FedEx Cites Amazon Competition for the First Time in 10k

| Mike O'Brien

Despite public pronouncements from FedEx Chairman and CEO Fred Smith that he is unconcerned about Amazon as a logistics competitor, the company used that term in its recently released annual report for the first time in connection with the ecommerce giant. Further actions by Amazon will “reduce our revenue” FedEx stated.

FedEx Reportedly Slashing Prices on Express Service

| Mike O'Brien

Close on the heels of its decision earlier this month to cut ties between Amazon and its Express air delivery unit, FedEx is reportedly offering big discounts on the service to draw in more ecommerce business and take it away from rival UPS, according to the Wall Street Journal.

USPS DIM Changes Set to Go into Effect on June 23

| Mike O'Brien

Five months after it was initially scheduled to go into effect, the U.S. Postal Service will change how it calculates dimensional weight pricing while expanding DIM pricing to all zones across its Priority Mail Express, Priority Mail and Parcel Select products. The USPS is also lowering its DIM divisor from 194 to 166, increasing the cost.

UPS Offers ShopRunner Trial to My Choice Members

| Mike O'Brien

Five months after investing in two-day ecommerce delivery and returns service ShopRunner, UPS is partnering with the company, offering a year’s free subscription to the 47 million U.S. members of its My Choice program. ShopRunner’s 100+ retail partners include Ann Taylor, Bloomingdale’s, Chico’s and Kate Spade New York.

FedEx Will Go to Seven-Day Delivery Year-Round in 2020

| Mike O'Brien

Starting in January, FedEx will make deliveries seven days a week to meet increasing demand from ecommerce shippers, while diverting about 2 million packages per year from the U.S. Postal Service’s last-mile service to build necessary density and shave costs.

SCOTUS Declines to Hear UPS Case on USPS Pricing

| Mike O'Brien

The U.S. Supreme Court declined to hear an appeal of a lower court ruling, which denied UPS’s legal claim that the U.S. Postal Service’s pricing model gave it an unfair advantage over parcel shipping competitors. In 2018, a U.S. Appellate Court in Washington, DC upheld the pricing methodology. Amazon backed the USPS in the case.

Blockchain Needs Open Source Standards to Succeed: FedEx Exec

| Mike O'Brien

In order for blockchain to succeed on a global scale in the transportation of goods, an open source standard will be required, according to a FedEx executive who heads up a blockchain alliance working toward that goal. The first standard of the Blockchain in Transport Alliance, on shipment location tracking, was published in March.

Regional Carrier Eastern Connection Ceases Operations

| Mike O'Brien

Eastern Connection, a regional carrier with a 35-plus-year history, shut down its operations earlier this month, the company announced, leaving shippers in the Northeast from Maine to Virginia looking for alternate capacity. Other regional carriers, including Lasership and CDL, stand to benefit along with UPS, FedEx and the USPS.

LSO Adds Enhanced Tracking, Route Optimization with Bringg Partnership

| Mike O'Brien

Adding a weapon in its competition with FedEx and UPS in eight Southern states, Texas-based regional carrier LSO has added route optimization and enhanced tracking and visibility through a partnership with software provider Bringg. See what capabilities this brings as well as enhanced productivity and efficiency for LSO.

Parcel Delivery Jobs Slashed in February, But Overall Trend is Up

| Mike O'Brien

Parcel delivery companies saw some post-peak falloff, eliminating 9,700 positions in February even as jobs grew in other sectors while hiring overall cooled, according to the Department of Labor, the Wall Street Journal reported. Overall 53,000 parcel delivery jobs were added in the past 12 months, and warehouse hiring also remains strong.

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