Schneider recently announced that they have purchased two companies — one carrier and one IT company — in an attempt to become the nation’s leading first-to-final-mile carrier.
Schneider Hopes To Lead Nation In First To Last Mile Transportation Of Oversized Items
Schneider bought Watkins & Shepard, a Montana based LTL service that specializes in difficult deliveries, and Lodeso, an IT company that helps arrange last mile transportation for difficult-to-deliver items. The terms for the acquisitions were not disclosed.
The acquisitions are a response to the rapid growth of e-commerce sales of furniture and other oversized items. The market for this type of delivery increased 8% last year to $6.8 billion.
Purchases Expand Existing Final Mile+ Program
Schneider already provides last mile delivery services with their Final Mile+ program. With the acquisition of the two companies, Schneider now says that it is, “the nation’s leading final-mile-delivery provider of LTL, truckload and logistics for home furnishings and over-dimensional goods serving traditional and omnichannel retailers.”
Watkins & Shepard has experienced an increased demand for their services, which they say means that they need to hire more employees and invest more in infrastructure. Said Watkins & Shepard CEO Ray Kuntz, “Schneider not only brings financial strength, they also understand transportation and the power of technology, and appreciate what we have built as a team.”
Watkins & Shepard was established in 1974 and employs almost 800 truck drivers out of 20 terminals.
Schneider is the nation’s largest privately owned U.S. carrier with an annual revenue of $4 billion.
Truckload carrier Schneider acquires Lodeso and Watkins & Shepard, entering the last-mile e-commerce business https://t.co/tzITje0rSV
— Loretta Chao (@LorettaChao) June 3, 2016