FedEx Just Announced Its Own Commerce Platform for Retailers

Making Competition for Amazon. Fdx, the digital platform coming this fall, will offer solutions to merchants hoping to improve their fulfillment strategies.

By Inc.Arabia Staff
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FedEx is launching a digital platform that may help small businesses to streamline their logistics.

More than four years since its public divorce with Amazon, the Memphis, Tennessee-based transportation corporation is launching a commerce platform called Fdx, it announced at the National Retail Federation's Big Show on January 14. The digital service will use FedEx's insight from its 15 million daily deliveries to help businesses share accurate delivery times, manage returns, and optimize logistics, the company says.

These tools may help small businesses better anticipate and prepare for potential supply chain disruptions and improve their delivery speeds--which could win them points with customers. Research from McKinsey shows that nearly half of online shoppers have abandoned shopping carts online because of too-long or unspecified shipping times.​ With Fdx, small businesses will have the option to share delivery dates and time window updates on product pages, in cart, and at checkout to increase delivery transparency.

This access to delivery information could change the game for small businesses, particularly those looking for alternatives to Amazon. The Seattle-based corporation offers fulfillment services through its programs Fulfillment by Amazon, which requires sellers to use Amazon's warehousing facilities, and Amazon Shipping, which allows businesses to schedule pick-ups from their own warehouses. In 2022, Amazon eclipsed both FedEx and competitor UPS to become the largest parcel-delivery business in the U.S., the Wall Street Journal reported in November.

Photo Credit: Getty Images.

Unlike Amazon, however, FedEx is "not in the business of the marketplace," says global media relations manager Christina Meek. "We're trying to help businesses build the best possible experience from demand to post-purchase," she adds. "We provide them the digital capabilities and insights and they own the experience with their consumer." For instance, businesses can use Fdx's insights about supply chain strains to notify consumers of shipments that are at risk of being delayed.

Beyond delivery insights, Fdx will give users access to existing FedEx tools, like its ShopRunner member network, which may expand their customer acquisition opportunities, and FedEx Sustainability Insights, which can help businesses better understand the carbon footprint of their fulfillment strategy. Fdx will also offer a custom post-purchase feature to allow brands to develop their framework for tracking returns, as well as an order fulfillment-management system that aims to find optimal shipping routes and speeds for deliveries, the company says. 

The platform will officially launch in the fall, but a preview option is available now upon request.

Photo Credit: Getty Images.

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