Would you provide a customer service at a loss, while they build their own service to compete directly against yours?
Federal Express is saying goodbye to #Amazon, as it announced it will not renew its ground delivery contract at month\’s end. They\’ve already parted ways on air service. Amazon has for years been expanding its #distribution network. #FedEx has been doing the same, in response to customer demand for near-instant #e-commerce #deliveries, driven in most part by Amazon itself. So for FedEx, it was time to say goodbye, as Amazon\’s push accounted for 1.3% of revenue, and running many services at a net loss.
PS-CNN predicts the number of home deliveries will double from 50 to 100 million by 2026. Check out my article TORRENT of STUFF: The Last-Mile Transportation Future ©; did I get it right?