US Postal Service Loses $2 Billion, Can Same-Day Delivery Help?

The US Postal Service has tried to turn the tide in the recent years and everything appeared to be head in the right direction. However, the earnings for the second quarter has the mailing company holding its' head down for the moment.

With some disheartening figures, the US Postal Service lost $2 billion in the 2nd quarter of this year. The losses were between April and June. This is a huge difference from a net loss of $740 million during the same period in 2013. Therefore, its' losses more than doubled in direct comparison. One contributor to the hit is the falling use of first-class mail, which use to be a key profit maker for the USPS. It fell 1.4 percent, yet was offset by the 3.2 percent rise in revenues for the same product

Joseph Corbett, the USPS Chief Financial Officer and Executive Vice President, did comment on the stunning numbers, yet appears to be focused on the operational needs as the solution. "To continue to provide world-class service and remain competitive, we must invest up to $10 billion to replace our aging vehicle fleet, purchase additional package-sorting equipment, and make necessary upgrades to our infrastructure". The delivery fleet is one of the competitive advantages for the company, which it can't do without, especially because its' trucks can be used for other business ventures.

These figures were staggering the company attempting to regroup and make a comeback from multiple years of high-digit losses. The USPS says the big hits are a result of the government's requirement to reserve billions to ensure that its' retirees have their future health benefits. The payments are made in installments of $5.7 billion, which it has already defaulted on three of its' payments, as another payment is due September 30th, which is weeks away. It can be challenging to get ahead with these constant payments required and the USPS finds what little revenue it has received since last year to quickly turn into losses.

The mailing company attempted to be innovative last year, launched PostMate, which offering same-day delivery of packages and other items. It also began working with Amazon to provide deliveries as well. Amazon knows that the USPS has the delivery system it takes to really nail down a solid foundation for delivering online orders the same day. It definitely has the robust fleet size it takes to perform same-day delivery in multiple US cities nationwide.

Can same-day delivery help the US Postal Service? With the growth of same-day delivery throughout the US, all the company needs is a strong partnership coupled with a strong business innovation in regards to e-retail. Amazon, Google, eBay and more all desire a grounded delivery fleet. The USPS appears to turning more and more towards innovation to get out of the red, which just might work. Any company can partner with a Same-Day Courier like A-1 Express and implement same-day delivery for online order fulfillment. The New York Courier has the expertise and delivery system it takes to help any company thrive delivering products the same day.

Reference: 8.12.14, www.msn.com, Elvina Nawaguna, U.S. Postal Service loses $2 billion in second quarter

Why Are Big Retailers Pursuing Same-Day Delivery?

There are a lot of retailers out there that aren't playing around when it comes to same-day delivery. These retailers have become very serious and focused about utilizing this level of service. Big retailers are definitely after the service, as two of the biggest have thrown blow for blow in the ring of retail competition. The latest news from some of them let's us know that same-day delivery must have the right key to unlock major sales, especially online, in the years to come.

Google just announced that it will begin rolling out same-day delivery of books for the biggest book retail store chain around--Barnes & Noble. The Nasdaq reported that Google is competing with Amazon for online book territory. The two retailers will be offering the service in Manhattan, West Los Angeles and in the San Francisco peninsula. Barnes & Noble is now joining the ranks with Target, Costco, Staples, Wal-Green's and more that have partnered with Google Shopping Express to get their online sales moving upward. After Barnes & Noble had to close 63 stores and Amazon's success in gaining a good portion of the digital book market share, the company had to do something different. Amazon has been like a fast-moving train against the book retailer and now it teams up with Google to make a comeback.

Barnes & Noble CEO Michael P. Huseby said in The New York Times why it made the deal with Google. Huseby stated the deal was "a test" that he viewed as a way to increase the bookseller's online reach and improve sales from its physical stores. "It's our attempt to link the digital and physical", he stated. Google is helping other physical store retailers do the same thing, and so the same-day delivery service is now in hot pursuit. It is also a way to compete on Amazon level, which recently expanded its' same-day delivery reach in 6 more US cities.

Barnes & Noble's service with Google will offer customers a choice of these same-day delivery windows: 9am to 1pm, 1pm to 5pm and 6pm to 10 pm daily. These windows are wide enough to pick up and deliver books on time as well. Google Shopping Express will have its' employees at Barnes & Noble ready to get the customer's order and deliver it to the final destination.

Google's approach to same-day delivery is partnering with brick-and-mortar retailers that already have the physical stores that act as order fulfillment centers to meet online demand. This removes an extra expense for Google, yet at the same time, it will utilize a Same-Day Courier to pick up and deliver the online orders. On the other hand, Amazon has strategically built warehouses to create a very comprehensive network for sourcing these items and will use its' own trucking fleet to deliver them. With these logistically-efficient warehouses in close proximity to big US cities, Amazon feels confident that their business strategy will beat out the competition.

Same-day delivery via Google's Shopping Express could be what Barnes & Noble needs to compete online. Amazon and Google aren't the only ones chasing same-day delivery, even Wal-Mart, eBay, Macy's and others all offer some form of the service. It is in pursuit because of e-commerce and technology are changed the way we have to do business. More and more physical store retailers have to shift to survive and thrive. Shoppers are at home now , therefore, retailers have to come to them and make it attractive online. A-1 Express is a Charlotte Courier that can help retailers thrive this year.

Reference: 8.10.14, www.nasdaq.com, Motley Fool, Can Same-Day Delivery of Books Help Google Take on Amazon?

Barnes & Noble Partners With Google For Same-Day Delivery

Google matches Amazon again as it moves forward with same-day delivery in an area that will certainly help one large book retailer in a big way. CNN Money recently reported that Barnes & Noble has partnered with Google to provide same-day delivery. The two retailers will work together to offer the service in Manhattan, West Los Angeles and the San Francisco peninsula.

It is an interesting, yet unsurprising concept that Barnes & Noble has decided to venture into with Google. The book retailer may be turning all of the stores within those cities, including the Manhattan Union Square store in New York City, into an actual warehouse in which Google will deliver books for the company same day. This gives us insight on the wave of innovative selling that same-day delivery is injecting into the retail industry for brick-and-mortar stores.

Jaime Carey, Barnes & Noble's chief merchandising officer, stated in the report, "The way the program is set up, they're using our local stores as the hub for this". Google employees will essentially pull the books for Barnes & Noble shelves, then give them to Google couriers who then deliver the books to the end customer. This is a set up that will probably work, as a Same-Day Courier like A-1 Express will have the delivery expertise and routing optimization tools to get it done. As more and more books are ordered, a strong delivery base will be a must.

Barnes & Noble will have delivery windows for customers to choose from. The windows will be 9am to 1pm, 1pm to 5pm and 6pm to 10 pm daily. The report didn't state any information regarding any time constraints in which the customer must placed their order. However, these windows are wide enough for couriers to pick up and delivery books on time. Couriers are use to delivering within very short windows, therefore, Barnes & Noble should be able to create a good foundation for same-day delivery, including working our any kinks that arise.

Online customers are now who Barnes & Nobles has its' sights on, as same-day delivery will give it the market entry strategy it needs. "For us, it's fantastic that we can bring new customers to those local stores," Carey said. Online retail has consistently grown 16% in recent years and is getting stronger, therefore, it's a good move for Barnes & Noble to venture into the market. Also, being a brick-and-mortar store with today's e-commerce just won't due any more. Your strategy has to be dual, aggressively pursuing business from both physical store and e-retail fronts.

Google's Shopping Express is proving to open doors for the retailer to get it's same-day delivery service in the hands of other physical store companies that need help selling their products. It appears this is the objective for partnership with Barnes & Noble. With the convenience of technology, customers are able to order online with ease and from anywhere. Therefore, it gives reason to not have to leave home, but rather save time and gas to do other things. A-1 Express is a New York Courier that retailers like Barnes & Noble can turn to deliver books nationwide.

Reference: 8.7.14, CNN Money, Aaron Smith, Barnes & Noble teams with Google for same-day delivery

Amazon Launches Same-Day Delivery in 6 Major Cities

It hasn't been an easy race for many e-retailers to keep up with Amazon, as the robust online company has outpaced many with its' marketing and distribution expertise. One of the areas Amazon began becoming very vocally aggressive about since last year was same-day delivery. From same-day delivery drone use to Sunday deliveries, Amazon is now withholding nothing. From it's latest major move, it's very clear that the Amazon and nationwide same-day delivery assumptions of many experts have been right all along.

Amazon has announced the expansion of same-day delivery in 6 major US cities. The "Get It Today" same-day service will be offered in New York City, Dallas, Baltimore, Indianapolis, Washington DC and Philadelphia within the metro-populated city areas. The e-retailer will be offering a million eligible items beginning today. Seven days a week, all orders placed by noon will receive their online items the same day. Customers will have at their disposal numerous of products, including video games, movies, last-minute travel needs, fix-it needs, back-to-school supplies, baby wipes,electronics, and more.

Prime members will have the first good draw at a low price for the same-day service. For $5.99, members will be able to order all of the items they want. Non-prime customers can still get their items same day, yet their charge is $9.98 for the first item and $0.99 for each additional item.

The same-day service will be easy for shoppers to get to on Amazon's site. Within the Amazon product selection, shoppers will have available a "Get It Today" filter, which shows all of the items that can be purchased and delivered same-day. Amazon also has "Get It Tomorrow" filter for millions of more items that can be delivered next day. Many customers want their online shopping to be quick and easy, especially when its' done via pad or smartphone. These site options by Amazon make for fast shopping, and is now backed with fast delivery.

Amazon appears to be very excited about the new roll-out and what it will ultimately offer its' customers. Greg Greeley, Vice president of Amazon Prime, stated in the report, "Imagine how much time you will save now that you can get sunscreen, memory cards, toothpaste, hit movies, text books and HDMI cables all delivered to your home in hours, seven days a week, in one order from Amazon. New convenient pricing also allows Prime members to fill up their same-day shopping cart with everything they may need for one low price. With more than a million eligible items, we aim to offer the largest same-day selection at the lowest price.”

The new expansion of same-day delivery may involve Amazon's new Firefly smartphone. Firefly has an element about the phone specific for Amazon.com shopping, which allows users to scan actual physical objects at retail stores and shop at the same time. It also recognizes almost 100 million objects via a visual database. Therefore, a shopper using Firefly can find an item in a physical store they are considering buying, phone-scan it and automatically see all the listings on Amazon.com for it. The flexibility then comes in when that customer can now order from Amazon, then "Get It Today" delivery and have it waiting at their door step before they get there.

With same-day delivery being so heavily pursued by Amazon, the heavyweight retailer could partner with a same-day courier service like A-1 Express to perform its' deliveries. The New York Courier has a nationwide footprint and utilizes the latest in courier technology that enables it to deliver fast.

References: 8.6.14, Yahoo Finances, Amazon Same-Day Delivery Expanding - “Get It Today” Available in Six More Cities

Dangdang Launches Same-Day Delivery In 400 China Cities

Service has equated to speed until now in today’s evolving business structure. If anyone thought same-day delivery was only becoming a household name in the US, they will definitely be surprised by the way its’ thriving elsewhere in the world. Amazon, Wal-Mart and others aren’t the only e-retailers implementing same-day delivery. Slide over and make room for China’s Dangdang.

Dangdang has announced that it has officially launched “Super Speed Delivery” in 400 cities in China. Dangdang has coined the catchy service name “111 super speed delivery” in China that shoppers have become familiar with. The term means that Dangdang orders placed by 11 am, will be delivered within 12 hours, which is its’ version of same-day delivery. Orders placed by 1am, will be delivered within 24 hours. Therefore, Dangdang offers two types of service within its’ 111 super speed delivery.

This is an explosive move for the company, yet it only made sense in comparison to what Dangdang has already built, and building, to support it. The company has 29 warehouse centers and has plans to build 16 more by year’s end. In a recent report from the company’s website via Yahoo.com, Dangdang stated its’ mode of operation can simply be termed as “self-built warehousing plus external logistics cooperation.” Dangdang is focused on cooperation and its’ growth will essentially convert into growth for many logistics express companies.

As some US e-retailers have done, Dangdang is not handling the delivery logistics aspect of super speed delivery by itself. The same day the company announced its’ commitment to servicing 400 China cities, Dangdang stated in the report that it also signed strategic agreements with large logistics corporations in China to improve delivery speed and service. Without its’ own delivery fleet and expertise, no e-retailer with a service this robust can be successful alone. It makes sense to partner with delivery companies to handle the foundational implementation of the service, while Dangdang handles the rest.

Dangdang is after speed and efficiency, which are two ingredients their supply chain needs to make this service sustainable. Centralized storage and value-added services of nationwide unified delivery were also mentioned in the article, as well as the company will allow couriers to enter their warehouses and sort orders. Amazon certainly has some commonalities with Dangdang relative to building warehouse centers in the right places to create the most effective delivery system. Even Google and eBay have partnered with store retailers, which their physical locations essentially act as centralized storages to fulfill customer online orders.

Online retail is an emerging business strategy to increase sales, especially for brick-and-mortar stores seeking to get their product to move. Same-day delivery is meeting the convenience demand of shoppers and Dangdang has made a very aggressive shift in China business with it. One can only imagine where the company’s business will expand into next. The US market probably is attractive to Dangdang and a Same-Day Courier like A-1 Express could be a viable option to partner with there. The San Francisco Courier has a national footprint and can implement a delivery logistics solution for Dangdang with super speed also.

Reference: 7.10.14, Yahoo.com, Dangdang Launched "Super Speed Delivery" in 400 Cities of China