The multi-billion dollar international package delivery company, the United Parcel Service (UPS), like most organizations, came from meager roots and big dreams. Beginning as a messenger service in the city of Seattle, Washington in 1907, UPS was founded by James E. Casey and Claude Ryan, under the original name of American Messenger Service. With $100 borrowed from Charley Jones, an uncle of Ryan’s, the two young entrepreneurs operated their delivery service from a small office located in the basement of a saloon with the use of a single telephone and two bicycles.
Between 1900 and 1907, the Seattle population had risen dramatically, from 81,000 to almost 200,000 residents in less than a decade. Private telephones in residences were few, and those who did have phone service rarely had connectivity with one another, as two phone companies serviced the city through unique phone lines.
The challenge of city-wide communication was primarily addressed through messenger services, with residents placing a message via phone to a delivery service which then transported the message to the receiver. Horse-driven carriages and wagons, along with trolley cars, were the primary forms of transportation for citizens and goods, with only a few automobiles having arrived in the city. The United States Post Office parcel post system was not put in place in Seattle until 1913.
In other words, Casey and Ryan ventured into a very profitable and essential business in 1907, filling a consumer need for easy and affordable message delivery. Their original office, provided by Charley Jones in the basement of his own saloon, was located near the intersection of Main Street and 2nd Avenue in what is now Pioneer Square.
Casey and Ryan were teenagers at the time but worked long and hard hours to make ends meet. They posted fliers near public telephones. American Messenger Service operated 24 hours a day, 365 days a year. Casey and Ryan hired other teenage boys to work as messengers, including Casey’s brother George.
Using the saloon’s lunch counter as a resting station, messengers were on hand at all times. Phones were answered by only those who had been trained, and all employees were bound by a strict ethical code which governed their daily interaction with customers and their public appearance. The boys wore uniforms at all times while delivering packages, messages, baggage, and even food from restaurants. The majority of deliveries were made on foot, with trolley cars and bicycles being reserved for longer deliveries.
Sound practices and consistent performance earned the American Messenger Service a reputation for promptness and reliability. By the winter of 1912, they had outgrown their meager beginnings, requiring them to open a second office nearer to the city’s retail district on 4th Avenue. One of their biggest clients was the U.S. Post Office in the early years, with all U.S. Postal Service special delivery items being distributed by the American Messenger Service within the city of Seattle. It was not until the arrival of U.S. Parcel Post Service in the city that the U.S. Post Office was capable of handling large quantities of personal mail for the population.
The call for messenger services decreased as a result of changes to mail delivery routes implemented by the U.S. Post Office. The increased prominence of home telephones and private automobiles also contributed to the decline but Casey and Ryan changed with the times. They began to handle more package deliveries and merged with McCabe’s Motorcycle Delivery Service in 1913. With Casey acting as president, they changed their name to Merchants’ Parcel Delivery. Within two years, they had successfully transitioned the bulk of their business from message delivery to package delivery, utilizing 20 foot messengers, five motorcycles and four automobiles.
The year 1919 marked the company’s first venture out of the city of Seattle, with the purchase of a delivery service in Oakland, California. The current name, United Parcel Service, was also implemented at this time. The company’s trademark brown had become standard three years earlier, and all company vehicles and employees were dressed in the shade.
In 1922, UPS acquired a Los Angeles delivery company, and began offering “common carrier” services not available through any other service provider, including the U.S. Post Office. These services encompassed regular delivery, daily pickup, collection on delivery (COD), and return of undeliverable packages. By 1927, the company had established offices in all major Pacific Coast cities, and ventured to the East Coast by 1930.
UPS began its quest for common carrier rights in all locations in the 1950s. In direct competition with the U.S. Post Office, UPS sought to pick up and deliver packages to all customers, private and commercial, in a decision that would find the company’s legal counsel in the court room periodically for the next 30 years.
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