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Both UPS and FedEx are still B2B companies at their core and that's where all the margin is. Delivering to a customer's door is extremely expensive. Terrible headwind from mix shift towards consumer delivery. USPS handling last mile has been key. Or Amazon contractors
Yes, but as density increases and with people working from home last-mile residential becomes less costly and more profitable.
By the way, the up 40% was for a majority residential service called mail innovations.
When you drop off at a business, you drop off tens of packages. Residential will never, ever match the density of B2B. Also, residential density should be questioned as Amazon is working to reduce # of packages while there may be a de-urbanization phase from covid.
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