Delivery Logistics Industry
Thought and Leadership
In 2013 alone, an estimated 2 million packages went undelivered by UPS and FedEx. What should have been their best month of the year turned into an unmitigated disaster. While UPS and FedEx have taken steps to ensure that this holiday fiasco never happens again, their shortcomings required them to lower their profit forecast for the following year.
Earlier this year, Walmart sold off some of its Chinese eCommerce assets to a local Chinese company - seen by many as Walmart's capitulation that they could not compete in a market as "difficult" as China. However, we now see that China is being far more aggressive in the Chinese market than anyone had imagined.
We've written extensively about Amazon and their ever-more-obvious plan to phase out reliance on third party partners to do last mile shipping. Most recently, The Wall Street Journal took a deeper look at Amazon's shipping and logistics operations and found that, due in large part to massive growth in building of warehouses all over the US, the company now does its own deliveries in at least 21 states.