The key to that growth is that 80% of Prime subscribers pay the $120 per year for the perception of free expedited shipping. It did not become financially viable until it rolled out its Amazon Prime subscription model, and it has experienced phenomenal year-over-year growth. We are seeing a very rational, consistent progression for Amazon. Is the endgame for Amazon to go out and effectively compete with UPS and or FedEx for non-Amazon type of delivery? I don’t believe that is the endgame for them. “Is it true that Amazon is trying to build out its own delivery network? It is absolutely true. What much of this comes down to, according to Glenn Gooding, iDrive Logistics President, is that there is what he called a “massive disconnect between Amazon’s brand perception in the marketplace and reality.”Īs an example, he pointed to Amazon’s touting of delivery by drone, which can be viewed as innovative, attractive and technology-driven, but when peeling back the layers and looking at it from what called a lens of sanity, there are many barriers regarding drone usage like the FAA and DOD, local municipalities, anti-terrorism, TSA, and the possibility of counterfeit efforts, too.īut what Amazon’s touting of drones has done is serve as a great marketing vehicle to position the right type of expectations and awareness around its brand, which has translated into everything Amazon does, he noted. “And, to our surprise, these proposals are shockingly non-competitive, and do not seem to pose a long- or short-term threat to FedEx or UPS.” “There is this incredible noise about Amazon Logistics, and many believe it is a…threat to the operations and profitability of UPS and FedEx,” he said. Matthew White, iDrive Logistics strategist, told LM that while doing its due diligence with clients over the past couple of months, it has encountered small proposals from Amazon Logistics to its iDrive Logistics clients, which are not for Amazon FBA or MCF, but for Delivery by Amazon. While these proposals would act as a replacement for the aforementioned competitors, iDrive Logistics explained that this offering from Amazon is not even close to competitive on a multitude of levels, specifically pointing to onerous surcharge application with a poor service level.Įditor’s Note: An Amazon spokesperson told LM that Amazon does not have any residential surcharges or weekend delivery fees. In short, iDrive Logistics said these pricing proposals from Amazon Logistics go beyond FBA (Fulfillment by Amazon), SFP (Seller Fulfilled Prime), and MCF (Multichannel Fulfillment) and, in effect, serve as proposals that would act as a replacement for FedEx/UPS, and United States Postal Service Priority Mail. Given the frenetic pace in which Amazon has gone about setting up its logistics and supply chain operations, as well as expand its presence, this grabbed my attention, to say the least. We are an outgrowth of logistics advisory group, iDrive Logistics, and work together to help clients improve shipping processes and maximize savings.Earlier this month, I heard from iDrive Logistics, a Salt Lake City-based small package consultancy, regarding pricing proposals it had obtained from Amazon Logistics. We make label printing easy and provide insights and rewards to help businesses play their best shipping game.
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ShipCaddie is a small parcel shipping software for shippers of all sizes.
Collaborate with experienced team members.Must be flexible to manage multiple tasks quickly and efficiently.Must be comfortable working in a team-oriented environment.Must be able to demonstrate strong organizational skills.Proven communication and client management skills.Minimum 2 years’ experience in customer service (bonus for SAAS products).Develop better fraud prevention process to allow users to ship without contact with support.Develop online tutorials and knowledgebase content.Resolving more complex issues with clients faster.Assist with onboarding new clients and ensuring account settings are correct.Assist with analysis and troubleshooting of issues.Assist with software demo with future clients.
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