• ITVI.USA
    14,959.950
    116.940
    0.8%
  • OTLT.USA
    2.933
    0.012
    0.4%
  • OTRI.USA
    19.350
    0.220
    1.2%
  • OTVI.USA
    14,926.910
    120.050
    0.8%
  • TSTOPVRPM.ATLPHL
    2.910
    -0.050
    -1.7%
  • TSTOPVRPM.CHIATL
    3.790
    0.080
    2.2%
  • TSTOPVRPM.DALLAX
    1.460
    0.170
    13.2%
  • TSTOPVRPM.LAXDAL
    3.740
    0.020
    0.5%
  • TSTOPVRPM.PHLCHI
    2.270
    0.030
    1.3%
  • TSTOPVRPM.LAXSEA
    4.150
    -0.010
    -0.2%
  • WAIT.USA
    131.000
    -2.000
    -1.5%
  • ITVI.USA
    14,959.950
    116.940
    0.8%
  • OTLT.USA
    2.933
    0.012
    0.4%
  • OTRI.USA
    19.350
    0.220
    1.2%
  • OTVI.USA
    14,926.910
    120.050
    0.8%
  • TSTOPVRPM.ATLPHL
    2.910
    -0.050
    -1.7%
  • TSTOPVRPM.CHIATL
    3.790
    0.080
    2.2%
  • TSTOPVRPM.DALLAX
    1.460
    0.170
    13.2%
  • TSTOPVRPM.LAXDAL
    3.740
    0.020
    0.5%
  • TSTOPVRPM.PHLCHI
    2.270
    0.030
    1.3%
  • TSTOPVRPM.LAXSEA
    4.150
    -0.010
    -0.2%
  • WAIT.USA
    131.000
    -2.000
    -1.5%
Last MileLast-mile deliveryMost PopularParcelTop Stories

FedEx completes shift of former Postal Service business, rebrands service

New service called FedEx Ground Economy

FedEx Corp. (NYSE:FDX) said Wednesday that it has completed the integration of its last-mile delivery operations formerly handled by the U.S. Postal Service, and has rebranded the service to FedEx Ground Economy from FedEx SmartPost.

Memphis, Tennessee-based FedEx has said for several years that it planned to divert its postal business into its own network. Initially, the transition was to be completed by the end of 2020. However, the impact of the COVID-19 pandemic on parcel deliveries pushed back the timetable.

Historically, FedEx would deliver millions of parcels deep into the postal infrastructure for the Postal Service to provide last-mile delivery to residences. FedEx changed its strategy in an effort to build package density in its business-to-consumer (B2C) ground delivery network and set the stage for seven-day-a-week deliveries, which it now offers.

At its peak, FedEx tendered about 3 million parcels per day to the Postal Service for last-mile deliveries.

The FedEx Economy contract-only service offers deliveries within two to seven business days depending on the length of haul to the destination.

Mark Solomon

Formerly the Executive Editor at DC Velocity, Mark Solomon joined FreightWaves as Managing Editor of Freight Markets. Solomon began his journalistic career in 1982 at Traffic World magazine, ran his own public relations firm (Media Based Solutions) from 1994 to 2008, and has been at DC Velocity since then. Over the course of his career, Solomon has covered nearly the whole gamut of the transportation and logistics industry, including trucking, railroads, maritime, 3PLs, and regulatory issues. Solomon witnessed and narrated the rise of Amazon and XPO Logistics and the shift of the U.S. Postal Service from a mail-focused service to parcel, as well as the exponential, e-commerce-driven growth of warehouse square footage and omnichannel fulfillment.

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