Amazon has overtaken FedEx to become the third largest parcel delivery company in the United States
The company shipping tracking global e-commerce Pitney Bo we show the latest data ( Pitney Bowes ) that Amazon exceeded FedEx, to become the third largest parcel delivery company in the United States.
For many years, FedEx, UPS and the US Postal Service have dominated the express delivery market in the United States. But the latest report from Pitney Bowes shows that Amazon shipped more packages than FedEx in 2020. For Amazon , this is a huge success, because express delivery services are not their main business.
Data shows that Amazon 's parcel volume last year increased year-on-year, a 127% increase from 1.85 billion in 2019. This was followed by the United States Postal Service (increased by 34%), FedEx (increased by 21.7%), and UPS (increased 12.6%).
The USPS delivered the most packages with 7.6 billion packages, followed by UPS (4.92 billion packages), Amazon (4.2 billion packages) and FedEx (3.25 billion packages ). According to Pitney Bowes, these four companies together account for 99% of the US market. Among them, USPS accounts for 38%, UPS 24%, Amazon 21%, and FedEx 16%.
Amazon's rise in the express delivery industry is notable, because until 2014, Amazon's market share was zero. Since then, Amazon has invested resources to build a network of warehouses, trucks, planes, and delivery drivers. With the strengthening of the transportation network, Amazon gradually acquired a share of third-party shipping companies such as FedEx.
In the future, it wouldn't be surprising if Amazon would offer its as-a-service logistics business to brands and retailers. With the experience accumulated over the years, Amazon can easily do this.
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