Please correct me if I am wrong, but there are no domestic delivery services that offer:
1. Realtime tracking.
2. SMS upon delivery failure or address confusion.
3. Deliver to you not to your home.
#3 is probably hard, but 1 & 2 should be fairly straightforward.
Do you think Amazon couldn't provide realtime tracking or SMS notification? Those things are frills. They'd be nice. Maybe a few end-customers would pay slightly more for them. But they don't help you with the real problem, which is setting up a hub-and-spoke delivery network that's fine-grained enough to get a package from a central warehouse to any individual house in the country within three days for less than five bucks.
You, the person waiting for your package at home, are not the customer. The customer is Amazon. What the customer wants is delivery that's sufficiently reliable that it doesn't cost them business, and sufficiently cheap that it doesn't interfere with their efforts to undersell traditional retailers. Can you make them a viable offer on those grounds? If not, SMS notifications aren't going to change their mind.
Also it is strange to me that a pizza is delivered 100% of the time yet a package success rate is much less - they seem to have the last-mile problem solved. Maybe all HDNL and the like need to do is pick up the damn phone when they can't deliver!
That means the company has lots of individual restaurants with their own delivery operations (guys on bikes) who handle that last mile on an individual basis, or maybe doing a couple of pizzas at a time.
If you've ordered a pizza, then you're also pretty much guaranteed to be at home. There's not much point leaving a note saying your pizza was taken back to the depot or left with your neighbour!
I'm an example of an outlier; I live in a rural area and if I go to Domino's website, there is no delivery to my house. However, I know that if I call the local Domino's that's 10 miles away, they will deliver. Problem is that there is a high rate of phone calls from drivers that say "I'm lost," "Your house isn't where they said it was," "Are you sure you live on xxx st? I drove from one end to the other and the address doesn't exist." I've learned to keep my phone near me if I order pizza because I'm likely to have to give the driver explicit instructions on how to get here.
OTOH, USPS, FedEx and UPS have absolutely no problem finding my house.
I don't doubt they cost considerably more than Amazon delivery costs (GBP 49/year for unlimited deliveries to any address in my address book). Ultimately there's nothing I buy online that I care that much about that I can't wait a few days for Amazon to re-send it and hopefully randomly choose someone who isn't HDNL or Citylink.
Amazon actually just started offering SMS upon delivery failure/success, at least in the US.