be filled in day routes by adding more pickups from the night side? And have night routes start hour later? Hmmmmm
It will be fine
Well-Known Member
Ground says they are treating Express like another shipper. That would mean Ground does the pickup and brings the volume to our hub. It wouldn’t make much sense to have Express do that part when the whole point of this move is Ground trucking is cheaper than Express.
Indecisi0n
Well-Known Member
Did it come ?
KOG72
I’m full of it
Almost need a few more seconds
Indecisi0n
Well-Known Member
Come on already. You been drinking again ?
Maui
Well-Known Member
Not yet. FXE will pup the packages as normal and process into ULD during the station PM. That can will move to the origin ramp for sorting.
At the origin ramp it will be bulk loaded into Ground trailers then move through FXG through delivery.
FXE has 1 hour pup windows and FedEx Corp wants to keep that. Additionally, FXE is usually priced higher so having Express do the pickup will keep/grow revenue.
FedEx wants the most money for the package possible as well as the lowest cost to deliver.
It will be fine
Well-Known Member
I’m saying Ground will pickup from the Express station like we do with every other customer.
To your other point, any moderately sophisticated shipper will move their volume straight to Ground if there is a price difference and they see that Ground is delivering it anyway.
slowdriver
Well-Known Member
I agree, even if express rtd's do the ground shuttle, the loss in volume will require reducing/eliminating routes anyway.. not looking good either way..
