Buying FedEx Routes

[UpstateNYUPSer(Ret)]

Yeah, we know you're a big Ground fanboy. Yet you wouldn't ever consider being in a contractor position or get your hands dirty in the real world delivering Ground packages.

Would you? I talk a big game on here about UPS drivers being overpaid but no way in the world am I slinging cardboard for $15/hr.

 

[59 Dano]

Guess who's stock just hit a new high?

The delivery company that just announced it's going to stop all third party deliveries because they don't make enough money.

 

[bacha29]

The delivery company that just announced it's going to stop all third party deliveries because they don't make enough money.

The company that announced yesterday that it's going to hire an additional 75,000 people over and above the 100,000 it has recently hired.

 

[dmac1]

The delivery company that just announced it's going to stop all third party deliveries because they don't make enough money.

Wrong again. They aren't taking 3rd party deliveries because they are selling so much of their own products that they don't have the capacity. As soon as their own sales go back to near normal, they will start taking third party deliveries. It was right in the article/news release.I apologize for all the times I thought you were stupid. If you can't read, it may be something you can't control.

 

[59 Dano]

The company that announced yesterday that it's going to hire an additional 75,000 people over and above the 100,000 it has recently hired.

And they are still stopping their 3rd party delivery service because it isn't making enough money.

 

[59 Dano]

Wrong again. They aren't taking 3rd party deliveries because they are selling so much of their own products that they don't have the capacity. As soon as their own sales go back to near normal, they will start taking third party deliveries. It was right in the article/news release.I apologize for all the times I thought you were stupid. If you can't read, it may be something you can't control.

If they were making good enough money at it, they wouldn't be stopping it. Also, it's hard to take over the delivery world when you don't have the capacity to do so. And you can't think straight with JB's schlong in your mouth.

 

[bacha29]

Wrong again. They aren't taking 3rd party deliveries because they are selling so much of their own products that they don't have the capacity. As soon as their own sales go back to near normal, they will start taking third party deliveries. It was right in the article/news release.I apologize for all the times I thought you were stupid. If you can't read, it may be something you can't control.

They made it clear that they were diverting resources to respond to their own volume spikes. I never saw where they said that they were abandoning the venture altogether.

What has been widely discussed is the growing likelihood of having 3 or 4 carriers and about the same number of online retailers left after the oncoming recession. Sears, J C Penney Macy's Kohl's nobody's giving them much of a chance to survive and some LTL's won't make it either

With warehouses overflowing with cash Bezos will have to do something with it. Will he take a more measured and conservative approach or is he going downtown with something that will be a game changer? The kind of which will make it hard for the others to come up with effective counter measures?

 

[Fred's Myth]

Jeff Bezos.

 

[bacha29]

View attachment 291392

Jeff Bezos.

Despite a down day for the market AMZN closed up 1%.......GOOD. Fat Freddy's stock closed down 4%........Bad.

 

[59 Dano]

They made it clear that they were diverting resources to respond to their own volume spikes. I never saw where they said that they were abandoning the venture altogether.

For someone who parses every word of anything from FedEx, you are quick to swallow any dispatch from Amazon at face value.

What has been widely discussed

"I seen on this blog..."

With warehouses overflowing with cash Bezos will have to do something with it. Will he take a more measured and conservative approach or is he going downtown with something that will be a game changer? The kind of which will make it hard for the others to come up with effective counter measures?

His current game changer is that he offers deep discounts up to half off what FedEx/UPS charges and uses drivers that are paid worse than guys who drive for Ground and you fanbois think he reinvented the wheel.

 

[zeev]

They made it clear that they were diverting resources to respond to their own volume spikes. I never saw where they said that they were abandoning the venture altogether.

What has been widely discussed is the growing likelihood of having 3 or 4 carriers and about the same number of online retailers left after the oncoming recession. Sears, J C Penney Macy's Kohl's nobody's giving them much of a chance to survive and some LTL's won't make it either

With warehouses overflowing with cash Bezos will have to do something with it. Will he take a more measured and conservative approach or is he going downtown with something that will be a game changer? The kind of which will make it hard for the others to come up with effective counter measures?

Amazon is growing and becoming more dominant people who never ordered are doing it for the first time. I expect the transition to Ground delivery to really speed up. Also Amazon expanding their delivery network not good for Ground.

 

[59 Dano]

Amazon is growing and becoming more dominant people who never ordered are doing it for the first time. I expect the transition to Ground delivery to really speed up. Also Amazon expanding their delivery network not good for Ground.

You fanbois don't understand the business end of it. The third party service has been around since '17 or '18 and has shown little growth.

The allure of it is that it's so much cheaper than UPS/FedEx. To grow the service at those prices, they'll have to hire more people. To keep turnover at a manageable rate, they'll have to pay wages that are competitive with FedEx. If they pay more competitive wages, then the bottom line shrinks. To keep from shrinking the bottom line, they would have to charge higher rates, which would reduce the price advantage they have over other carriers.

You act as though they can charge any rate they want, pay any wage they want, and the magic will simply happen. It surely hasn't as of yet.

 

[dmac1]

You fanbois don't understand the business end of it. The third party service has been around since '17 or '18 and has shown little growth.

The allure of it is that it's so much cheaper than UPS/FedEx. To grow the service at those prices, they'll have to hire more people. To keep turnover at a manageable rate, they'll have to pay wages that are competitive with FedEx. If they pay more competitive wages, then the bottom line shrinks. To keep from shrinking the bottom line, they would have to charge higher rates, which would reduce the price advantage they have over other carriers.

You act as though they can charge any rate they want, pay any wage they want, and the magic will simply happen. It surely hasn't as of yet.

And fedex had all the volume and all the capacity on the day Fred S had the idea. Now you are just spouting whatever nonsense pops into your head first without even thinking about it. You should at least make an effort to look a little bit intelligent if you don't want everyone to see how shortsighted and slow thinking you are. I am really starting to think you have a problem, maybe dyslexia. Bit I no longer expect any reasonable reply based on evidence from you, just name calling and immature put downs.

 

[dezguy]

You fanbois don't understand the business end of it. The third party service has been around since '17 or '18 and has shown little growth.

The allure of it is that it's so much cheaper than UPS/FedEx. To grow the service at those prices, they'll have to hire more people. To keep turnover at a manageable rate, they'll have to pay wages that are competitive with FedEx. If they pay more competitive wages, then the bottom line shrinks. To keep from shrinking the bottom line, they would have to charge higher rates, which would reduce the price advantage they have over other carriers.

You act as though they can charge any rate they want, pay any wage they want, and the magic will simply happen. It surely hasn't as of yet.

Gotta love these guys.

Things get a little tough and little Jeffy takes his ball and runs home but aMeZiN iz gunna takes ofer teh induztry!!!!!¡!!!!¡!!one!!!!¡!!!

It sure is nice there isn't a certain time of year when delivery services get insanely busy and little Jeffy doesn't have go worry about prioritizing customers over his own company's freight.

 

[bacha29]

View attachment 291392

Jeff Bezos.

Despite a down day for the market AMZN closed up 1%.......GOOD. Fat Freddy's stock closed down 4%........Bad.

 

[Fred's Myth]

Despite a down day for the market AMZN closed up 1%.......GOOD. Fat Freddy's stock closed down 4%........Bad.

Despite a down day for the market AMZN closed up 1%.......GOOD. Fat Freddy's stock closed down 4%........Bad.

You're repeating yourself.

 

[59 Dano]

And fedex had all the volume and all the capacity on the day Fred S had the idea.

So we're going from "Amazon is going to blow FedEx out of the water" to "Well, maybe it needs a few more years." No, FDX didn't have all the volume/capacity on day one. They had a service that had never been offered and had to grow it.

Amazon is in no such situation. There are decades' worth of data and examples from ground transport companies, air transport companies, and integrated companies to draw from.

There were multiple lengthy threads here devoted to the issue. Remember how it was going to be so easy? They could just copy the Ground contractor model, as it was designed to be compliant with existing laws. The sorting and routing of packages wasn't to be a problem. Amazon was going to poach all the needed white collar guys from FDX. And so on and so on and so on. There was no end to the theorizing about how this was going to be a home run. You should remember, as you were right in the thick of it.

Now you are just spouting whatever nonsense pops into your head first without even thinking about it. You should at least make an effort to look a little bit intelligent if you don't want everyone to see how shortsighted and slow thinking you are. I am really starting to think you have a problem, maybe dyslexia. Bit I no longer expect any reasonable reply based on evidence from you, just name calling and immature put downs.

Dude, I'm just reporting what's on the scoreboard. Can't help it that you don't like the score.

 

[59 Dano]

Gotta love these guys.

Things get a little tough and little Jeffy takes his ball and runs home but aMeZiN iz gunna takes ofer teh induztry!!!!!¡!!!!¡!!one!!!!¡!!!

It sure is nice there isn't a certain time of year when delivery services get insanely busy and little Jeffy doesn't have go worry about prioritizing customers over his own company's freight.

Ooohhh, but haven't you heard? He's got all that money and all he has to do is lease a bunch more trucks and planes and hire a bunch more people! It's that simple!

 

[Fred's Myth]

Ooohhh, but haven't you heard? He's got all that money and all he has to do is lease a bunch more trucks and planes and hire a bunch more people! It's that simple!

Now that you mention it, where IS MFE?

 

[upsbeernut]

There’s no pride or prestige left in delivering.