Now FedEx Ground is done with Amazon

barnyard

KTM rider
PCM this morning was about this. Supe said that FE will be going after our accounts saying that they will not have the Amazon service disruptions that we will have. Hard to argue with that. Right now, our start time is still 9:10. That was where we moved to at the start of peak, then to 9:20. Last year, our start time was 8:50. I have late air because of leaving the building late at least once per week. During Prime week, we left so late, that there was one day that I delivered all my air on trace.

This is going to cost us some profitable volume.
 

Wontmake9.5

My job is fun
PCM this morning was about this. Supe said that FE will be going after our accounts saying that they will not have the Amazon service disruptions that we will have. Hard to argue with that. Right now, our start time is still 9:10. That was where we moved to at the start of peak, then to 9:20. Last year, our start time was 8:50. I have late air because of leaving the building late at least once per week. During Prime week, we left so late, that there was one day that I delivered all my air on trace.

This is going to cost us some profitable volume.
One day where you delivered your air on trace? Iv been doing that for weeks here lol. Today was the first day I haven’t had late air in about 3-4weeks. I still deliver air at 4-5pm lol
 

barnyard

KTM rider
One day where you delivered your air on trace? Iv been doing that for weeks here lol. Today was the first day I haven’t had late air in about 3-4weeks. I still deliver air at 4-5pm lol

I have found that whatever ridiculous thing that is happening elsewhere, is coming to my center eventually.
Sadness.
 

zubenelgenubi

I'm a star
Apparently it should only take us 9 seconds to stop, open the door, grab our one small 1 pound box that just happens to be at the very front of our 1000 shelf, set it down on the floor, and exit the package car, AND pick the box back up.

I am convinced that corporate actually believes this is how every single one of our stops go all day long every day. They are also telling us to scan the packages as we walk to the stop, which for 90% of my stops is impossible.
 

MassWineGuy

Well-Known Member
An Amazon fulfillment center typically ships out 40,000 products a day. In December it swells to a million per day.

Amazon spent $11.5 billion on shipping in 2015, $16.2 billion in 2016, $21.7 billion in 2017 and $27.7 billion in 2018.

They had 232 billion in revenue in 2018. UPS had 72 billion in revenue in 2018.

They went into direct competition with us this year.

Fed Ex acted decisively. Amazon made up some 1.3% of FedEx's 2018 revenue. But Donald Broughton, the founder and manager partner of Broughton Capital, told Business Insider the operating profit from that revenue was under 0.25%
A key metric in FedEx's financial statements underscores why the shipping giant dropped Amazon as a customer

Will we continue to enable our direct competitor (Amazon)?

When assessing our profit from Amazon shipments does UPS accurately assess the costs that the Amazon peak surge creates?

When we were privately held we would have had a strategy.

Now we just try to make this quarter's numbers look good.


We were told recently at FedEx Express that when you factor in the discounts we gave Amazon and the cost of staffing to deliver their stuff, we’re not really losing much. In my area UPS is apparently on a desperate hiring spree. I’d consider it, but I don’t want to get stuck with the worst routes in the building for several years.
 

Fred's Myth

Nonhyphenated American
The FDX Ground route near mine has had a large UHaul truck with two VERY SLOW fat chicks on it since right before last peak. I don’t know how they are able to finish the route at the speed they are walking. They park on the wrong side of the road too but the move out of the way when others need through.
Aussies.
 
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