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Transcript

00:00:01
>> UPS is aiming to step up its delivery game to include for the first time ever, furniture drop off, assembly, and installation, known in the business as final mile delivery. A source told Reuters correspondent Eric Johnson, exclusively.>> UPS is working on a strategy to increase its presence in the final mile delivery service for heavy and bulky goods because it can't ignore the rising demand from its retail customers like Wayfarer, Amazon.com, Target, Ikea and others who are seeing their own customers increasingly want home delivery and installation, and assembly in some cases, of heavy goods like dressers, furniture, carpets, mattresses, swimming pools, barbecue grills, and other products that traditionally wouldn't be handled by a carrier like UPS.
00:00:52
>> UPS confirmed it is exploring the idea, but wouldn't say who its potential partners are. Though trucking company Werner Enterprises is said to be in the running, Werner declined to comment. But a proposed partnership would work like this. Retail customers would click a big and heavy option for delivery, and UPS would then hand the delivery over to its trucking partner.
00:01:15
>> UPS wants to hire a company like Werner Enterprises or a number of other large trucking and logistics companies that handle home delivery of heavy goods because for them, they don't have to invest huge amount of capital in new trucks, hire a bunch of workers, upgrade their final mile endpoint facilities.
00:01:32
They can literally, basically, outsource the work to one of these companies.>> That would make the world's biggest shipping company a one-stop partner for retailers looking to move goods in one of the fastest growing segments in online shopping. UPS is eager to get a slice of the final mile delivery market which is expected to swell to $12 billion in the coming decade.
00:01:54
Especially at a time when Amazon has been shaking things up by expanding its own delivery service such as the deliver to trunk option it rolled out last week.