Should UPS be concerned about Amazon's order of 20,000 vans? - Louisville Business First
Winter is coming, logistics world.
Last week brought the news that Amazon.com Inc. (Nasdaq: AMZN) had ordered 20,000 delivery vans from Mercedes-Benz. CNN reports that this deal is a big leap from the Seattle-based e-commerce company's first order of 5,000 vans. Amazon will lease these to third-party partners, who will operate them for last-mile delivery — basically, getting packages from a shipping hub to your house.
This is yet another step in Amazon's plans to build its own delivery service, and it's worth watching to see how it will affect United Parcel Service Inc. (NYSE: UPS). Amazon also is allowing allow people to use their personal vehicles for delivery in some cities.
Winter is coming, logistics world.
Last week brought the news that Amazon.com Inc. (Nasdaq: AMZN) had ordered 20,000 delivery vans from Mercedes-Benz. CNN reports that this deal is a big leap from the Seattle-based e-commerce company's first order of 5,000 vans. Amazon will lease these to third-party partners, who will operate them for last-mile delivery — basically, getting packages from a shipping hub to your house.
This is yet another step in Amazon's plans to build its own delivery service, and it's worth watching to see how it will affect United Parcel Service Inc. (NYSE: UPS). Amazon also is allowing allow people to use their personal vehicles for delivery in some cities.