Five Reasons to Choose FedEx vs. UPS
1.Age and speed of the Ground network
When you are partnering with FedEx, you’re investing for the future. Currently, UPS holds about 60% of the Ground market share, but FedEx has invested a significant amount of money into establishing their Ground network as the fastest and most up-to-date.
FedEx is 27% faster nationwide on ground service on average. Studies have proven that if you shipped the same ground package on FedEx vs. UPS, FedEx would deliver it at least one day sooner. And the vehicles themselves are much newer and more automated, which has led to a lower damage ratio than UPS nationwide.
2.Ability to bundle services
Tying in their freight, ground, and express spend, FedEx offers loyalty discounts based on how much is spent on each service. This is especially beneficial when your company partners with UNA Purchasing as we can help save you a lot of money! While UPS does offer bundles, they are hindered by their LTL (less than truckload) restrictions.
In past years, FedEx has acquired Genco, Supaswift, BONGO and TNT Express. This larger network means more offered services for FedEx customers to benefit from.
4.Reduced labor costs
FedEx is a non-unionized company while UPS is unionized. A non-unionized company is attractive to customers because it means FedEx labor costs are half of UPS’, yielding a better price-per-delivery.
5. Independent networks and contractors
Having ground and express services independent of one another minimizes damages, miss-sorts, and speeds the delivery process up considerably for FedEx. UPS has only one system for both services, allowing for confusion and mistakes. Also, when you use FedEx Ground, you’re supporting local and small businesses, as ground drivers are independent contractors!
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