Heading in the home stretch of the holiday peak season in an extraordinary year, and past the cutoffs for Christmas delivery by ground at major parcel carriers, transit time performance is holding up well even though expected delays reports are popping up. Vaccine delivery and heavy weather are compounding matters.
FedEx is acquiring ecommerce platform ShopRunner, which offers subscribers guaranteed two-day delivery for $79 a year, looking to bolster its ecommerce offerings and bulk up in the battle against ex-partner Amazon, which is expected to restart 3P fulfillment in 2021. ShopRunner, based in Chicago, will be operated as a subsidiary.
Amazon and Best Buy are both touting their expanded network of alternate pickup locations to deal with the holiday crush ahead of Black Friday, giving shoppers more options for getting their stuff fast. Amazon said it has Hub locations in more than 900 cities and towns, while Best Buy’s network is over 16,000.
A decline in delivery performance in certain lanes has led Amazon to restrict use of FedEx Ground and Home Delivery for Seller Fulfilled Prime orders, according to the Memphis Commercial Appeal. Overall on-time performance of carriers is already being challenged even ahead of the traditional start of peak season.
This peak holiday season will be unlike any before, and brands must adapt accordingly. These unusual circumstances need to be met with creative solutions. Here are a few ways to avoid this scenario by looking at alternative last-mile delivery options that will keep both consumers and brands happy.
ShipMatrix, a provider of software and services for parcel shippers, has created a new offering that aims to address the massive problem of a shortfall in major carrier capacity this holiday season by making it more attractive for shippers to use the U.S. Postal Service for lightweight items.
Walmart is planning to launch a pilot for autonomous delivery in Scottsdale, AZ early next year, through a partnership with Cruise, which is majority owned by General Motors, the latest wrinkle in the ongoing push toward driverless delivery.
Amazon is adding perks for its legion of thousands of crowdsourced delivery drivers through the Flex program, creating a rewards program that includes things like a cash-back debit card and the ability to earn access to more desirable routes and slots.
For retailers, massive holiday ecommerce this year raises the prospect of more customer complaints, lost package claims, returns due to delays and possible shipping fraud as harried customer service agents try to keep shoppers happy by making post-order changes. Here’s how you can plan now to keep holiday customers happy.
Three out of every five parcels shipped in 13 major world markets is originating from China, and Amazon shipped more than 1.9 billion parcels in the U.S. alone in 2019, a 155% increase contributing to a five-year CAGR of 30%, according to Pitney Bowes’ annual parcel shipping index.