Do you really think investors care? Why would they? If things start going south, they sell the stock and move on.
FedEx Ground FMCSA Score Sucks
- Thread starter MrFedEx
- Start date
Cactus
Just telling it like it is
Oh but the customers do care.
That's the attitude with Ground, they think the customer ain't gonna notice. While you're out grooming soccer fields Express couriers are constantly listening to customer complaints about Ground.
They don't care enough for Ground to lose market share and thus the investor does not care at all.
dezguy
Well-Known Member
How many customers care to know the difference between Express and Ground? How many customers actually care that Ground drivers are generally paid well below market average?
The average customer doesn't care who is delivering their package so long as they get it.
Cactus
Just telling it like it is
Maybe up in Canada there's some truth to that but where I'm at people see a difference.
Cactus
Just telling it like it is
FedEx where complacency rules.
UpstateNYUPSer(Ret)
Well-Known Member
Enough to pay extra to have Express deliver it?
MrFedEx
Engorged Member
True, but only if Ground maintains market share and some level of acceptable service. I also hear many complaints about Ground, but the shippers choose price over quality most of the time.
If Ground goes down, it takes the rest of the company along for the ride.
We are talking about investors. It's not complacency. It's bottom line cash money.
Cactus
Just telling it like it is
Apparently quite a few customers still feel that way. They haven't laid off the entire Express workforce yet.
Cactus
Just telling it like it is
Well the investors choose to put up with it. We'll see how long that lasts.
Guys remember: It has been publicly stated over and over again that Ground is a "low cost" operation. With that in mind the excessive economization will show up. Moreover the guy who is out there providing the same service for half the pay as the guy across the street dressed in brown isn't going to care because the overall ground driver pay scale makes the job transitional employment .Indeed the share price is everything. As for the whaaaaing about Ground in many cases when they are told "we'll ship it out to you Fedex" the customer was left to believe that it was going to be there overnight. And yes,the possiblity of UPS regaining market share is real. You cannot go on forever pulling industry leading profit margins out of an operation as heavily economized as Ground and not have it catch up with you eventually.
Complaints aside, I see nothing to suggest Ground is going down.
You would be surprised at how many people remark about the price/service difference favorable to Ground. If a package three states away comes Ground for $38 and arrives in two days compared to overnight for $146 or 2DA Express for $112 it's usually a simple decision.
Now back to the complaints...
They are statistically small. I know they bolster your argument, and the raw number may seem significant. When taken with respect to the millions of deliveries and pickups made by Ground, that number loses a lot of it's relevance.
Selling point for one group of investors begets buying point for another.
dvalleyjim
Well-Known Member
Or less drinking before I get on Brown Cafe. Sorry, I am an idiot. I always get attacked by current contractors that I was terminated. Seems the only way they see anyone selling out is because they were forced out.
dvalleyjim
Well-Known Member
I always find that people here don't seem to notice the difference. I here that Express is rude alot and UPS damages their shipments. They love me.
Route 66
Slapped Upside-da-Head Member
Ha! customers! - they always seem to want to have their cake and eat it too.
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