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FedEx's Ultimate Goal After 2020 (Keep On Topic Please)
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<blockquote data-quote="It will be fine" data-source="post: 4011031" data-attributes="member: 55017"><p>The fedex contract for smartpost deliveries ends in 2020. The expectation is that postal rates will increase enough that it will make sense to keep most if not all smartpost delivery volume in the Ground network. Fedex can pay contractors less for all deliveries because the increased stop density will make our routes more efficient (this doesn’t really work, but that’s the theory). With the lower pay for contractors, FedEx can maintain their low rates for smartpost customers and make strong pushes for surepost customers.</p></blockquote><p></p>
[QUOTE="It will be fine, post: 4011031, member: 55017"] The fedex contract for smartpost deliveries ends in 2020. The expectation is that postal rates will increase enough that it will make sense to keep most if not all smartpost delivery volume in the Ground network. Fedex can pay contractors less for all deliveries because the increased stop density will make our routes more efficient (this doesn’t really work, but that’s the theory). With the lower pay for contractors, FedEx can maintain their low rates for smartpost customers and make strong pushes for surepost customers. [/QUOTE]
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