FedEx’s network transformation brings opportunities to small and medium-sized enterprises

FedEx is merging its independent ground and express networks, a project that will facilitate interactions between small and medium-sized enterprises and the express delivery giant.

Randy Scarborough, FedEx’s vice president of customer engagement marketing, said the merger would eliminate separate pickups, which has long been a key flaw in FedEx’s ability to compete with UPS. Consolidating today would free up time for shippers who must split packages between ground and express.

In addition, FedEx’s recently announced fdx platform is also expected to help small and medium-sized enterprises reach customers more easily. The platform provides e-commerce merchants with a range of end-to-end solutions while leveraging information from the millions of packages FedEx ships every day.

For small and medium-sized businesses, the visibility of real-time intelligence will make it easier to grow demand, improve conversion rates, fulfill fulfillment orders, and even streamline the returns process, all now on a single platform. However, FedEx did not clearly state specific goals in terms of increasing business volume and revenue related to small and medium-sized business customers.

Nate Skiver, founder of LPF Spend Management, said that while FedEx has announced a series of initiatives to attract small and medium-sized enterprises, the value of projects like the fdx platform has not been clearly communicated to customers and shareholders. . This at least gives UPS an advantageous position in the delivery volume competition in this area. I think UPS might be more effective at marketing to this segment and retaining those customers as they grow