Amazon will no longer deal with FedEx
Amazon and FedEx, both are king in their own industry. Bt these kings are also rivals of each other. Since Amazon launched its own shipping network, the FedEx business got in danger about leaving behind. When Amazon announced single-day delivery, FedEx also announced Sunday delivery. When Amazon launched delivery robots, FedEx also launched the SameDay robot. The companies have had a thunderous relationshi[p of late.
Even though they are rival FedEx kept working with Amazon. But in passed June, FedEx announced that they won’t renew their contract with Amazon, as their business is probably going in vain which they are not ready to accept. In August, FedEx announced that they would let it’s ground ship contract expires at the end of the month too.
Amazon has allowed third-party sellers to use FedEx to deliver their prime products on a daily basis. The expiration of FedEx contracts with Amazon is really gonna hit hard to the small businesses on Amazon. The badest part is this that, this moment comes in the month when more products are supposed to deliver then the rest of the year. Even Christmas and Thanksgiving don’t have many days in between, which means less time and more inventory to deliver.
“limits the options for those small businesses on some of the highest-demand shipping days in history,” a FedEx representative said.
Now that those businesses will have to use other shipping methods, this ice month will cause their deliveries to delay too, which will lead to angry customers.
FedEx said they want to focus on other E-commerce partnerships now. They have contracts with Walmart (WMT) and Walgreens (WBA) for next-day shipping and a partnership with Target (TGT) that allows it to use stores as local shipping hubs.
An Amazon spokesperson said that the company is managing cutoffs for delivery by Christmas and want to ensure that customers receive their packages on time. TechCrunch has also contacted FedEx for comment. But still, Amazon lets his sellers use FedEx’s pricier and faster Express services, including air transport, fo Prime deliveries. Other options like FedEx Grond and Home delivery are temporarily restricted for sellers. Prime shipments remain available for non-Prime shipments.
Do you sell any product on Amazon? Or did you just order some Prime products from Amazon? What will be your reaction if the got delayed because of these crises? Please share your belief in the given section below.