And the ground fleet growth has been significant as well - at least they've moved on from the sketchy dented white vans covered in dirt with no branding to the amazon branded vans (still run by contractors).

"Morgan Stanley estimates Amazon is delivering roughly 46% of the items ordered through its U.S. site today — a total of 2.5 billion parcels in 2019. Amazon Logistics' share of its own orders doubled in 2019."

Whoever thinks Amazon is not showing up to play in the delivery space is on something.

 

Think it depend on your location. We still have white , Budget and Hertz vans all over the place. I think they franchised out the local delivery stuff and the must have some overlap as there are so many of them. I had made an order of like 8 items the other day and 3 different vans made delivery.

 

Amazon to deliver 3.5 bln packages through own network in 2019

BY Reuters
— 12:57 PM ET 12/19/2019

Dec 19 (Reuters) - Amazon.com Inc. said on Thursday it was on track to deliver 3.5 billion customer packages globally this year through its in-house delivery network.

Amazon, with its growing network of delivery planes, trucks and vans, is regarded as a potential long-term threat to FedEx Corp (FDX) and United Parcel Service Inc (UPS), both of which have long counted the e-commerce company as a customer.

A Morgan Stanley analysis from last week estimated that Amazon (AMZN) logistics delivered about 20% of company's packages last year and nearly 46% in 2019 through August.

The brokerage estimated the Amazon ( AMZN) delivery network will move 6.5 billion packages for the company by 2022, more than UPS at 5 billion and FedEx (FDX) at 3.4 billion.

Amazon (AMZN) said it now has 150 U.S. delivery stations employing more than 90,000 people. (Reporting by Munsif Vengattil in Bengaluru; Editing by Shinjini Ganguli)

I guess we will have to wait until 2022.......

 

Thank you, ATI.

 

(Cut and paste of small part of another article)

The clean-sheet, technology-driven innovation at Amazon, coupled with cheaper capital, has caught FedEx flatfooted.

Amazon:

Has the most on-time deliveries the week following Black Friday: FedEx 90%; UPS 93%; Amazon 94%. Charges $80 for 600 pounds of boxes from a seller's warehouse vs. $104 at FedEx and $160 at UPS.

In Q4, Amazon will invest $1.5 billion in its one-day shipping initiative.

 

I don't get this. FDX delivers 3.4 billion packages and it has a fleet of nearly 400 aircraft but Amazon delivers 3.5 billion and only has 50 aircraft? How is this possible?

 

Amazon isn't a true express package delivery company like FDX that can deliver something from one side of the country (or world) to another in 18 hours via their air network, they are a retailer that stocks dozens of massive fulfillment centers across the country where the bulk of their last mile shipments originate and uses airplanes to move stuff between fulfillment centers.

 

True for now, but here is something to consider; from another article from viox:

Additionally, Amazon has begun offering a shipping service — dubbed Amazon Shipping — to merchants in some areas that would include non-Amazon deliveries as well, putting the company into direct competition with its current big partners like UPS and USPS. In these instances, Amazon would act in many ways like a traditional shipping company, handling everything from picking up orders at a merchant’s warehouse to executing the final delivery to their customer’s door. Morgan Stanley estimates that Amazon Logistics could be handling 1.5 billion to 3.5 billion non-Amazon packages by 2022, adding at least $7 billion in revenue to Amazon’s overall business.

 

The numbers seem odd. but the answer is likely ground vs air, 1 day vs 2 day vs 3-6 day. Faster means more air. But those numbers are probably apples to oranges somehow.

 

For what? Atlas, Southern, ABX all move Amazon also. Just don't use the bag tags or tell anyone.