Amazon Supply Chain Services opens in US, shares in Fedex/UPS drop sharply

[Saturn1]

Today, Amazon is launching Amazon Supply Chain Services (ASCS), opening its freight, distribution, fulfillment, and parcel shipping capabilities to businesses of all types and sizes.
Leading brands Procter & Gamble, 3M, Lands’ End, and American Eagle Outfitters, Inc. are among the first to sign up for ASCS, now relying on Amazon’s logistics network across their supply chain.

https://www.aboutamazon.com/news/retail ... r-business

How long before this reaches the UK?

[SpacePhoenix]

A lot already happens here in the UK. Sometimes I'll be buying something on their site from a marketplace seller and it will say that the order is fulfilled by Amazon.

[Saturn1]

A lot already happens here in the UK. Sometimes I'll be buying something on their site from a marketplace seller and it will say that the order is fulfilled by Amazon.

Correct for orders bought and paid for on their site.

But this is about them opening up their logistics chain to outside business. So effectively they are operating like a competing courier service, hence why the value of shares in FedEx etc have dropped.

If and when this happens in the UK they'll be in direct competition with Royal Mail. Their market share of parcels was already nearing 20%, a change like this could see if go much higher.

With the level of efficiency they operate at, RM should be seriously concerned.

[SpacePhoenix]

A lot already happens here in the UK. Sometimes I'll be buying something on their site from a marketplace seller and it will say that the order is fulfilled by Amazon.

Correct for orders bought and paid for on their site.

But this is about them opening up their logistics chain to outside business. So effectively they are operating like a competing courier service, hence why the value of shares in FedEx etc have dropped.

If and when this happens in the UK they'll be in direct competition with Royal Mail. Their market share of parcels was already nearing 20%, a change like this could see if go much higher.

With the level of efficiency they operate at, RM should be seriously concerned.

I wonder if they'll end up taking ALL of their parcels in-house.