UPS expedite

terryhop

Expert Expediter
Does anyone out there know about the UPS expedite operation? I guess their pretty new I was wondering how they compete with Fed-Ex, Panther II etc. in relation to paid miles, dispatch, loads available etc.

Thank You
 

Jefferson3000

Expert Expediter
Been around for some years now. Formerly Emery, than Menlo Expedite, till they were bought out. There have been some very recent discussions about them on here, so check w/ the search feature. I know there are at least a couple of owner operators on here that are with them.


Drive Safe!

Jeff
 

jbrbears

Seasoned Expediter
>Does anyone out there know about the UPS expedite operation?
> I guess their pretty new I was wondering how they compete
>with Fed-Ex, Panther II etc. in relation to paid miles,
>dispatch, loads available etc.
>
> Thank You

We are not new at all, just new to UPS. we are currently beefing up our owner operator fleet, which is unbelievably small compared to most expeditors. As far as paid miles, as of Oct 1, we are paying $.85/mile for cargo vans/sprinters (this could change too, for sprinters), $1.40/mile for straight trucks, and $1.55/mile for TT. fuel index is on top of that rate, so on average, add about 3-4 cents per mile. Deadhead mile pay is low, so I won't even mention it here, because we always negotiate with our drivers on deadhead pay. currently, I'm slowing down the hiring process to get the first "wave" of applicants signed on and running. I want to make sure we don't "overhire" and end up with drivers sitting around doing nothing. for those drivers who are thinking of signing on, be prepared to deal with the inconsistencies of the transition that we are going through. By that I mean that one week may be really, really good, and the next week may be very, very average. I will not mention average miles per week, because the figure would not be a reflection of the flow of business we have. We are currently dispatching 75-80% of our freight to cartage companies (panther,tri-state, etc), hence the small owner operater fleet. Our goal is to flip that, and dispatch 75-80% of our freight to owner operators, and the rest to cartage companies.

We are expecting huge growth (in business) in the next year, and yes, we do plan to be a force in the expedited freight business. The sales force is selling, so if you need more info, please call the number on our tab and leave a voicemail, or submit a pre-application. I will get back to you as fast as I can. thank you. ;)

p.s. email me anytime for the "status" of where UPS Expedite is as far as hiring or amount of runs. thanks.
 

ATeam

Senior Member
Retired Expediter
Well, there we have it folks. jrbears, a/k/a John Robinson, who has identified himself as a UPS recruiter and dispatcher, clearly states that UPS is entering the expedited market in a big but methodical way. The first freight they are targeting is the freight under their immediate control that they currently dispatch through "cartage companies" like, "...panther, tri-state, etc....."

The expediting market has been evolving since it first emerged 25 years ago. Mr. Robinson's statement leads me to wonder aloud, for the purpose of stimulating discussion, if the expediting companies that are left standing will be one of three types:

Type A: Huge, multi-dimensional worldwide freight movers with their own air force, thousands of trucks of all types, a package box on every corner and sales forces numbering in the hundreds who line up customers to move freight through their systems. And within that massive operation, an expedited component that will be always needed to round out their customer service menu and fill in the gaps.

Type B: Mom and Pop (small-business) expediting companies with small fleets of a dozen or so, maybe a few dozen contracted trucks that serve specific regions and customers that the business owner has carved out for himself (herself).

Type C: The lone wolf; a one-truck expediter with his or own authority who has similarly carved out a tiny slice of the market to serve.
 

silverdollar

Expert Expediter
Wonder if jbrbears can tell me why ups lowered the pay. I started with Emery not long after they started Expediting and the pay for a D unit was $1.45 a mile. By the way jbrbears if you want to check me out my first truck # was 30.
 

jbrbears

Seasoned Expediter
At $1.45/mile, it's very difficult to bid on NLM loads and get any awarded to us. I know one nickel is not a lot, and I also know there are expeditors out there who are paying $1.20/mile for the very same reason. I guess management's mentality is this: would you rather have 1000 miles a week @ 1.45/mile, or 3000 miles a week @ $1.20/mile? Personally, I would take the latter.

UPS Expedite is planning big things, and as I've stated before, we are going through some "growing pains" right now. The drivers that do sign up with us now, instead of waiting, will be glad they did, even though the first 1-3 months will probably be peaks and valleys. If you're relatively happy with the expediting company you are with, by all means, stay there. I'm being very picky about the drivers I sign on, (already had a flop or two!) and strategic with the timing of hiring drivers. At this stage of the game, we can ill afford to have drivers sitting around doing nothing but 100-150 mile runs. ;)
 

Stoff

Expert Expediter
Hopefully there is a "plan" that the UPS Supply Chain management people have for the expedite division. Business has been rather slow compared to the past under the Emery name. I think there may be a name recognition problem for a lot of customers. Some still do not realize that UPS Expedite was formerly Emery. Another challenge for the sales and marketing people is trying to reduce the number of empty miles for contractors. However, where there is a will there is a way.
 

greg334

Veteran Expediter
OK, it all makes sense now and I see there’s a big mistake

If you (UPS) are truly entering into the expediting market with the brand and resources behind the name, why are you chasing NLM loads?

Companies like UPS, FedEx and DHL should not have to chase loads like smaller companies do, especially with the sales force like these companies have. To me it is rather a dumb position to follow smaller companies to get their work instead of leveraging the already established branding and marketing that was built up through the years.

I wish companies would think their size.
 

jbrbears

Seasoned Expediter
I agree with that statement 100%, but you must remember, Under the Emery and Menlo regime, NLM was a huge part of our business. This is why I keep emphasizing that we are under SERIOUS transition, more than likely AWAY from things like NLM. the UPS Sales force is probably going to throw more customers at us than we can handle, which will be a very good thing. I seriously believe that 12 months from now, we will need to double or triple our staff to be able to handle the amount of drivers we will need to hire. ;)
 

greg334

Veteran Expediter
I understand and see the point.

But outside of transitioning the group it seems that dropping the rates to be able to bid on loads on NLM and remove the upperhand on recruiting and retaining owners seems to be counterproductive with the bigger picture in mind. I hope it works but I would have taken a different aproach with the resources at hand that I assume UPS has or allows you to have.
 

jbrbears

Seasoned Expediter
personally, I would hope we would be moving away from NLM and the like, or at least decreasing the percentage of runs we do for them. right now, it's about 40-50%...I would like to see that down to about 25-30%. As a dispatcher, I know drivers really don't like having to run for lower than their contracted rate, not on almost half of what they run. Only time will tell, but I'm sure UPS will maximize the profit when it's all said and done. ;)
 

aquawarrior7

Expert Expediter
we did a interesting load for ups expedite and i personally loved working with them
Cynthia (hope i spelled it correct) was wonderful to us

she was the dispatcher we dealt with
 
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