Related: Tech Startups Match Retailers, Final-Mile Drivers During Pandemic
COVID-19 Strains Last-Mile Delivery Logistics
The latest news from Amazon that it is pausing a test of a service that would compete with UPS and FedEx reflects the strain that the COVID-19 pandemic is placing on last-mile delivery logistics.

Amazon has taken steps to focus on getting essential supplies delivered.
Photo: Deborah Lockridge/HDT file photo
As the demand for local delivery has spiked due to stay-at-home orders and social distancing during the COVID-19 pandemic caused by the novel coronavirus, the system is feeling the strain.
On April 8, the Wall Street Journal reported that Amazon Shipping, which the ecommerce giant was testing to compete with the likes of UPS and FedEx, has been put on pause as Amazon focuses on meeting its own shipping needs. Citing people familiar with the matter, the journal reported that Amazon told shippers that the service will be paused starting in June.
Available in “just a handful of U.S. cities,” WSJ explained, “under the program, Amazon drivers would pick up packages from businesses and deliver them to consumers, rather than ship orders from Amazon warehouses.”
The journal noted that Amazon is suspending the service because it needs its people and capacity to handle a surge in its own customers’ orders.
Amazon has, as the Wall Street Journal put it in a late-March article, “struggled to find its coronavirus footing.” Amazon order volumes have been hitting levels normally seen only during the peak holiday season – but without the months the company usually has to prepare for that kind of volume. “The strain is showing in shortages, delays, and worker unrest, including some walkouts, no-shows, and COVID-related sickness," the WSJ reported.
The company in mid-March put a halt on incoming shipments of non-essential supplies to its warehouses so it could focus on critical supplies, and announced it was hiring 100,000 more workers. As it has prioritized those essential shipments, delivery times for other items have stretched to weeks rather than days, according to published reports.
Amazon isn't the only company struggling to meet the increased e-commerce demand during the pandemic. UPS and FedEx both suspended service guarantees, citing the impact of COVID-19.
Meanwhile, as the go-to last-mile delivery companies struggle under the load, logistics-tech companies are stepping up to help small businesses roll out delivery options quickly.
OneRail, an Orlando-based “final mile delivery orchestration and fulfillment platform,” launched QuickStart, a new service available to retailers needing to immediately find more final mile delivery capacity to support the eCommerce demand spike caused by COVID-19. “OneRail’s clients have seen over a 700% increase in delivery fulfillment volume over the past two weeks,” said Jeff Flowers, OneRail COO, in a release in late March.
Once a delivery order is received by OneRail, it is sized and automatically dispatched to one of more than 75,000 couriers. The platform provides delivery tracking and data for retail clients and consumers.
Cincinnati-based Frayt, which provides instant scheduling of deliveries to businesses and consumers, is scaling up its delivery network to provide same-hour services of goods in the Midwest. Founded in 2018, Frayt offers an on-demand shipping and delivery platform that connects shippers directly with drivers to get purchased goods delivered on the same day. It has more than 3,000 professional drivers spanning 13 U.S. markets.
“Instacart waits in some markets can be days, but we can get a driver in an hour in most cases,” explained CEO Lawrence McCord. “Our website visits have increased 250% as businesses and consumers look for other options.”
More Fleet Management

Time is Running Out to Apply for Exclusive HDT Event
Heavy Duty Trucking Exchange connects heavy-duty trucking fleet managers with industry suppliers through one-on-one meetings, small-group discussions, educational sessions, and networking opportunities with both suppliers and other fleet managers.
Read More →
Amazon Launches Less-Than-Truckload Freight Offering for All Businesses
This launch is the latest addition to Amazon Supply Chain Services, a portfolio of supply chain capabilities from Amazon, including freight, distribution, fulfillment, and parcel shipping.
Read More →
Import Cargo Volume to See Year-Over-Year Gain Again in June, Then Remain Below 2025 Levels Into Fall
After July, the report predicts a weakening in import volume as consumer uncertainty remains high and the impact of increasing inflation takes its toll.
Read More →
AUCTION OF EQUITY INTEREST IN HEAVY HAUL TRUCKING COMPANY!!
Mark your calendar: June 30, 2026 (10:00 a.m. PDT). A 37.5% ownership interest in MagnaTrans, LLC, a California limited liability company doing business as Magna Transportation Group, will be sold in an in-person and online auction to the highest bidder or bidders under Article 9 of the Uniform Commercial Code. The Rancho Cucamonga-based heavy haul and over-dimensional trucking company operates across California, Oregon, and Arizona.
Read More →
Volvo Trucks Adds Unattended Over-the-Air Software Update Capabilities
The latest evolution of Volvo’s over-the-air update technology allows software updates to run while trucks are parked, helping fleets keep vehicles current without disrupting operations.
Read More →How Waste Connections is Using Data, Telematics, and AI
How do you manage and maintain more than 18,000 connected trucks? Data. Lots of it.
Read More →
Why Fleet Data Matters More Than Ever at Waste Connections [Watch]
Waste Connections' Chuck Palmer explains how telematics, predictive maintenance, safety analytics, and AI help keep vehicles on the road and drivers safe in this episode of HDT Talks Trucking.
Read More →
NMFTA Launches Free, Anonymous Cybersecurity Threat Report Portal
Organizations are encouraged to anonymously report freight fraud, cargo crime, and cyber threats while gaining visibility into incidents reported across the transportation sector.
Read More →
AI Can Optimize a Fleet. Can It Replace Human Judgment?
Fleets fear falling behind if they don’t adopt AI quickly enough. They also fear what happens if the technology makes the wrong decision.
Read More →
Jamie Hagen Gets Real About Running a Small Fleet in an Uncertain Economy
Small fleet owner Jamie Hagen says new legal risks, volatile fuel prices, and a changing freight market are forcing small carriers to rethink how they operate — and what they can afford.
Read More →

