WSJ: E-commerce is big problem for UPS - Atlanta Business Chronicle
Free shipping on online orders, fierce competition from other delivery services, and Amazon's power to drive down shipping costs are creating problems for Atlanta-based United Parcel Service.
UPS's (NYSE: UPS) average revenue on each Internet-related package it handles is dropping, the Wall Street Journal reports in a story published Thursday that includes an interview with the Atlanta-based company’s new chief executive officer David Abney.
“Even though net income last year was the highest ever at UPS, profit margins on deliveries in the U.S. have been flat for three years, a sign that online sales aren't helping the bottom line as much as they used to,” WSJ reports.
Free shipping on online orders, fierce competition from other delivery services, and Amazon's power to drive down shipping costs are creating problems for Atlanta-based United Parcel Service.
UPS's (NYSE: UPS) average revenue on each Internet-related package it handles is dropping, the Wall Street Journal reports in a story published Thursday that includes an interview with the Atlanta-based company’s new chief executive officer David Abney.
“Even though net income last year was the highest ever at UPS, profit margins on deliveries in the U.S. have been flat for three years, a sign that online sales aren't helping the bottom line as much as they used to,” WSJ reports.
