2020-03-02
Category:
Author:
Rob

Amazon has decided to rent vans to do their local deliveries by use of the contracted workers
who take a short of halting and dropping the packages and pulling off. The trailers happen not to
have neither a logo nor fuss. The decision by Amazon to venture in this sort of delivery is
inevitably posing direct effect as far as market disruption is concerned. Kim Blaylock, the owner
of a shipping business called Goin' Postal, acknowledges that Amazon's venture in delivery
brings some variations though, there won't be much of a difference since the distributions will
still be made even if one is available at the house or not.

Amazon remains one of the largest companies, and it's not known for shallowly operating in
already existing established businesses. Instead of depending on companies like FedEx Corp.,
UPS Inc., or U.S. Postal Services, Amazon built its own logistics infrastructure in addition to a
warehouse to have full control of their deliveries. There often have been discussions over
Amazon’s tech plan in the future on if they would decide to use drones.

Amazon is now using contract drivers to make the last-mile deliveries by use of rental vans to
homes and businesses that have been spotted in St. Joseph, in the recent past, according to
Blaylock. The significant change would be the fact that the vans have nothing showing that they
are from Amazon, and this will raise eyebrows though the goods will be tracked through
Amazon.

Other companies are closely monitoring the progress of Amazon, and most will be affected if
Amazon decides to handle its returns as well. FedEx declined renewal of partnership contract
with Amazon as they increasingly become more competitive with each other. FedEx released a
statement saying that there is lots of room for growth in e-commerce, an increase from 50 million to 100 million packages a day in the U.S by 2026 and FedEx are prepared to provide the services to thousands of customers.

The U.S. Postal Service will also face stiff competition from Amazon since people in St. Joseph
has made requisitions as to whether mail deliveries would be done daily for every route. Stacy
Hopwood claimed that some people who used to receive emails daily would at some point miss
for a day or two since first class mail has suddenly gone down due to electronic communication
amongst other factors.

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