Amazon is undoubtedly the queen of digital commerce. Millions of users visit the website daily to buy, sell, or simply browse. Despite fierce competition (AliExpress, Temu, etc), another major company wants to join the marketplace business and challenge Amazon: we are referring to FedEx, the famous courier company.
FedEx has announced that it will launch a new “data-driven commerce platform” next fall called fdx. Raj Subramaniam, CEO of FedEx, explains that they will leverage “their extensive physical transportation network” and expertise to transform the brand into a “digitally-driven business”.
The future fdx will combine existing FedEx tools with functionalities such as creating a personalized post-sale experience. In this way, brands that sell through fdx will be able to better inform their customers about the status of their orders and track them in real time through FedEx Surround, for example.
In the past, Amazon and FedEx had collaborated in the past for shipping purposes. However, FedEx itself decided in 2019 not to renew its contract with Amazon, reflecting an escalation of tensions within the US transportation sector. During the 2019 Christmas season, Amazon categorically prohibited its workers from using FedEx for Prime deliveries.
Over the years, FedEx’s numbers have been declining more and more. As early as 2022, the company founded by Jeff Bezos managed to make more home deliveries than FedEx and UPS combined. In 2023, Amazon launched Amazon Prime Air in the United States, its delivery service that uses drones. The system, which is already operational in the American country, is expected to land in Europe during 2024.
Source: The Verge
