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Report: Amazon directly challenges FedEx, UPS

BY Dan Berthiaume

Amazon is reportedly providing direct-to-consumer shipping services in key U.S. markets.

According to a recent report from TJI Research, a new service known as “Amazon Shipping” is bypassing Amazon fulfillment centers entirely. Select Amazon sellers with warehouses in the Los Angeles, Chicago, and New York/New Jersey metro areas can directly print Amazon shipping labels from their dashboards. Amazon then picks up packages every weekday and delivers them to domestic consumers seven days a week.

The e-tail giant has reportedly told sellers in participating markets it can deliver most orders within five days. This type of national direct-to-consumer ground shipping puts Amazon in direct competition with major established carriers such as FedEx and UPS.

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