Amazon to be largest U.S. delivery service
11-30-2021 | 12:59 PM
#11
Gets Weekends Off
Joined: Feb 2014
Posts: 3,578
Likes: 48
From: Semi-Retired...
You are making the mistake of assuming that they can deliver a package cheaper than their competitors. All they have done so far is show their system can deliver that package for less cost than their competitors charge, which includes a profit margin. If they start competing for outside business they will want some profit margin. How much? I don’t know, but compared to their cash cow cloud business, it would be abysmal. At some point Amazon will decide if the delivery business is helping improve the bottom line or should be spun off. Not my circus or monkeys, should be entertaining to watch.
11-30-2021 | 04:29 PM
#12
Living the SloBus life
Joined: Jan 2018
Posts: 2,178
Likes: 92
They are not flying at a profit. They are simply trimming the loss they take on shipping compared to paying someone else to ship it. For Amazon, shipping is a cost that needs to be reduced, not a profit center. Sure they could take on outside business to fill unused capacity, but I doubt they are willing to subsidize it. Time will tell, but although I expect Amazon to expand its logistics business in the near term, I don’t see this as a long term good fit for them. In any case, as a pilot, I care about an expanding pool of good pilot jobs and am against the regional contract model making significant inroads into the express shipping industry.
12-01-2021 | 09:30 AM
#13
New Hire
Joined: Nov 2021
Posts: 6
Likes: 0
https://www.aircargonews.net/cargo-a...o-far-in-2021/
Amazon won't be a serious international competitor against UPS and FedEx until it connects its U.S. and European operations (via Leipzig).
Amazon won't be a serious international competitor against UPS and FedEx until it connects its U.S. and European operations (via Leipzig).
12-01-2021 | 09:31 AM
#14
New Hire
Joined: Nov 2021
Posts: 6
Likes: 0
12-02-2021 | 04:27 AM
#15
Line Holder
Joined: Aug 2012
Posts: 781
Likes: 14
https://www.aircargonews.net/cargo-a...o-far-in-2021/
Amazon won't be a serious international competitor against UPS and FedEx until it connects its U.S. and European operations (via Leipzig).
Amazon won't be a serious international competitor against UPS and FedEx until it connects its U.S. and European operations (via Leipzig).
12-03-2021 | 12:23 AM
#18
Line Holder
Joined: May 2013
Posts: 1,607
Likes: 4
From: No Hats No Jackets No PAX
Remember, this whole jump started 2016 thereabouts. Extremely quick gains in 5 years and they will sell open space on aircraft and will low ball as they have done everywhere to push others out and gain access thru low cost maneuvering. Billionaire’s don’t spend profit, they reinvest it and take out loans to live their extraordinary lives as their credit flow is more extreme than you can imagine, thereby circumventing taxes on their businesses and wages they do not have. They don’t take prisoners as they just dam the river upstream. It is war…
12-03-2021 | 12:43 AM
#19
Line Holder
Joined: May 2013
Posts: 1,607
Likes: 4
From: No Hats No Jackets No PAX
True, they have been running, Atlantic, Pacific, Asia/Europe/Australia for years now. Nothing new… I think even prior to FedEx 76’s when they were certified for ETOPS - 2019, maybe late 18 at the earliest. Can’t quite remember what my FedEx bud said as a 76 Capt…
12-03-2021 | 04:41 PM
#20
Line Holder
Joined: Mar 2021
Posts: 1,768
Likes: 28
Looks like other operators may be getting into cargo game
https://www.aircargonews.net/airline...ax-freighters/
https://www.aircargonews.net/airline...ax-freighters/
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