Considering buying Contractor's FedEx Home business

Discussion in 'FedEx Discussions' started by alpodog, Dec 12, 2012.

  1. alpodog

    alpodog New Member

    I'm considering buying an existing contractor's FedEx Home delivery routes. I had a couple questions for anyone that would care to answer or comment.....
    1. What is the likelihood FedEx would take over some/all of the Home business?
    2. Package volume should continue to increase as internet purchases rise. Agree? Would the loss of USPS contract significantly impact Home volumes?
    3. By far, the single largest challenge is finding and retaining qualified drivers. True? Anyone care to comment on what on what pay level seems to keep the quality drivers, recognizing pay varies geographically?
    4. I would hope that somewhere down the road, this business would be able to expand by acquiring additional routes (within FedEx terminal limit). Is this reasonable to assume?
    5. If you're a FedEx Contractor are you happy with the business, performance and future with FedEx?
  2. UpstateNYUPSer

    UpstateNYUPSer Very proud grandfather.

    bbsam is our resident IC expert. I'm sure he will be more than happy to show you how to exploit others for personal gain.
  3. bbsam

    bbsam Moderator Staff Member

    if you have to ask....
  4. TUT

    TUT Well-Known Member

    2. I believe you are competing against Fedex Smart Post as well. The USPS contract is with Express, I don't see how that relates to you. However the Smart Post Home Delivery option is ~$1.75 cheaper than standard Home Delivery pkgs you would be handling and is the fastest growing segment at Fedex. Smart Post is great for that Free Shipping offer from sellers and pkgs weighing a few pounds or less, but online that is a lot of'em.
  5. Brownslave688

    Brownslave688 You want a toe? I can get you a toe.

    I didn't realize smart post was so big but the other day I delivered 4 boxes and 3 bags to the post office. Lady there said FedEx had just dropped off 22 bags. Wow!!!
  6. STFXG

    STFXG Well-Known Member

    It's 1/3 of our volume now.