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UPS Express Critical

grog111

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"ATLANTA, July 25, 2007 - UPS (NYSE:UPS) today announced the launch of UPS Express Critical, a service that meshes all of UPS's same-day and urgent capabilities into a single suite, allowing customers to more effectively manage package and heavy freight shipments together.

For the first time in the industry, customers have a single point of contact regardless of whether they're shipping a small package or a 1,000 pound machine part - air or ground, domestic or international. Customers now have a single call center, one bill and one Website to manifest and track their truly urgent shipments.

"A single integrated operation for all urgent transportation needs is a differentiator for UPS," said Dan Brutto, UPS president of global freight forwarding. "Traditionally in our industry, you called different places to move something big versus something small. We think our approach is really going to help our customers because when every second counts, they'll be calling the same person no matter what they're shipping."

A single "touch point" for all urgent shipping is a convenience UPS has worked to provide by meshing the capabilities of UPS SonicAir, the UPS Airlines and UPS Freight. UPS has access to virtually any type of aircraft or vehicle around the world - both those in its own fleets and those of vendors - meaning customers have a variety of time options, specialized equipment, communication systems, advanced tracking and worldwide reach to meet their needs.

UPS Express Critical likewise makes billing simple, allowing package shippers to bill their freight shipments on their package account and vice versa.

"This is a same-day critical service that works for any size or weight shipment while bringing tracking and billing together on a single platform," Brutto said.

In the not-too-distant past, added Brutto, the need for same day or urgent shipping was driven by crisis situations such as a critical part breaking at an assembly plant. Today, such services often become a normal response to the pace of business.

For example, one leading 24/7 import and domestic auto parts wholesale distributor in Ohio recently wanted to expand in key markets by providing a longer time window for customers to call in dealer orders. Within hours of their call to UPS, UPS Express Critical was able to offer a transportation combination involving planes and trucks that allowed the customer to accept orders late into the evening and still speed the parts to dealers before normal business hours the next morning.

"The producers of goods used to dictate demand based on how fast things could be pushed through the production and distribution process," Brutto concluded. "Now the pace of business is dictated by the customer's customer at the other end of the supply chain. This trend will continue and UPS now is positioned to set the standard for convenience in the urgent shipping category."

UPS, which celebrates its 100th anniversary in 2007, is the world's largest package delivery company and a global leader in supply chain services, offering an extensive range of options for synchronizing the movement of goods, information and funds. Headquartered in Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. UPS's stock trades on the New York Stock Exchange (UPS) and the company can be found on the Web at UPS.com. To get UPS news direct, visit pressroom.ups.com/RSS."

I find this all to be very interesting. Ecspecialy MR. Brutto's take on the current and future state of the industry.
 

Moot

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Like FedEx, UPS chose to use the term "critical" in it's name. "Expedite" has become over used and I think "critical" better defines what we do as expediters. If you think about this long enough it may make sense.
 

greg334

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What I find really interesting is this;

"For the first time in the industry, customers have a single point of contact regardless of whether they're shipping a small package or a 1,000 pound machine part - air or ground, domestic or international. Customers now have a single call center, one bill and one Website to manifest and track their truly urgent shipments."
 

FireGears

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Cool...!!!!

Looks like someone has "built a better mouse trap"...

Some important questions...

Are they hiring...???

What are their vehicle requirements ..???

Will they have a "west coast" division..???

KEEP SMILING ... :+ :+

plus ...
 

Falligator

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Good for UPS, but may be bad for the other expedite companies out there...we'll have to use the wait and see approach.
 

easyrider2697

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shouldnt be too bad for the rest of us, since ups still outsources most of the "critical" shipments on panther trucks anyway.
 

Jefferson3000

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Well, if you've followed what their recruiter jbrbears has said recently, they will be recruiting and are planning on flip flopping the percentage of outsourced with the percentage of in house runs. That will probably occur over the next year.

Usually, when UPS does finally get on board with a new idea, they take over. Should be interesting.


Drive Safe!

Jeff

Driver for 15 years
O/O for 13 years
OOIDA #829119

[em]"Let us be thankful for the fools. But for them the rest of us could not succeed." --Mark Twain[/em]
 

greg334

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>shouldnt be too bad for the rest of us, since ups still
>outsources most of the "critical" shipments on panther
>trucks anyway.

Ah....and FedEx get a share of this too.
 

easyrider2697

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>>shouldnt be too bad for the rest of us, since ups still
>>outsources most of the "critical" shipments on panther
>>trucks anyway.
>
>Ah....and FedEx get a share of this too.


well I thought so but I could not nor would I speculate what another company does, didnt feel like getting pounced on by all the fed-ex guys!!
 

ATeam

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What UPS is doing is a smart thing, but I question their use of the prhase, "For the first time in the industry,...." Panther has been advertising a one-call service for a while. FedEx led the way. FedEx had FedEx Expedited Freight Services up and running over a year ago. Unlike UPS, FedEx has a fleet of exclusive-use, time-definite trucks in its portfolio; that is FedEx Custom Critical.

For details, see:

http://www.expeditersonline.com/artman/publish/article_005543.html
 

x06col

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But Phil, do you really think for a second that splitting hairs on "claims" is going to make any difference to the Momma Rabbit Shipping Lady, that is more engrosed in getting her kids picked up from the sitter, or, what to get for dinner, than "just" having to make one call and get "that" monkey off her back. I don't think so. There is way more to it than advertising. Loyalty and familiarity goes a long, long way. Even still today. We've had people actually wait a day or two extra to ship something, so we could get equipment in position.
 

ATeam

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You will get no arguement from me about loyalty and familiarity, and the good service that nurtures both. We have had it happen several times that shippers have told us they are back to Custom Critical after trying cut-rate providers.

Where advertising, and big-brand names, and deidcated sales forces are significant is with shippers that may have say 100 items to ship to different locations to arrive at different times; where 70 of them can go by FedEx Freight, 2 by FedEx Air Expedite, 8 by Custom Critical, and the rest by FedEx Express. One call does it all.

Such shippers get more than a monkey off their back with just one phone call. They tame a great big gorillia. They not only get all their stuff shipped, they get FedEx's help in putting together the best methods and pricing. Once the one call is made and the shipper finds out it works, he or she will call back next week or month with a brand new 100-load gorillia to tame.

I know for a fact that Custom Critical has benefited from FedEx Expedited Freight Services (EFS). EFS is bringing in new customers that never knew FedEx Custom Critical even existed. The eight loads in the hypothetical example above are loads FedEx Custom Critical would not have seen before EFS, because before EFS, the customer would not have known about Custom Critical.
 

x06col

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But Phil, i've got 5500 pieces of equipment (cargo vans to semi's) available to me nation wide, plus, 350 or so aircraft. Not necessarily size that matters. It's simply, from what vantage point you are looking at it from.
 

ATeam

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I don't understand the "But Phil" line you are taking, and I don't know much about the kind of business you run. Do you have a web site or sales literature that would help me understand what you want me and others to know about you and your business?
 

x06col

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The "but Phil" line, is just a greeting or, something, that might get away from "your brand" only for a moment or two. Nothing at all intended. But, to answer your question, no, just word o mouth.
 

greg334

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You two are funny. 'but Phil' ;-)

Phil I understand where your coming from but the thing is unless you are on the shipping end of things, the single phone call thing does not seem to exist within FedEx. We get a lot of work that is originates throughout the company, not a single place - this is what UPS is doing.

There are still a number of calls one can make to get to different groups within FedEx for different needs and I think this was what was interesting to me as I posted it.

Also we really (maybe you have) haven't seen the leverage of the sales department to increase our work as I understood would happen. I still run across a could people who don't have a clue what we are about and what we can do, and this is in FedEx.

I think UPS took the idea of the one call stop to a different level and this I think will force FedEx look at it carefully to make a change to follow their lead. True that Panther is a different company and their business model is no where like UPS or FedEx's.
 

Packmule

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people who don't have a clue what we are about and what we can do, and this is in FedEx.

Greg,
I saw a lot of that in my days at the Fed. I don't think it has changed that much since then. The Sales team needs to be reprogrammed to include Custom Critical in their presentations or the growth potential will never come.

I think in the next 90 days we are going to see some things happen that is going to really surprise all. I also think the Fed is preparing for the changes and is prepared to go to battle. I just hope that a lot of Contractors don't become casualties of war.
No more comments, just a ...hunch.

Danny
 
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