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FedEx Allocating Entire Advertising Budget On FXO
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<blockquote data-quote="Ricochet1a" data-source="post: 1015757" data-attributes="member: 22880"><p>Good question...</p><p></p><p>From what I know, the "transformation" will most readily be observed within larger metro areas. The rural areas (areas within the Express network serviced by "Feeder" stations) are going to fall into a gray area (from what I've seen). </p><p></p><p>Service won't be dropped, but these outlying stations (I'd have to assume you are a feeder station, being 180 miles away from a ramp - you wouldn't get overnight freight before 10:30 AM if it were trucked in from the ramp) will be the exception to the rule. </p><p></p><p>Whether Express makes the decision to open up Office locations that operate at a "loss" (not profitable when looked at from a single store perspective), is unknown to me. I'd have to think, that if the transformation of FedEx is successful (downsizing Express as much as possible), that FedEx will indeed make a decision to open up Office locations in these areas to fully shift customer service AWAY from Express CSAs, and have Office employees do all the work. </p><p></p><p>What I see (this is speculative on my part), is feeder stations not being closed, but being transformed into "satellite" locations of a larger station, with NO CSA staffing. I know this would present many problems (how to accept DG, how to perform traces on packages, etc.), but I think the trend is towards that. There isn't anything that is unsurmountable with this speculative model (have Couriers make oncall pickups for DG shipments, have traces handled through the "main station" for satellite stations, etc), but the trend is unmistakable - contract Express as much as possible, outsource service to non-Express opcos whenever possible. </p><p></p><p>I've said before, look to how the regional airlines are setup, to get an idea of how FedEx is to be setup in the future. The regional airlines DON'T maintain constant customer service at their gates - they only staff the gate around aircraft operations. The terminal desks are also minimally staffed. </p><p></p><p>I've flown quite often where my first contact with a living person, is with the TSA Nazi looking to get into my underwear. I've checked in, and gone to security, without seeing a SINGLE representative of the airline that I'm flying on. ATM at the airport is the trend - I wouldn't be surprised if FedEx tries to get real close to that in outlying areas (or at least have an Office employee being paid half as much as an Express employee doing the "check in").</p></blockquote><p></p>
[QUOTE="Ricochet1a, post: 1015757, member: 22880"] Good question... From what I know, the "transformation" will most readily be observed within larger metro areas. The rural areas (areas within the Express network serviced by "Feeder" stations) are going to fall into a gray area (from what I've seen). Service won't be dropped, but these outlying stations (I'd have to assume you are a feeder station, being 180 miles away from a ramp - you wouldn't get overnight freight before 10:30 AM if it were trucked in from the ramp) will be the exception to the rule. Whether Express makes the decision to open up Office locations that operate at a "loss" (not profitable when looked at from a single store perspective), is unknown to me. I'd have to think, that if the transformation of FedEx is successful (downsizing Express as much as possible), that FedEx will indeed make a decision to open up Office locations in these areas to fully shift customer service AWAY from Express CSAs, and have Office employees do all the work. What I see (this is speculative on my part), is feeder stations not being closed, but being transformed into "satellite" locations of a larger station, with NO CSA staffing. I know this would present many problems (how to accept DG, how to perform traces on packages, etc.), but I think the trend is towards that. There isn't anything that is unsurmountable with this speculative model (have Couriers make oncall pickups for DG shipments, have traces handled through the "main station" for satellite stations, etc), but the trend is unmistakable - contract Express as much as possible, outsource service to non-Express opcos whenever possible. I've said before, look to how the regional airlines are setup, to get an idea of how FedEx is to be setup in the future. The regional airlines DON'T maintain constant customer service at their gates - they only staff the gate around aircraft operations. The terminal desks are also minimally staffed. I've flown quite often where my first contact with a living person, is with the TSA Nazi looking to get into my underwear. I've checked in, and gone to security, without seeing a SINGLE representative of the airline that I'm flying on. ATM at the airport is the trend - I wouldn't be surprised if FedEx tries to get real close to that in outlying areas (or at least have an Office employee being paid half as much as an Express employee doing the "check in"). [/QUOTE]
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