USPS Task Force Recommendations

59 Dano

I just want to make friends!
I believe there is at least one thing we can all agree on, this doesn't look good for X on the horizon. Amazon is not adjusting their strategic plan, timing will be everything. In the mean time X will deny any of this.

"I believe the one thing we can all agree on" is what you say when you know no one will agree with what you're about to say.
 

bacha29

Well-Known Member
It's a gift.
"Gift" huh?. With you it looks more like a disability. Don't worry. A couple more trips to the Fedex Mind Control and Reeducation Academy you'll be so friend*!*ed up you could apply for SSD and trust me friend it will fly right through on your first application.
 

Fred's Myth

Nonhyphenated American
I believe there is at least one thing we can all agree on, this doesn't look good for X on the horizon. Amazon is not adjusting their strategic plan, timing will be everything. In the mean time X will deny any of this.
I disagree.

FedEx announced earlier that they intended to compete with Amazon by warehousing smaller merchants inventory, acting only as their shipping agent, and not in competition. Sounds like a viable retaliatory response to me.
 

Oldfart

Well-Known Member
I disagree.

FedEx announced earlier that they intended to compete with Amazon by warehousing smaller merchants inventory, acting only as their shipping agent, and not in competition. Sounds like a viable retaliatory response to me.
Isn't that what the old Parts Bank was based on. Not sure what they call it now but they deal with warehousing and shipping packages for various shippers.
 

Exec32

Well-Known Member
A desperate move. Nothing sound or viable about it.
Fred S believed the industry was untouchable. He enjoyed years of fixing shipping costs with UPS. He believed that the three competitors in the market, USPS,UPS & FEDEX, could all coexist with little downside and a constraint on competition. Those days are gone. Most of the people around him believed the same, it's called complacency.
The attempts X will try to prolong their decline will ultimately waste revenues.
Remember Kmart, or oldsmobile, or converse, and kodac, blockbuster, all these have some things in common, one being they are gone.
 

It will be fine

Well-Known Member
I disagree.

FedEx announced earlier that they intended to compete with Amazon by warehousing smaller merchants inventory, acting only as their shipping agent, and not in competition. Sounds like a viable retaliatory response to me.
Fedex has been offering fulfillment and supply chain solutions for years. Small
companies that don’t want to hand all their data and customers over to Amazon use these services.
 

Exec32

Well-Known Member
Will never get to scale. And it hasn't made the least bit impact, now has it.
X would be better off buying Overstock.com, the problem is they should have made an offer 3 years ago. Overstock CEO has been looking to leave for the crypto coin market for years. The only good thing now is that Overstock shares have sunk 85% ytd.
 

bacha29

Well-Known Member
It's all rather simple. Sometime down the road you'll once again have too many carriers and not enough boxes which will result in another round of industry consolidation. Whatever buyouts, bankruptcies, and mergers that will take place in the process of that consolidation will be decided by banks, stockholders and federal regulators which will in the end mean that there will be winners and losers with the most vulnerable and exposed more often than not going away the losers and in the case of FXG, route contractors have to be considered to be among the vulnerable.

Given that fact it's the contractor who knows that his time has come and leaves before his time has gone is not likely to be counted among the vulnerable.

With so many market forces converging over which he has zero control the real "manager" is the one who knew enough not to stay too long.
 

Oldfart

Well-Known Member
It's all rather simple. Sometime down the road you'll once again have too many carriers and not enough boxes which will result in another round of industry consolidation. Whatever buyouts, bankruptcies, and mergers that will take place in the process of that consolidation will be decided by banks, stockholders and federal regulators which will in the end mean that there will be winners and losers with the most vulnerable and exposed more often than not going away the losers and in the case of FXG, route contractors have to be considered to be among the vulnerable.

Given that fact it's the contractor who knows that his time has come and leaves before his time has gone is not likely to be counted among the vulnerable.

With so many market forces converging over which he has zero control the real "manager" is the one who knew enough not to stay too long.
You are 100% correct. The mailorder business is just a fad and it will be a distant memory in the next year or so. The 3 carriers in business now can barely meet the demands of the shippers. When a 4th carriers comes on board and the mail order business goes away, thousands of people will be left jobless and the US economy will tank.

You are a real business guru.
 
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It will be fine

Well-Known Member
Will never get to scale. And it hasn't made the least bit impact, now has it.
X would be better off buying Overstock.com, the problem is they should have made an offer 3 years ago. Overstock CEO has been looking to leave for the crypto coin market for years. The only good thing now is that Overstock shares have sunk 85% ytd.
Fedex has been running the Supply Chain division for 3 years. It generated $1.5 billion in revenue last year. They produce 500k daily shipments.
 

bacha29

Well-Known Member
You are 100% correct. The mailorder business is just a fad and it will be a distant memory in the next year or so. The 3 carriers in business now can barely meet the demands of the shippers. When a 4th carriers comes on board and the mail order business goes away, thousands of people will be left jobless and the US economy will tank.

You are a real business guru.
Mail order huh? Psst. I.m going to let you in on a little secret. This is 2018 not 1955 the time in which you currently reside. I know that you people are still trying to come to terms with Brown vs. Board Of Education so you're just going to have to learn to adapt to that and a whole lot more. Secession is no longer an option. You tried that once and all it got you was about three quarters of a million people killed.
 

!Retired!

Well-Known Member
Yesterday, The Task Force On the United States Postal System released it's recommendations on how to make the system profitable . Here's one of it's most interesting:...."Developing a new pricing that removes price caps and charges market based prices for both mail and package items that are not deemed essential postal services".

Don't think for a minute that Bezos didn't see this and it might accelerate the development of his own transportation network.

No doubt that Fat Freddy saw it too.
USPS can never charge 'market based prices', they don't do the deliver by a certain time and day thing to well. If they charged the same, or close, prices FedEx and UPS do, why would you use them?
 

Gone fishin

Well-Known Member
I believe there is at least one thing we can all agree on, this doesn't look good for X on the horizon. Amazon is not adjusting their strategic plan, timing will be everything. In the mean time X will deny any of this.
Little to nothing for fed ex. Every store , business , forwarder , etc ship product now. Plenty for all and side note , we get more Target in my region than amazon. Amazon drivers have taken most of their deliveries and we still have more than we can handle
 

59 Dano

I just want to make friends!
Will never get to scale. And it hasn't made the least bit impact, now has it.
X would be better off buying Overstock.com, the problem is they should have made an offer 3 years ago. Overstock CEO has been looking to leave for the crypto coin market for years. The only good thing now is that Overstock shares have sunk 85% ytd.

What's the point in buying Overstock? It wouldn't grow the FedEx infrastructure domestically or give them greater access to international shipping lanes. It wouldn't add value to anything.

The only point in buying Overstock would be to diversify, and FedEx has as much to gain from that as it does from investing in crop futures.
 
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