E-commerce Retailers Are Shipping Directly, Cutting Out The Middle Man
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E-commerce retailers are cutting out the middle-man to ship direct to consumers.
Though the shipping industry is complex, carriers are not doing an acceptable job meeting demand, Business Insider reports.
Last Christmas, for example, FedEx had to deliver 15% more packages compared to the year prior, and could only deliver 95% of those on time. That’s more than UPS did. The carrier delivered 10% more packages in 2015 than the year prior and only delivered 91% of those packages time.
That stirred up a lot of problems, since retailers bear the brunt of blame from customers.
Amazon and Walmart—two e-commerce leaders—are building out their own delivery and logistics services, Amazon recently expanding its shipping services to China and North America. [BI]