This program allows Walmart to sell its products more effectively to customers who are rarely at home during the day. Also FedEx Office delivery significantly reduces the cost of delivery of large and heavy items making Walmart's site-to-store via FedEx Office a major advantage for online sales.
Randy Scarborough, vice president of marketing for FedEx Office comments to the Wall Street Journal clearly indicates that FedEx Office is looking at parcel pick-up as a significant new revenue stream for its FedEx Office division. He stated that FedEx Office expects "other large retailers to take advantage of this." He further noted that FedEx is planning its "physical network to accommodate this because we do anticipate additional demand."
The current experiment most likely is focusing on:
- removing the logistical kinks in the process both within the FedEx distribution networks and within the FedEx Office retail locations,
- help FedEx determine the revenue that a FedEx Office location will receive for acting as a parcel delivery location and
- help Walmart identify the customers and products that are most likely shipped to a FedEx Office location and which ones still require home delivery.
5 comments:
Makes perfect sense. 99% of my purchases are made on-line and delivered to my home. Brick-and-mortar retail (except for things like gasoline, groceries, etc.) is dead to me.
I live in a neighborhood where it's 99% safe for a shipper to leave a package on my front porch. It will still be there when I get home. But not everyone has that luxury. And even I would welcome the opportunity to designate a "pick up point" if I choose.
There are no Post Offices (or UPS stores, for that matter) along my daily commute. I would welcome shippers partnering with area businesses, or the kiosks mentioned on the article.
There's a post office in every town..not on my commute? must be one very close and problely more than 1..fed ex store maybe 1 in every 25 towns in the area
Thanks for your article! I appreciated that would come back later
I am a USPS employee who is married to a FEDX senior person.
FEDX has a unique workroom business model.
5-6 employees work in groups with a manager, whom the curriers evaluate for the company. This model produces keen team work ethics.WHEREAS, USPS & UPS still use the 1880s business model of punish and threaten for productivity.
Hi,
Usps and ups is still use the 1880s business model of punish and threaten for productivity. Thanks...
Parcel Delivery
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