Thursday, 15 November, 2018

Move over UPS truck: Amazon delivery vans to hit the street

Monticelllo fedex ups dhl Monticelllo
Orlando Vargas | 02 July, 2018, 11:56

The program gives entrepreneurs, i.e. Amazon Delivery Service Providers (DSPs) a management fee to hire drivers, rather than Amazon doing it directly.

It announced the new program on Wednesday at a press event in Seattle.

Amazon has beefed up its delivery network in other ways: It has a fleet of cargo planes it calls Prime Air, announced a year ago that it was building an air cargo hub in Kentucky and pays people as much as US$25 an hour to deliver packages with their cars through Amazon Flex.

The post office's revenue from shipping and package services, which includes boxes from Amazon and other e-commerce companies, rose 12 per cent to $19.5 billion in fiscal year 2017 from the year before. Previous year it introduced Amazon Flex, which allows independent drivers to pick up shifts delivering packages around town. Trump has said he thinks it is a bad deal for the government.

Delivery partners who are accepted into the program could earn about $300,000 in annual profits operating a fleet of up to 40 delivery vehicles.

Through the program, Amazon said it can cost as little as $10,000 for someone to start the delivery business. Individual owners can build their business knowing they will have delivery volume from Amazon, access to the company's sophisticated delivery technology, hands-on training, and discounts on a suite of assets and services, including vehicle leases and comprehensive insurance. It's also setting aside $1 million to specifically recruit and help military veterans become partners.

Denmark and Croatia set World Cup record for fastest goals
Croatia's offense has come to life in Russian Federation 2018, scoring seven goals , but its defense has also been stellar. Denmark have a strong defence with a centre-back pairing of captain Simon Kjaer, Andreas Cristensen and Mathias Jorgensen.


Russian Federation beat Spain on penalties to reach World Cup quarters
After both teams converted their first two PKs, Russia took the lead in the third round when Igor Akinfeev stopped Koke's attempt. Jordi Alba and Costa missed efforts after the restart as Spain tried to increase their tempo.


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With these vans on the road, Amazon said more shoppers would be able to track their packages on a map, contact the driver or change where a package is left - all of which it can't do if the package is in the back of a UPS or FedEx truck.

These businesses will be treated as Amazon's Delivery Service Partners and will receive support from the ecommerce major. Amazon will bear the cost of the fuel as well and this will go down well with the drivers who have been cribbing about the losses they incur due to rising fuel costs.

But labor professors say the arrangement allows Amazon to reap the benefits of a vast delivery network without having to shoulder numerous risks and liabilities involved. Dave Clark, Amazon's senior vice president of worldwide operations, said the new program is not a response to the president, but a way to make sure the company can deliver its growing number of orders. "Having that kind of control and that kind of income opportunity for your family is something that many people are going to love and want to be a part of".

Others, though, likened Amazon's ambitions to a franchise business model, in which a company like McDonald's might handle branding and marketing, but leave day-to-day operations up to local owners.

There's probably a lot of people out there who wish they could work for Amazon considering it's one of the largest and most successful companies in the world.

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