I think it's an interesting concept, but it'll be difficult for Luna to work because you'll need to scale by building a warehouse in every new city. For consumers, you are also competing against free. Why pay $7 when UPS or Fedex will come back another day?
> you'll need to scale by building a warehouse in every new city
That didn't stop the existing players who are successful now, when they were first growing. Remember that a warehouse can start small and simple with maybe $1,000/mo of rent at small scale & non-prime location.
> you are also competing against free
Yep, this seems like the main problem. I think the solution is to find additional ways to add value.
For example, one thing that is very frustrating when you have to receive a package that requires a signature is that the major carriers all REFUSE to call your phone to tell you when they have arrived. So if you don't hear the doorbell ring, or if the person can't get in to your apartment building, it's a missed delivery and you're out of luck. Luna could seize this opportunity by being the one last-mile service that WILL happily call your phone when they arrive.
