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That is due to Amazon's contracts with UPS to ship a certain percentage of shipment volume in order to lock-in given shipment cost rates that are below retail p
by thesuperbigfrog 7y ago
That is due to Amazon's contracts with UPS to ship a certain percentage of shipment volume in order to lock-in given shipment cost rates that are below retail prices.
Amazon also keeps relability and transit time metrics on all of its shippers. I would guess that UPS has historically provided more reliable delivery for lower cost compared to FedEx, thus the volume shipping agreement with UPS.
- djsumdog 7y agoThey're not really comparable services though. FedEx focus is on time sensitiveness deliveries (over night/2-day/etc) as well as fast international deliveries. Ground is a major part of their business, but it's still secondary. UPS primary focus is ground, with overnight there to stay competitive. Does Amazon have minimum contracts with UPS? Seems like they wouldn't if they're below 10%.
- Majromax 7y ago> Amazon also keeps relability and transit time metrics on all of its shippers. I wonder how reliable those metrics are. I've repeatedly been told by Amazon support that I need to wait for about 24 hours before complaining about a missing package, incorrectly shown as delivered. Sometimes the package has indeed shown up later, sometimes not. But if couriers get a 24 hour grace period after marking a package as delivered, the aggregate reliability/transit metrics can't be very credible.