Uber said the service will be available in nearly 5,000 US cities to start.
Uber driver comforts grieving mom in beautiful exchange during rideThe ride-hailing and delivery company said Wednesday that its drivers will collect up to five prepaid and sealed packages and drop them off at a local post office or at UPS or FedEx stores.The San Francisco-based company said the service will be available in nearly 5,000 US cities to start.Only locations open for at least the next hour will be listed.
FedEx and UPS deliver 31 million parcels each day, while the US Postal Service delivers 25 million, said Satish Jindel, a shipping and logistics consultant and president of ShipMatrix. Much of that volume involves delivery to businesses that do not return packages often, Jindel said, and he believes many people will continue to return packages themselves, rather than pay Uber to do it.Jindel estimates the target market for Uber’s return package service is around 574,000 parcels each business.Still, Jindel has doubts about the service and whether it can be profitable for Uber, since it could cost drivers more than $5 in time and gas to drop off packages.
He also said retailers are trying to cut back on the volume of returns by making it harder and more expensive to return items, so that could limit demand for Uber.
Uber drivers will collect up to five prepaid and sealed packages and drop them off at a local post office or at UPS or FedEx stores.
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