Ep 245: Delivery contractor models

Jul 19, 2021

Dean Maciuba, Managing Partner Last Mile Experts North America, joins me to talk about last mile delivery contractor models, including:

• How FedEx’s acquisition of RPS started FedEx Ground’s contractor model
• Low-cost shipment models and e-commerce growth
• Plans to merge FedEx Ground and Express - contractors or employees?
• Amazon Delivery Service Partner (DSP) model
• Key differences between Amazon DSP and FedEx Ground contracts, including:
  • Managing territory vs owning a territory
  • Up-front capital requirements
  • Long-term profitability
• Becoming a FedEx Ground contractor - including similarities to buying a franchise
• Applying to become an Amazon Delivery Service Partner
• Factors influencing differences in remuneration for FedEx Ground and Amazon DSP models
• Contract terms, and termination of contract - and risks to capacity
• Australia Post contractor models - including parcel contracts
• Tendering and awarding of Australia Post delivery contracts
• Calculating costs over the course of a last mile delivery contract
• Electric vehicles in contracted delivery fleets - including NZ Post
• Contractor models and reducing costs in the last mile
• Trends in contracting, including cost and capacity
• Out-of-home delivery in North America
• US Postal Service