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The "Night time Delivery Service" sounds like it could be a big business. The trend in logistics lately is getting closer and closer to same-day shipping. A "N
by jonmrodriguez 13y ago
The "Night time Delivery Service" sounds like it could be a big business. The trend in logistics lately is getting closer and closer to same-day shipping.
A "Night time Delivery Service" could help start in one city and expand to others. The existence of Luna in SF shouldn't dissuade anyone from starting the same thing in a different city, because it will take years for any one player to expand and colonize more locations. If anything, Luna is at a geographic disadvantage due to SF's high wages.
The way you use Luna seems very convenient, which is that the customer has the package shipped to Luna by any shipping service, and then once it arrives there, Luna does same-night last-mile delivery for $7. This is nice because it can interface with any existing shipping service without the need for Luna to win any contracts.
Eventually, once a company like this is starting to scale, they could aim to get a contract with UPS, FedEx, DHL, or USPS to pick up packages directly from the UPS/whatever warehouse, saving both time & money for all involved.
If the company wants to exit they could sell to Amazon.
The company might have to pay a wage premium because the work is at night, but then again, in this economy maybe the workers would just be happy to get a job (and the hours involved would make it a great 2nd job). Also, compared to daytime shipping services, the nighttime company would be more productive per hour due to its drivers facing less traffic.
- fourstar 13y agoAs much as I love this idea (being a night owl by nature), I find it hard to think that UPS, FedEx, etc. would give up the holding power they have to a possible competitor. Btw are you talking about Luna as in the nutrition women's bar?
- jonmrodriguez 13y agoLuna is the company linked to in the article. http://thenextweb.com/apps/2013/12/03/lunas-moonlit-delivery-service-ships-packages-youre-actually-home-night/ http://thenextweb.com/apps/2013/12/03/lunas-moonlit-delivery...
- fourstar 13y agoMost times I just read the comments and then read the article. Now I feel dumb, but it's my version of reading the book from back to front.
- yinyinwu 13y agoI think it's an interesting concept, but it'll be difficult for Luna to work because you'll need to scale by building a warehouse in every new city. For consumers, you are also competing against free. Why pay $7 when UPS or Fedex will come back another day?
- jonmrodriguez 13y ago> you'll need to scale by building a warehouse in every new city That didn't stop the existing players who are successful now, when they were first growing. Remember that a warehouse can start small and simple with maybe $1,000/mo of rent at small scale & non-prime location. > you are also competing against free Yep, this seems like the main problem. I think the solution is to find additional ways to add value. For example, one thing that is very frustrating when you have to receive a package that requires a signature is that the major carriers all REFUSE to call your phone to tell you when they have arrived. So if you don't hear the doorbell ring, or if the person can't get in to your apartment building, it's a missed delivery and you're out of luck. Luna could seize this opportunity by being the one last-mile service that WILL happily call your phone when they arrive.
- thmcmahon 13y agoWe're at an early stage of doing this exact thing in Sydney dlvry.com.au We're not sure how it will work with labour costs and with a sinking Aussie dollar (which will reduce online shopping), but I think we'll learn a lot regardless as a first start-up.
- jonmrodriguez 13y agoAwesome! Go kick some ass! As I mentioned in a different comment in this thread, I feel like it would be a nice value add if you would be willing to have your delivery person call the customer's cell phone when he's at the building (if the customer requests this)
- thmcmahon 13y agoYeah that's what we'd do. Initially COD seems the easiest way to do things with an iPhone POS.
- lukeholder 13y agoMy friend set this up as a night job in our small town and people love it. I told him to start getting other people onboard but he thinks its more fun than a business. http://ninjadeliveries.com/ http://ninjadeliveries.com/
- lindig 13y agoI would like this as a consumer but believe it is difficult to establish as a business. Delivery companies like FedEx, DHL or national mail services could offer it and there would be no way to defend your business against them. Also: wouldn't such a business have the same problem as existing companies with some customers not being around?