Special Delivery: What FedEx and UPS Plan to Bring Customers in 2020

As recently as a few years ago, brick-and-mortar retailers could still combat e-commerce services through the benefit of expedience. This margin as vanished over time and now shipping companies FedEx and UPS are helping sellers get products to consumers even faster.

Both companies will soon roll out Sunday delivery programs, set to launch in January.

The economics behind the move made this a difficult one to implement. Higher margins come from deliveries to office builders, where at one stop dozens of packages can be delivered. These are often bulk orders as well. However, Sunday deliveries are expected to go mostly to residential properties. These deliveries are both slower and smaller.

In order to turn a profit on Sundays, FedEx will utilize its Ground division. The fleet is paid based on metrics like total packages delivered, level of complaints and others. This tends to cut costs compared to the companies Express fleet workers.

UPS has a two-tiered wage structure and will leave some packages with the United States Postal Service in order to cut expenses. It will also use a drop off point system where multiple packages get dropped at a single location, and customers travel to retrieve them.

For the latest in all things transportation, head to our industry page! You can also follow us on Twitter at @TransportMKSL! Join the conversation today on our Market Leaders LinkedIn Group!

Follow us on social media for the latest updates in B2B!


mastering AV sales strategies
Mastering AV Sales Strategies: A Diverse Market Requires Understanding Individual Needs
December 8, 2023

Mastering AV sales strategies in a global professional audio-visual (Pro AV) market, poised to reach $79.2 billion by 2028, requires much attention to detail. The surge in demand from corporate, government, and institutional sectors, driven by the need for enhanced productivity and efficient working environments, gives AV sales pros a lot of opportunity. In […]

Read More
cybersecurity in healthcare
Cybersecurity in Healthcare: Addressing the Growing Threat
December 8, 2023

To keep up with the growing threats, cybersecurity in healthcare is a high-level priority. The recent ransomware attack on Ardent Health underscores a stark reality for the healthcare industry: cyber threats are a significant and ongoing challenge. Mike Saylor, the CEO of Blackswan Cybersecurity, LLC, sheds light on the complexities of cybersecurity in healthcare. […]

Read More
effective debt management
Effective Debt Management Holds the Keys to Small Business Cash Flow and Growth
December 8, 2023

Effective debt management through a robust accounts receivable system is essential for small business cash flow and growth, necessitating automated payment schedules and strategic policy adjustments. Collaborating with a collection agency as a strategic partner can enhance revenue recovery while preserving positive customer relationships. How critical is effective debt management for the financial health […]

Read More