Transportation and supply chain provider Ryder System has unveiled a new ecommerce fulfillment service offering designed to compete with full-service platform like Amazon and Google as well as major carriers by providing a soup-to-nuts system for shipping directly to customers.
Ryder’s new service includes two new purpose-built, multi-client fulfillment centers in Perris, CA and Fort Worth, TX, as well as the expansion of an existing facility in Douglassville, PA. All three will be operational by May. The solution has been piloted by a small appliance manufacturer.
With the new ecommerce fulfillment network in place, Ryder says it can deliver both small and large packages to 95% of the U.S. in two days or less, the new bar set by Amazon Prime’s guarantee. Its existing network of 136 facilities enables last-mile, white-glove delivery for big and bulky goods to 95% of the U.S. and Canada in the same two-day window.
“Just ahead of the peak holiday season, we transitioned our client from a third-party marketplace to Ryder’s ecommerce fulfillment solution and immediately delivered double-digit, week-over-week volume growth,” said Steve Sensing, Ryder’s President of Global Supply Chain Solutions in a statement. “During the period of Black Friday and Cyber Monday, Ryder delivered a 268% increase over expected volume and achieved 99.9% on time and in full (OTIF) shipping accuracy.”
Other features of Ryder’s offering include streamlined onboarding, outsourced HR, call center and IT capabilities, a proprietary OMS and WMS, reverse logistics and value-added services (private labeling, bagging, gift wrapping, handwritten notes and engraving). While Ryder has its own delivery fleet the new ecommerce fulfillment service will remain carrier agnostic, allowing customers to use other transportation providers as well.
MCM Musings: With two-day delivery nationwide the established table stakes for ecommerce fulfillment, sellers are constantly looking for new ways to meet the heightened customer expectations. This is leading to a bumper crop of service and solution packages like this one designed to cater to merchants’ needs and challenge the market share of established players.
Another externality of the Prime Effect. Everyone wants their products in 2 days and will pay to get it quicker!