How Amazon could dethrone UPS and FedEx's duopoly in the US last-mile delivery market |  |
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When it comes to delivery, consumers generally donât care which company shuttles products to their door. What they do care about is timeliness and speed, two promises around which Amazon has built the foundation of its brand.
And yet, the e-commerce giant must rely on the duopoly of UPS and FedEx to deliver on those promises — for now. Amazon is in the midst of trying to solve the tricky âlast mile,â when the courier brings the product to the consumerâs doorstep. The retailer has been building out its own logistics capabilities to ensure it can deliver on its two-day shipping promise, which poses a large threat to the duopoly.
But is it working?
Business Insider Intelligence examines that question in The Amazon Fulfillment Report, which:
- Outlines Amazon's current shipping and logistics footprint and strengths that it would bring to the last-mile delivery space in the US
- Lays out concrete steps that Amazon must take if it wants to launch a standalone last-mile delivery service, including how it can offer a more memorable, higher-quality delivery experience than UPS and FedEx
- Illustrates how Amazon can minimize operating costs for a delivery service to ultimately undercut UPS and FedEx's shipping rates in the last-mile space
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| | | The Amazon Fulfillment Report
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