FedEx is gearing up for an explosive start to the holiday shopping (and shipping) season, and expects to see record package volume flooding its network on Cyber Monday this year.
The delivery service company expects to move more than 33 million parcels through its global network on Dec. 2 alone, and projects more than double its average daily package volume on the two following Mondays as well.
In a statement, FedEx attributed these spikes in service to consumers’ penchant for online shopping on the weekends. Those orders hit retailers early in the week, bolstering demand for residential delivery.
“E-commerce continues to grow, and FedEx is ready to deliver this holiday and beyond,” Brie Carere, executive vice president and chief marketing and communications officer for FedEx, said. “We recognized early on that e-commerce would transform the way our customers shop and ship, and we have invested in a world-class network that flexes to meet volume demands throughout the year.”
Despite the fact that the holiday shopping season has been compressed by six days this year, the shipping giant said it’s prepared, operationally, to deliver on its commitments to consumers.
“Our more than 450,000 outstanding team members have worked all year to prepare to deliver the absolute highest level of service for our customers this holiday season,” Carere insisted.
FedEx has also sought to enhance its seasonal offerings with services that make shipping and returns easier and more convenient for holiday shoppers.
Related Stories
The company has expanded its retail network and extended operating hours for its FedEx Office stores, citing research showing that 62 percent of shoppers are more likely to shop online if they can return in store. There are more than 14,000 FedEx hold locations across the country, the company said, including at popular retail chains like Walgreens, Albertsons, Kroger and Dollar General.
In more than 30 FedEx Ground stations across the country, the company has implemented new handling equipment to help deal with the influx of large packages like televisions and furniture, which shoppers are increasingly buying online. The newly expanded FedEx Freight Direct service now services 80 percent of the contiguous U.S. population, allowing for the delivery of these bulky items directly to residences and businesses.
Using its highly automated network, FedEx Ground has started offering seven-day residential service to customers as it gears up for the peak season. The company said that even beyond the holidays, it will continue to provide seven-day service to most of the U.S.
And important for retailers, FedEx has committed not to apply holiday-related surcharges, which it said will help its small and medium-sized customers keep costs low for consumers.