I've seen a BUNCH of these Amazon delivery trucks around the last several weeks! Sounds like they're into the delivery business big-time now.



Amazon is taking a bite out of the U.S. package-delivery business long dominated by UPS and FedEx, companies so well-known that their brands became the industry's equivalent of "Googling" a topic on the internet.

As of August, the world’s largest online retailer was delivering 46 percent of U.S. packages bought on its online platform through Amazon Logistics, the company’s in-house shipping and delivery service, according to research by the investment bank Morgan Stanley.

The growth in Amazon Logistics "has been the most disruptive event within transportation in the last five years," Morgan Stanley said in the report. "The collateral impact of the disruption has been obvious, a sudden and significant loss of business at several parcel companies.”

The bank, which analyzed roughly 70,000 Amazon transactions from 300 U.S. shoppers over a nine-year period to measure the changes, noted that Logistics volume more than doubled from 20 percent of the company's shipments to 46 percent in past 12 months alone.

This exponential growth is driven by "Amazon's core e-commerce growth and the company moving a rising percentage of its business in-house," Morgan Stanley said.

Amazon Logistics now ships more than 2.5 billion packages a year in the U.S., while FedEx ships 3 billion and UPS delivers 4.7 billion, Morgan Stanley estimated. Amazon's deliveries will probably swell to 6.5 billion by 2022, for a cost of $10 a package, the analysts said. That represents a loss of $65 billion in revenue for UPS, FedEx and the U.S. Postal Service from Amazon's business, less if the company gets a discount.

Rival firms could lose as much as $35 billion more with the potential launch of Amazon's third-party service fulfilling orders from independent web companies that pay Amazon to handle time-consuming deliveries, Morgan Stanley said.

Overall, bank analysts predict Amazon Logistics will ship more U.S. packages than FedEx in 2020 and more than UPS in 2022.



https://www.foxbusiness.com/ma...fedex-ups-deliveries

... waiting until after the Christmas crush for delivery, expectations and commitments are done with.

Funny all the Amazon trucks disappeared from the FL Panhandle after they completely failed to deliver.

USPS and UPS took back over everything for them for the time being.

Anybody who supports a company that will put you out of business (or seriously hurt your business) is insane. All of these people looking at "what can we make today" are not thinking about "what they will loose in the future".

They should have told Amazon to pound sand from day one. Whoops.

Amazon is getting third-tier drivers at best. I'd say they've got a long way to go.

UPS, FedEx and DHL know that their drivers are pivotal to their brand as they are not only the face of the brand but, the foundation to their operation. Uniform standards, cleanliness of the vehicles, timely and professional deliveries, all those elements built over decades resulting in handsome compensation and pensions. Amazon is throwing a lot of money to build their own system, all of the driver's they've hired I've seen are rejects from other brands, sloppy and shady appearances, questionable vehicles, poor parking and driving practices, then there's how they handle your order

quote:

Originally posted by corsair:
Amazon is getting third-tier drivers at best. I'd say they've got a long way to go.

UPS, FedEx and DHL know that their drivers are pivotal to their brand as they are not only the face of the brand but, the foundation to their operation. Uniform standards, cleanliness of the vehicles, timely and professional deliveries, all those elements built over decades resulting in handsome compensation and pensions. Amazon is throwing a lot of money to build their own system, all of the driver's they've hired I've seen are rejects from other brands, sloppy and shady appearances, questionable vehicles, poor parking and driving practices, then there's how they handle your order

Thats true and those 20,000 Sprinter vans purchased by Amazon were bought to resale to small fleet owners who already deliver for Amazon. Those drivers aren't exactly getting wealthy and the number of parcels they must deliver per day is a real ball buster. I would consider it cheap labor employment and a daunting days work each day.

quote:

then there's how they handle your order

Which is completely fine because the majority are only interested in the lowest price possible.

Amazon has a different model than UPS and FedEx in that Amazon doesn't pick packages up and can skip a few sorting stages.

Couple of things here...
Amazon only hauls their own stuff. UPS and FDX are in the BUSINESS of delivering packages, not Amazon. FDX has the MASSIVE USPS contract as well. UPS is going to be the real loser in this entire game for sure. DHL is mostly an international carrier of stuff. The US market for them is actually pretty small.

As far as the drivers go, I personally have had almost 100% of my Amazon orders delivered by there people and it has been top notch. The original drivers- the ones using their own vehicles like Uber were the problem.

Amazon has had tremendous growing pains getting their delivery network up and running, but it is paying off. Just wait a couple of more years when the air hub is finally up and running. NEXT DAY nationwide delivery anyone?

quote:

Amazon only hauls their own stuff. UPS and FDX are in the BUSINESS of delivering packages, not Amazon.

You're thinking like the guys at UPS.

Amazon only sells stuff and has us deliver it. Until they see the upside of doing it themselves, and have now made enough money to do so.

Amazon only delivers their own product. Until they see the upside of expanding into other areas, and have now made enough money and infrastructure to do so.

Just watch.

TRUST ME... Amazon does NOT have the capacity to take on anything else.
Maybe a few years from now but not anytime soon.

quote:

Originally posted by a1abdj:

quote:

Amazon only hauls their own stuff. UPS and FDX are in the BUSINESS of delivering packages, not Amazon.

You're thinking like the guys at UPS.

Amazon only sells stuff and has us deliver it. Until they see the upside of doing it themselves, and have now made enough money to do so.

Amazon only delivers their own product. Until they see the upside of expanding into other areas, and have now made enough money and infrastructure to do so.

Just watch.

My UPS and Fedex drivers have been great, the Amazon drivers here are terrible. Packages that just never show up. Drivers speeding down my residential street in oil leaking jalopies while blaring rap music.

Last week took the cake though. The amazon driver intentionally drove straight through my yard leaving deep ruts, knocking over a retaining wall, and driving over a 16” diameter stone boulder. This wasn’t just a tire barely off the pavement, this was the entire van driving off road. I have it all on video and just filed a property damage claim with Amazon logistics.

I have substantially decreased my amazon purchases because of their drivers. If you have problems with amazon drivers call and report it, if they have enough complaints they will use other carriers.

Things will get real interesting when Amazon gets the air side figured out. They've already broken into the segment with "Amazon Air", but of course they're not doing that themselves it's being outsourced to existing freight carriers. Problem is these carriers are lower tier companies with less than stellar employee relations, particularly in the pilot(s) department. Right now they don't have the capacity to expand due to a lack of crews, and won't until there are new union contracts that are able to attract and retain pilots. So far that doesn't look to be happening any time soon.

Besides the quality of their drivers, there's also the issue of there not being enough terminals to properly service regions. For the San Francisco Bay Area, Amazon has one terminal, which is located in Hayward. From that terminal, drivers get dispatched to areas that are literally hours away. The driver who provides service in my mother's area lives in Richmond, which is almost 30 miles north of Hayward. From there, he gets to drive 80 miles north again to Santa Rosa. Then he has to do all that in reverse at the end of the day.

No wonder why their drivers aren't all that conscientious about the way they deliver.

Yeah, Amazon is all ate up right now, but give them 5 years and USPS / UPS will be REEELING...

quote:

Originally posted by Orguss:
Besides the quality of their drivers, there's also the issue of there not being enough terminals to properly service regions. For the San Francisco Bay Area, Amazon has one terminal, which is located in Hayward. From that terminal, drivers get dispatched to areas that are literally hours away. The driver who provides service in my mother's area lives in Richmond, which is almost 30 miles north of Hayward. From there, he gets to drive 80 miles north again to Santa Rosa. Then he has to do all that in reverse at the end of the day.

No wonder why their drivers aren't all that conscientious about the way they deliver.

sure? just one warehouse for the ENTIRE Bay Area...a region where half the population stares at a screen and brags about using the latest app?

I could've sworn there was a distro locations in SF, Brisbane (Peninsula), Richmond (East Bay & Marin) and Sunnyvale (South Bay).

I've seen good and bad from all of them. I deal with all of them daily. Amazon moving their own stuff with their own people is probably smart given the losses they take from using outside vendors like Ontrac on the west coast.

I see a lot of bad reviews of Amazon drivers but I've had only good experiences. They knock and wait when it's raining so the package doesn't sit in the weather. They are friendly and professional. On the other hand, I watched a UPS driver throw a computer I ordered down the steps of the brown truck. FedEx have been good but in this area Amazon drivers are tops.

So, when does the Sherman Anti-Trust Act wake up?

I know Bezos has plenty of grease for the politicians to delay if not prevent this, from his grease machine, so when?

AWS, gives Amazon Retail a huge advantage over other retailers in terms of costs. Now add Amazon Delivery?

Creepy trucks... and they're everywhere!