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zeroonetwothree 5 hours ago

When the Amazon truck drives down my street it’s always stopping at 5 houses or so. So the marginal cost of my package is practically zero.

oezi 4 hours ago | parent [-]

If you have ever watched a deliver truck on their tracking app to crawl its way to you from stop to stop you realize the most optimistic timing is maybe 1 minute per package. Assuming the truck, driver, gas could be operated for 60 USD/hr the marginal cost seems more like 1 USD per package, but likely more.

antisthenes 4 hours ago | parent [-]

No wonder Amazon decided to basically create their own logistic chain.

Fedex/UPS cost for a single package is roughly ~$13.95 (this was ~5 years ago when I was working in ecommerce) and even if Amazon was getting a huge discount from them for the volume they do, it was still probably nowhere near $1/package.