We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Subscriptions
    • Podcast
    • Webcasts
    • Blogs
      • Analytics & Big Data
      • Best Practices
      • Change Me
      • Empowering Your Performance Edge
      • The Logistics of Defense
      • Logistics Problem Solving
      • One-Off Sound Off
      • Public Sector Logistics
      • Two Sides of the Logistics Coin
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2020
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Subscriptions
    • Podcast
    • Webcasts
    • Blogs
      • Analytics & Big Data
      • Best Practices
      • Change Me
      • Empowering Your Performance Edge
      • The Logistics of Defense
      • Logistics Problem Solving
      • One-Off Sound Off
      • Public Sector Logistics
      • Two Sides of the Logistics Coin
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2020
    • Upload Your Video
Home » XPO enters same-day delivery field via network of newest acquisition
newsworthy

XPO enters same-day delivery field via network of newest acquisition

April 10, 2015
DC Velocity Staff
No Comments

XPO Logistics Inc. has begun same-day delivery services with its recent acquisition of UX Specialized Logistics, a move that will expand the increasingly diversified service portfolio for Greenwich, Conn.-based XPO.

Bradley S. Jacobs, XPO's founder, chairman and CEO, confirmed that it has begun offering same-day services throughout New York City through the auspices of UX, which it bought in early February for $59 million. Based in New York, UX provides so-called last-mile logistics services for major retail chains and e-commerce companies. As an extension of the last-mile network, UX also offers same-day deliveries.

Jacobs said in an e-mail that XPO plans to leverage UX's network to expand same-day service capabilities to other U.S. markets. UX, which works with independent carrier contractors, has been integrated into XPO's "last-mile" delivery unit, known as XPO Last Mile.

Last-mile delivery services are traditionally associated with the short-haul transportation of heavy-weighted goods like household appliances from the retail store or warehouse to a residence. Last-mile services are gaining prominence as the mechanism to support the explosive growth of e-commerce demand, which puts a premium on super-fast deliveries to urban and suburban destinations.

Manufacturers and retailers increasingly outsource the last-mile delivery function because it is outside their core competency and can typically be executed more cost-effectively by a specialist. It is a specialized and high-margin business that generates billions of dollars in revenue each year. XPO entered the last-mile segment in a big way two years ago when it bought 3PD Inc., a Marietta, Ga.-based firm that was the leader in the field, for $367 million. 3PD was rebranded as XPO Last Mile.

As for same-day services, freight brokers and third-party logistics providers like XPO generally offer the service through networks of contractors.

XPO was formed in 2011 primarily as a freight broker, though it was also involved in freight forwarding and expedited transportation services. Through a series of acquisitions, it has expanded into intermodal, last-mile delivery, contract logistics, transportation management, and cross-border services in the U.S.-Mexico market. Jacobs has said that XPO will pursue an aggressive acquisition strategy as it seeks to hit $9 billion in annual revenue by 2017, and $575 million in annualized earnings before interest, taxes, depreciation, and amortization (EBITDA) by that time.

Transportation Intermodal
KEYWORDS XPO Logistics
  • Related Articles

    Postal Service enters same-day fray with rollout of limited delivery program

    Dropoff expands same-day delivery network

    Best Buy adds 11 cities to same-day delivery network

Recent Articles by DC Velocity Staff

Trendy investors raise logistics cash through SPACs

Crown Battery enhances green energy initiatives

Industrial businesses gearing up for post-pandemic rebound, sourcing stats show

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Roadrunner Freight bolsters LTL capabilities with $50 million in new backing

  • Southeastern Freight Lines Promotes Marty Cox to Service Center Manager in Cincinnati, Ohio

  • Pull back or go deeper—how the pandemic influenced shipper-3PL engagement

  • Boston Dynamics trials box-lifting robot for unloading trucks

  • Fleet managers grapple with host of challenges as pandemic’s impact persists

Now Playing on DCV-TV

0a4ad66a 2005 4164 a0fa a1cd5a5133c9

Automated Package Handling with Mobile Robots

DCV-TV 4: Viewer Contributed
Discover sensor solutions that allow you to use AGCs or AGVs with your conveyors to enhance your logistics operations.

FEATURED WHITE PAPERS

  • Special Report: Supply Chain Trends in Retail & Consumer Goods

  • Fortify Your Operational Resilience

  • Cold Storage Automation: Leveraging Advanced Technologies to Meet Increasing Demand

  • The modern warehouse: Maximizing productivity and capacity

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2021. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing