Business Insider has a new article out detailing Amazon's plans to build an app for the 'middle mile' portion of the $800 billion a year trucking industry.
You can find the article here at Business Insider:
Key takeaways from the article:
- Amazon is projected to surpass Fedex package volume in 3 years and UPS within 7 years.
- Amazon's package volume should give it an edge over Uber, Convoy, Trucker Path, etc. since it can scale demand using its own volumes.
- Can drivers using Alexa eliminate the need for brokers to coordinate and manage pickups, deliveries, and paperwork?
- Which freight segment will the app focus on, LTL or FTL?
Key challenges often overlooked for the 'Ubers for trucking':
- How many apps will drivers need to check to find their next load?
- Or will apps like Kayak and Trivago be created to sort through all the competing driver apps?
- How are these apps different than load boards?
- Why hasn't DAT, Internet Truckstop, or any of the TMS providers built an app to be the 'Uber of trucking'?
- Can Alexa handle the series of issues, mishaps, and miscommunication even the simplest loads commonly run into?
- How do apps alter the reality that difficult freight is hard to move because it simply is a pain to deal with?
I don't want to say there will never be an 'Uber for trucking'. Or that an app or technology will not be created to automate the entire process of moving freight...
...but I'm not sure if anyone has concrete answers for the key challenges that tech startups face with automation and scale.
If you do have answers to any of these key questions, I would love to hear them. Just enter them in the comments section below or call me at 918-500-5524.