California Gov. Gavin Newsome signed into law a new measure that will require many companies using independent contractors to hire them as employees and provide benefits, dramatically changing the economics of the gig economy in ecommerce delivery. Deliv got ahead of the law in June by hiring its California workers.
As consumer behavior shifts and omnichannel retailing grows, retailers are getting closer to customers to improve service and help ensure profitability. Increasingly, they look to four key areas where shifts can make fulfillment more efficient: Retail footprint; manufacturer direct shipping; 3D print & ship; and pickup sites.
The use of automated lockers for ecommerce deliveries is moving beyond BOPIS applications, with adoption growing in apartment buildings, public transportation areas and even mobile tests. To that end, a shared locker pilot program by the University of Washington’s Urban Freight Lab and Seattle DOT will be expanding next year.
The U.S. Postal Service reported a drop in its parcel volume for the first time in nine years during its third quarter, as major customers like Amazon continue to shift business away from the USPS and take on some of the deliveries themselves. However parcel revenue was up thanks to rate increases and a DIM adjustment this year.
FedEx has partnered with discount retailer Dollar General, offering dropoff and pickup services at 8,000 Dollar General stores by the end of 2020, giving it rural penetration it lacked. Along with its own stores and partnerships that also include Walgreens, Kroger and Albertsons, FedEx now has a network of 62,000 locations.
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.
Firing back at Amazon’s move less than three weeks ago, Walmart is now offering free next-day delivery to customers in Phoenix and Las Vegas, with plans to expand to Southern California within days and 75% of the U.S. population by the end of the year. Walmart’s deal is mostly free: There’s a $35 order value threshold to qualify.
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.
Nearly all supply chain managers responding to a recent survey by Convey and eft Supply Chain and Logistics Business Intelligence said they consider customer experience to be important when measuring last-mile performance, while two-thirds of them say they’re held accountable for standard customer experience KPIs.