For FedEx and UPS, a Cheaper Route: the Post Office - Wall Street Journal
Agency Stretches to Handle Business From Express Couriers; Is the Price Right?
FedEx Corp. and United Parcel Service Inc. UPS increasingly are moving their own packages through the U.S. Postal Service, putting pressure on the quasigovernmental agency and raising questions about whether the USPS is charging enough for the service.
For FedEx alone, the post office delivers an average of 2.2 million packages a day, or about 30% of the express-mail company's total U.S. ground segment.
UPS won't specify how much of its shipments go through the post office, but a regulatory filing indicates those type of lightweight shipments accounted for 40%—or about 37 million packages—of its total increase in ground shipments in 2012.
Agency Stretches to Handle Business From Express Couriers; Is the Price Right?
FedEx Corp. and United Parcel Service Inc. UPS increasingly are moving their own packages through the U.S. Postal Service, putting pressure on the quasigovernmental agency and raising questions about whether the USPS is charging enough for the service.
For FedEx alone, the post office delivers an average of 2.2 million packages a day, or about 30% of the express-mail company's total U.S. ground segment.
UPS won't specify how much of its shipments go through the post office, but a regulatory filing indicates those type of lightweight shipments accounted for 40%—or about 37 million packages—of its total increase in ground shipments in 2012.
