First quarter profit down over 17% — Now what?

[clean hairy]

I wonder if profits would go up if orion was disabled and drivers could run routes using area knowledge and common sense that they used before orion?

 

[Frankie's Friend]

I wonder if profits would go up if orion was disabled and drivers could run routes using area knowledge and common sense that they used before orion?

CUstomer Satisfaction Index absolutely would.

 

[bumped]

I wonder if profits would go up if orion was disabled and drivers could run routes using area knowledge and common sense that they used before orion?

Hey now! I'm getting quite comfortable just following the arrows.

 

[Frankie's Friend]

Ups is going broke

On common sense customer needs?
If we cared about customers as much as we care about stock price I believe the first one would take care of the second one.

 

[Heavy Package]

My package volume continues to go up. Most of the new volume is Amazon. A lot of them are next day air savers for Prime members.

If we aren’t making as much profit, there is ONLY one reason. Our contract price with Amazon for their packages!!!

Cutting costs won’t ever work until we are properly compensated for delivering Amazon packages.

Amazon announced $800M build-out to offer 1-day Prime shipping across most of the US. In their own statement they said they were building out their logistics network for 20 years. UPS and FedEx only looked at more volume and short-term profit and now we have a real 4th competitor with about 50% of the total online sales with little legacy costs.

UPS and FedEx are not going out of business, etc. but I do see stagnant growth, especially when the next recession hits. UPS could have been a differentiator and leader if it stayed private and added warehousing and shipping to compete with Amazon 20 yrs ago. But it went public and it is all about 90-day stock price forecasts now. Sad.

 

[Staydryitsraining]

Amazon announced $800M build-out to offer 1-day Prime shipping across most of the US. In their own statement they said they were building out their logistics network for 20 years. UPS and FedEx only looked at more volume and short-term profit and now we have a real 4th competitor with about 50% of the total online sales with little legacy costs.

UPS and FedEx are not going out of business, etc. but I do see stagnant growth, especially when the next recession hits. UPS could have been a differentiator and leader if it stayed private and added warehousing and shipping to compete with Amazon 20 yrs ago. But it went public and it is all about 90-day stock price forecasts now. Sad.

I dont believe your 50% number is right.its actually much lower.

 

[Box Ox]

I dont believe your 50% number is right.its actually much lower.

https://www.bizjournals.com/bizwome...grab-47-percent-of-online-sales.html?page=all

“Sales for the online retail giant are expected to grow by more than 20 percent this year to reach $282.52 billion, or approximately 47 percent of total U.S. online expenditures and 5 percent of the total U.S. retail market, Chain Store Age reports.”

“Here is eMarketer’s prediction of 2019 percentage share for the top 10 U.S. online retail companies:

1. Amazon: 47 percent
2. eBay:6.1 percent
3. Walmart: 4.6 percent
4. Apple: 3.8 percent
5. The Home Depot: 1.7 percent
6. Costco: 1.3 percent
7. Wayfair: 1.3 percent
8. Quarate Retail Group: 1.3 percent
9. Best Buy: 1.3 percent
10. Macy’s: 1.2 percent”

 

[Heavy Package]

I dont believe your 50% number is right.its actually much lower.

Here you go. Box Ox is correct. This is the post from 2 yrs ago from Business Insider. Amazon has close to 50% of all online sales.

Amazon accounts for 43% of US online retail sales
Business Insider Intelligence
Feb. 3, 2017, 12:12 PM

 

[eats packages]

Here you go. Box Ox is correct. This is the post from 2 yrs ago from Business Insider. Amazon has close to 50% of all online sales.

Amazon accounts for 43% of US online retail sales
Business Insider Intelligence
Feb. 3, 2017, 12:12 PM

Amazon is not %50 in terms of volume, or wholesale.
Their stick is stop density. You could also say we should have charged them more per package but then it would have put amazon in the position to tank exceptional earnings back down into average earnings and send our shareholder chickens into a panic.

 

[Heavy Package]

My entire point to Amazon is that they had a 20+ year vision. UPS / FedEx / Post Office did not and now we either adapt or face the consequences for the next generation of workers at UPS.

You really think UPS couldn't build and operate a large warehouse outside Atlanta for example and offer 1-day shipping? We could have done a pilot program like this 10+ years ago.

 

[Two Tokes]

Expecting the return of route cutting? Grumpier Center Manager? Even less toilet paper and paper towels? Nothing changed at all?

UPS profit falls 17.4 percent hurt by severe winter - Reuters

Who cares
I do not buy the stock
I prefer companies without ORION

 

[The Driver]

You really think UPS couldn't

Nope.

Not our core competency at all. There's much, much, much, much more that goes into operating a retail/e-commerce business than just having a warehouse somewhere and shipping stuff NDA.

 

[Staydryitsraining]

Here you go. Box Ox is correct. This is the post from 2 yrs ago from Business Insider. Amazon has close to 50% of all online sales.

Amazon accounts for 43% of US online retail sales
Business Insider Intelligence
Feb. 3, 2017, 12:12 PM

Impossible. I confused what I read before. The number I was thinking about was total retail.

 

[Brownslave688]

My entire point to Amazon is that they had a 20+ year vision. UPS / FedEx / Post Office did not and now we either adapt or face the consequences for the next generation of workers at UPS.

You really think UPS couldn't build and operate a large warehouse outside Atlanta for example and offer 1-day shipping? We could have done a pilot program like this 10+ years ago.

The stock would have really suffered. Not saying you’re wrong but it’s the nature of Wall Street.

New companies get rewarded for spending money and old companies get punished.

 

[Blackadder 2]

I don't understand how we can be losing money since we are following Orion, makes no sense.

 

[1BROWNWRENCH]

I am going to start a Gofundme so I can order pink tag items.

I need QuikSolv and gloves. I have lots of SPL100 to trade.

 

[1BROWNWRENCH]

Cancelling the weekly lawn service might be an idea.

 

[1BROWNWRENCH]

It's never bothered me driving a dirty package car but I always cleaned my windows every morning before I left . If they don't care about our appearance than neither do I .

You don't mind the suggestive graffiti drawn on the dirt?

 

[728ups]

Routes will be cut ,9.5 is out the window,and once the contract is ratified very shortly It will be open season on RPCD's to get as many 22.4's into the system

 

[Indecisi0n]

You don't mind the suggestive graffiti drawn on the dirt?

I welcome it