Delivery Debacle: Who’s Fault Is It Anyway?

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Dec. 27 (Bloomberg) –- Opensky Founder & CEO John Caplan discusses who’s really to blame for FedEx and UPS failing to make Christmas deliveries on time as promised. He speaks to Jon Erlichman on Bloomberg Televisions “Bloomberg West.” (Source: Bloomberg)

Left the livers scrambling.

Retailers had to offer gift cards in exchange.

We're talking to john from open sky.

Some people are blaming fedex and ups.

Some are blaming the retailers.

We could probably blame ourselves up we are pushing the buy button late in the process.

What do you think?

There is enough blame to go around for everybody.

You had consumers waiting around to the last minute.

You had ups who should've gone out sooner to communicate.

You have to message her audience when they need to order to make sure the packages get delivered.

On open sky, we have thousands of merchants who agreed to fast ship products.

If you ordered by the 22nd, they would guarantee delivery.

They would live up to that.

I really think that there's enough blame to go around.

Consumers need to order earlier.

Ups needs to communicate better and retailers need to not squeeze in the last order when they know it will not arrive in time.

What about where they are ordering?

For example, if they are ordering on their phone.

Amazon shared wild stats.

Five and -- five toys per second were being ordered on mobile devices.

Anecdotally, what do hear about what people are buying on their phone and when?

The second fuse matters?

This is the year that the phone dominated the e-commerce landscape.

We saw more than 60% of our activity on mobile and tablet devices.

One of the things that you see is that nobody -- people are buying 24 hours a day.

They're not just waiting for cyber monday.

What i think the phone purchasing relates to is that people are looking to discover more interesting product.

They go to open sky or pinterest or other platforms like ours and find interesting goods.

On open sky, we have one unified card.

They can buy from thousands of merchants.

Consumers want to shop not just at the top 10 retailers.

They really want to discover more interesting products.

A lot of angry shoppers can now take their frustration to social media.

How fearful are the brands of the twitter haters?

You are catering to a lot of smaller retailers as well.

I would imagine that a few things that are negative could be detrimental.

The average item on open sky was shipped within 14 hours of the transaction.

If you are one of the big retailers and one of their systems candidly are complex and robust, they do not have the ability to move as quickly as the small and medium-sized businesses.

Their life but -- lifeblood is serving customers.

Your question is a good one.

When someone has something bad to say, how do you handle it?

You have to apologize and solve the problem.

Make sure that you are human.

If you do not take care of your customers, they will tell their friends.

They will not be your customers for long.

15 seconds left.

The whole amazon crew -- drone conversation.

Will this open the door for drones?

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