FedEx Anticipates Record Peak Holiday Shipping Season

By Company-Issued Press Release
EcommerceBytes.com
October 31, 2016





FedEx said it is anticipating a record-breaking holiday shipping season and provided details about how it is preparing and what customers should know about the impact of Christmas falling on a Sunday this year.

FedEx anticipates another record peak holiday shipping season, with each of the four Mondays during the season expected to be among the busiest in our company's history. The rapid growth of ecommerce has driven significant shifts in demand over the last several years, and we are confident we are prepared to deliver another successful holiday for our customers due to our significant investment in our people, facilities, aircraft and technology.

Is this a record for FedEx?

Yes, we are anticipating a record-breaking Peak season.

Why Mondays?

The rapid growth of ecommerce has driven significant shifts in demand over the past several years.

Beyond just the dramatic rise in volume, there are other shifting industry dynamics.

  • Holiday promotions and buying patterns have increasingly shifted, resulting in heavy demand for package delivery on Mondays during peak.

  • The intensity for demand on Monday has accelerated in recent years as more and more retail locations have started serving as fulfillment centers for ecommerce orders.

What measures has the company taken to prepare for this influx of volume?

FedEx has taken several measures to prepare for the busy Peak season.

  • People - hiring 50,000 positions for Peak season
  • Facilities/Automation - forecasts a $2 billion capacity investment in FedEx Ground: Added 19 fully-automated stations and 4 major distribution hubs since last Peak - that's more than 12 million square feet of sortation space; Added 6 non-conveyable annexes to handle over-sized packages
  • Aircraft - added 30 new aircraft since last Peak, and added Enhanced Vision systems to 270 aircraft, which helps pilots land in low visibility conditions

What will be the impact of Christmas being on Sunday?

  • As the demand of ecommerce grows, FedEx is committed to meet the service level our customers have come to expect.
  • As a further commitment to delivering outstanding service, and in recognition of Christmas Day falling on Sunday this year, we have adjusted some service commitments for shipments tendered the week of Christmas.
  • FedEx Express will be delivering on Saturday, December 24 - Christmas Eve - but it is not a service day for FedEx Ground.
  • FedEx Hold at Location is also a delivery option for customers on Christmas Eve.

See the full press release on the FedEx website.

Source: FedEx Press Release


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