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Technology Amazon won't let sellers use FedEx Ground for Prime orders

01:50  18 december  2019
01:50  18 december  2019 Source:   cnet.com

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Amazon is blocking sellers from using FedEx Ground to ship Prime orders . Sellers will be blocked from using FedEx Ground and Home shipping starting this week, "until the delivery performance of these ship methods improves," according to an email sent to sellers and seen by The Journal.

Amazon 's ban on using FedEx 's Ground and Home services reportedly starts this week. It will last until the delivery performance of these ship methods For Prime orders , the company will allow FedEx Express , a faster but pricier option. FedEx in August had refused to renew its ground -delivery

Amazon is restricting third-party sellers from using FedEx Ground and Home delivery services for Prime orders, the companies said Monday. The e-commerce giant reportedly made the decision based on a "decline in performance" going into the end of the holiday shopping season, according to The Wall Street Journal.

a truck is parked on the side of a road: Amazon is blocking sellers from using FedEx Ground to ship Prime orders. Getty Images© Provided by CNET Amazon is blocking sellers from using FedEx Ground to ship Prime orders. Getty Images a truck is parked on the side of a road© Getty Images

Sellers will be blocked from using FedEx Ground and Home shipping starting this week, "until the delivery performance of these ship methods improves," according to an email sent to sellers and seen by The Journal.

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Amazon does not use FedEx to fulfill its own deliveries in the U.S. but had allowed third-party sellers According to the Journal, Amazon told third-party sellers that they can use FedEx ’s more expensive Express service to ship Prime orders , while non- Prime orders can be sent via Ground

third-party sellers from using FedEx ground shipping for Prime customers citing a "drop in the With one week until Christmas Eve, the online retail giant temporarily blocked third-party sellers from using FedEx ground shipping Most expect fair trial for Trump; 7 in 10 say let aides testify (POLL).

Earlier this year, FedEx ended its contract with Amazon for Express shipping before also stopping ground deliveries for the online retail giant. Third-party sellers -- who, according to The Journal, are responsible for more than half of products sold on Amazon -- were still able to use FedEx.

"While this decision affects a very small number of shippers, it limits the options for those small businesses on some of the highest demand shipping days in history, and may compromise their ability to meet customer demands and manage their businesses," a FedEx representative said in a statement.

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Amazon will no longer allow third-party sellers to use FedEx ground for Prime deliveries. FedEx confirmed Amazon 's decision but said it will only impact a small number of shippers. CNBC's Frank Holland reports from Seattle with more on Amazon 's shift to free next-day shipping this holiday season.

Sellers can, however, continue to use FedEx 's plane-based services to fulfill Prime shipments, according to Amazon . This comes after Amazon ended its partnership with FedEx for both its ground and plane-based express services this year in a move to build its own delivery network.

Amazon declined to comment, but said it wants to ensure customers get their packages in time for Christmas. The company added that while it plans to temporarily block sellers from shipping Prime orders with FedEx Ground and Home, those options will still be available for standard shipments. Sellers can also still use FedEx Express for Prime shipments, Amazon said.

The news comes as Amazon builds up its own delivery network in an effort to speed up deliveries. In April, the company said it was spending $800 million that quarter to bolster its shipping infrastructure, and in June expanded its air fleet. CEO Jeff Bezos attended a groundbreaking ceremony in May for the online retailer's new $1.5 billion air transportation hub in Kentucky.

First published Dec. 16.

Update, Dec. 17: Adds more background details.

Amazon reinstates FedEx Ground as a shipping option for Prime sellers .
Amazon is once again allowing third-party sellers to use FedEx Ground for Prime deliveries. Last month, it said it would no longer permit such that delivery method via the courier, citing poor performance. Amazon said FedEx Ground is now consistently meeting its on-time delivery requirements, so it's lifting the ban. Sellers can use that option once again starting today, an Amazon spokesperson confirmed to Engadget. The loss of FedEx groundThe loss of FedEx ground shipping put many third-party Amazon sellers in a bind over the busy holiday period. CNBC reported some merchants had to resort to other methods, sometimes at a higher cost, for Prime orders.

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