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Print 18 comment(s) - last by headbox.. on Nov 11 at 6:27 PM

Sunday delivery service will kick off in Los Angeles and New York City

Amazon announced recently that it is teaming up with U.S. Postal Service to make Sunday a package delivery day for Amazon Prime subscribers. The service will roll out initially in Los Angeles and the New York metropolitan area.
 
“As online shopping continues to increase, the Postal Service is very happy to offer shippers like Amazon the option of having packages delivered on Sunday,” said Patrick R. Donahoe, Postmaster General and Chief Executive Officer.
 
“With this new service, the Postal Service is now delivering packages seven days a week in select cities. Customers can expect the same reliable and valued service that the Postal Service currently provides.”
 
Amazon and the U.S. Postal service plan to roll the service out to larger portions of the U.S. in 2014. Other cities that will get the service next year include Dallas, Houston, New Orleans, and Phoenix among others. Amazon says when Sunday delivery service is available; buyers will be notified at checkout.

 
“If you’re an Amazon Prime member, you can order a backpack for your child on Friday and be packing it for them Sunday night,” said Dave Clark, Amazon’s vice president of worldwide operations and customer service.
 
“We’re excited that now every day is an Amazon delivery day and we know our Prime members, who voraciously shop on Amazon, will love the additional convenience they will experience as part of this new service.”
 
The U.S. Postal Service has been losing money for years and has even flirted with the idea of dropping Saturday delivery services.
 
This partnership with the U.S. Postal Service is the latest in a string of moves by Amazon to boost the appeal of Amazon Prime. The company in a roundabout way is looking for more users to signup for the $79/year service by increasing the free shipping threshold from $25 to $35 for non-subscribers. Amazon also recently revealed its Kindle First program that gives special perks to Amazon Prime subscribers.

Source: Amazon



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I Don't Understand
By DaveLessnau on 11/11/2013 11:09:44 AM , Rating: -1
First, the USPS doesn't even work on Sunday. Second, even as noted in the article, the USPS wanted to stop delivering on Saturday as a cost saving measure. So, how are they going to deliver stuff at a profit on Sunday? Amazon must be paying them a fortune.




RE: I Don't Understand
By hughlle on 11/11/2013 11:23:53 AM , Rating: 1
Based on the cost of a saturday delivery alone, then it will probably be us who're paying the fortune for the service.


RE: I Don't Understand
By headbox on 11/11/2013 6:27:00 PM , Rating: 1
Yes, Sunday delivery will be subsidized by your tax dollars.


RE: I Don't Understand
By Brandon Hill (blog) on 11/11/2013 11:28:00 AM , Rating: 2
They work on Sundays... sometimes.

I've seen them deliver here on Sundays around Christmas time.


RE: I Don't Understand
By kattanna on 11/11/2013 11:48:47 AM , Rating: 2
quote:
So, how are they going to deliver stuff at a profit on Sunday?


because they will be delivering packages, sorta like UPS/FEDEX, not your bulk junk mail. which, if successful, makes me wonder how long till UPS/FEDEX start doing the same

at least thats what I am getting from the article.


RE: I Don't Understand
By 1prophet on 11/11/2013 12:01:40 PM , Rating: 2
Except for the fact that UPS/FedEx offloads their packages to the post office for many end destinations they deem unprofitable, can't see them delivering on Sundays unless they charge a very high price.


RE: I Don't Understand
By CZroe on 11/11/2013 4:11:43 PM , Rating: 2
Look up "Economies of Scale" and understand it. Also, they were forced to continue Saturday deliveries so by switching to 7 days a week they may be able to make the best of it. It may be even more efficient.


RE: I Don't Understand
By kattanna on 11/11/2013 4:27:00 PM , Rating: 2
quote:
The service will roll out initially in Los Angeles and the New York metropolitan area .


quote:
Except for the fact that UPS/FedEx offloads their packages to the post office for many end destinations they deem unprofitable


I bolded the differences here so you might more easily understand


RE: I Don't Understand
By voodoobunny on 11/11/2013 11:52:28 AM , Rating: 2
Maybe they are.

Alternatively, it may be that for an area like NYC which has an extraordinarily high population density, it might actually be economically viable for Amazon to do this (and, by extension, anyone else) to offer this.

USPS makes money, Amazon gets faster delivery, New Yorkers get their stuff quicker. Sounds like an all-round win to me.


RE: I Don't Understand
By AntiM on 11/11/2013 12:19:31 PM , Rating: 2
I'm sure they can find people to work on Sunday. However, I doubt it will be a money making proposition for the USPS.
Most of their financial problems stem from the fact that since 2006, the Post Office has been legally required to pre-fund health benefits for future retirees at a cost of around $5.5 billion a year.
It is also congress that will not allow them to stop Saturday delivery. So, despite what the USPS does to put itself back in the black, congress seems hellbent on keeping them in financial trouble. The same way it seems hellbent on financially ruining this country.


RE: I Don't Understand
By tayb on 11/11/2013 1:55:46 PM , Rating: 1
It is also Congress that is preventing them from embarking on other money making measures such as printer services at the post office.

You can blame most of this on certain members of a certain party who do not like government and would like to see branches fail spectacularly as to prove that government cannot function.


RE: I Don't Understand
By Motoman on 11/11/2013 12:23:28 PM , Rating: 3
This is just it...if the USPS has found a private partner who will pay them enough money for a new service to make it worth while (i.e., it's a profitable business venture) then they should go ahead and do it.

USPS, in and of itself, should likely not only discontinue Saturday deliver, but in all reality probably cut back to something like Mon-Wed-Fri. Based on the revenue and expense they have to deal with from their own normal operations.

This is a net-new operation. If Amazon is paying enough to make it a viable business, then do it.


RE: I Don't Understand
By mars2k on 11/11/2013 12:24:48 PM , Rating: 2
You guys don’t understand because you don’t understand.

I say yes they are paying them a fortune ....thank god...they need it.
Amazon never used USPS before…this is brand new ADDITIONAL business for USPS. Amazon is huge…. this account is huge….huge enough for USPS to put on a dedicated skeleton staff to support Sunday deliveries…..beginning during the heaviest shopping season of the year. I say skeleton because as huge as it is this won’t require the same number of carriers required on a normal weekday. I like our postal service and hope they pull off more marketing coups like this. Good for them
They won’t have to hit every house with all that crap junk mail we all get. The junk mail is what you should be complaining about although bulk mail is a huge account in aggregate as well


RE: I Don't Understand
By kmmatney on 11/11/2013 1:19:55 PM , Rating: 2
I think the plan to stop service on Saturday was only for remote locations - at least that was the plan in Colorado. They would keep Saturday in high density locations, like the Denver metro area, but stop it in certain rural areas.


RE: I Don't Understand
By RandomFool on 11/11/2013 1:34:21 PM , Rating: 2
If I remember correctly, they wanted to end regular mail delivery on Sat but keep package deliveries. But the government said "nope".


RE: I Don't Understand
By flatrock on 11/11/2013 2:52:10 PM , Rating: 2
The USPO does have employees working on Sunday, and they do currently deliver Priority Mail Express packages on Sunday for an additional fee. They don't deliver regular mail on Sunday and they want to stop delivering regular mail on Saturdays, because delivering letters is generally unprofitable for them.

Delivering packages on Saturdays and Sundays does appear to be profitable for them, and if they can increase the volume of packages they can reduce their costs per item, which might make it profitable at prices acceptable to Amazon.


RE: I Don't Understand
By bsd228 on 11/11/2013 5:51:17 PM , Rating: 2
quote:
the USPS wanted to stop delivering on Saturday as a cost saving measure. So, how are they going to deliver stuff at a profit on Sunday?


Saturday service includes walking by every address and picking up outgoing mail. This proposed service would only entail delivery to addresses receiving packages. Huge difference.

I suspect Amazon sees a lull in Prime purchases on Friday because people figure it's the same thing if they order Sunday night. But not all of those customers make it to Sunday...some buy it locally and others just decide they don't need it.


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