While we may not be ready to admit it, the 2018 holiday season is nearly upon us. Most businesses have been tweaking their Q4 holiday readiness plans since January 1. If we look to the big dogs for indication of when to start implementing these plans, some might be surprised to find that, according to FedEx, it’s “go time!”
This month FedEx Ground boosted services by expanding operations to six-days a week in anticipation of what is expected to be another record breaking holiday season for eCommerce.
This expansion will continue year-round as a new service standard for FedEx, just one piece of FedEx’s response to rapidly growing eCommerce sales. By 2021, Global eCommerce sales are expected to be nearly double 2017’s total of $2.3 trillion. FedEx plans to be ready.
In 2008, FedEx’s record volume day was 12 million shipments. Today, FedEx handles 14+ million shipments per day on average. FedEx projected this astronomical growth and began implementing a major business transformation over the past several years that is now largely complete.
The transformation includes the addition of 36 million square feet in just five years, plus significant investments in technology innovations. As we enter Q4, it looks as though FedEx has set themselves up for major profitability benefits that will likely carry over into off-peak periods.
At PFS, our operations team is looking to the next quarter with much anticipation and our own peak preparations are already under way as we prepare to meet the rising demand this holiday season. As a FedEx partner, we feel confident our service levels will benefit from this service expansion and the other improvements underway at FedEx.
Want to learn more about PFS’s FedEx partnership and our Transportation Services? Send us a note.