
Shipping

For months, contract negotiations between a powerful union and multinational shipping lines progressed amicably in public, even though roughly 20,000 West Coast dockworkers labored without a contract. Now the public harmony has been shattered, raising fears that a strike or lockout could close ports up and down the coast and cause economic pain. The Pacific Maritime Assn., which represents employers operating port terminals and shipping lines, has accused the International Longshore and Warehouse Union of deliberately slowing operations at four major West Coast ports, including Los Angeles and Long Beach — the nation's busiest complex.
The U.S. Postal Service is adding package delivery on Sundays during the holidays to meet the expected growing demand as online retailers ship more products to customers. In a press release sent out yesterday, the USPS said it would be delivering packages seven days a week in major cities and high-volume areas starting Nov. 17 through Christmas Day in response to expected double-digit package volume growth.
Still scarred from last year's shipping disasters — customers not receiving their orders (i.e., gifts) before Christmas despite being guaranteed they would at the time of purchase — online retailers are taking a more cautious approach to holiday shipments this year. Staples, Macy's, Gap, Pottery Barn, Kohl's and Nordstrom were just some of the brands that broke their Christmas delivery promises last year when carriers UPS and FedEx were overwhelmed with last-minute orders. It seems retailers have learned their lesson and are preparing to avoid a repeat of last year.
After years of ending the holiday shopping season with too much merchandise stacked in their warehouses, U.S. retailers face the opposite this year: they may not have enough. Equipment shortages, labor negotiations and rail delays are slowing shipments from the Ports of Los Angeles and Long Beach, the nation's biggest container hub, just as retailers are piling up goods for their most important period of the year. Cargo shipments through the two ports rose 3.1 percent in the third quarter, slower than the 4.3 percent gain a year earlier.
While the quest for faster shipping is an ongoing struggle for retailers and fulfillment companies, it's unlikely that drones or anticipatory shipping alone will be the key to faster deliveries. Instead, these services will be the gateway into a new shipping model — one that's customer centric, highly personalized and characterized by the following:
Our experts walk you through opportunities to not only cut shipping costs, but also improve shipping service to your customers.
Google's secretive research laboratory is trying to build a fleet of drones designed to bypass earthbound traffic so packages can be delivered to people more quickly. The ambitious program announced Thursday escalates Google's technological arms race with rival Amazon.com Inc., which also is experimenting with self-flying vehicles to carry merchandise bought by customers of its online store. Amazon is mounting its own challenges to Google in online video, digital advertising and mobile computing in a battle that
The United States Postal Service is raising rates for Priority Mail when purchased at the post office. But it is lowering rates for those who purchase Priority Mail postage online, a further incentive for merchants to print labels online. The USPS announced the new rates last month, and the Postal Rate Commission issued its order approving the rate changes on Friday, August 15. The new rates take effect on Sept. 7.
Amazon recently added a new incentive for its consumers when it comes to shipping, an article in the Huffington Post reported. The company has announced Prime members who choose "No-Rush Shipping" for any order will receive a $1 credit to be used on Amazon's Instant Video library on
Amazon.com announced yesterday that it will be expanding its same-day delivery service in six metro areas: New York City, Washington, D.C., Philadelphia, Baltimore, Dallas and Indianapolis. Customers in those cities will be able to have their orders delivered on the same day if they purchase before noon — for a fee, of course. The question remains, however, is same-day shipping worth it?