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FedEx vs UPS vs USPS: The best shipping options for small business

There are about 11.9 billion packages shipped shipped each year. This number is only expected to rise as e-commerce continues to be a favorite way for consumers to shop.

With shipping volumes rising, so are the number of service options available. This leads many individuals and businesses to compare FedEx vs. UPS vs. USPS.

Use this guide to find the right mailing service for your personal and business needs and budget.

FedEx

Thanks to their reliability and quality service, FedEx is a popular choice for both individuals and businesses. If you’re willing to pay a bit more for peace of mind and exemplary customer service, then FedEx is the service for you.

Strengths

If tracking your packages is required, then you’ll appreciate FedEx’s comprehensive tracking system. It lets you or your customers view the shipment status every step of the way. You can also use the system to change the delivery location mid-shipment or schedule your delivery for a specific time.

One crucial point that separates FedEx and UPS is Saturday delivery. FedEx offers this delivery option as a part of the regular service.

If your packages are over 50 pounds, then you’ll find some of the best rates through FedEx. The shipping service has the infrastructure in place to handle these larger shipments that are freight, not parcel.

You can also negotiate your shipping rates based on your volume. This is key because it ensures that you have more control over your shipping costs.

Weaknesses

One weakness that FedEx has is that while they have offices across the country, they don’t have the same coverage that UPS or the USPS has. This can deter some people who don’t want to travel farther than necessary.

Another weakness is their lack of free package pickup service. You can schedule a pickup, but you’ll need to pay an extra fee.

FedEx also has higher shipping rates. As we stated, exact rates vary based on your shipment, but in general, FedEx tends to be more expensive.

The United Parcel Service has grown to develop a reputation for reliable and fast service. Businesses love their comprehensive tracking system. UPS tends to fall between FedEx and the USPS when it comes to pricing. For the cost savings, you’ll find that UPS lacks some of the services and features that FedEx offers.

Strengths

If you need your packages to arrive fast, then UPS has the perfect solution: guaranteed express shipping. They offer both same-day and next-day guaranteed delivery.

If your shipments are heavy, then UPS is the place to go. They can often offer lower rates for faster delivery times when packages are over two pounds.

They also offer competitive discounts for high-volume shipping. This makes it an attractive choice for small businesses that ship a high number of lighter packages. You’ll need to be able to prove your shipping volumes to take advantage of volume discounts.

Weaknesses

One big downside to UPS is that you end up paying a pretty penny for that impressive tracking system and fast shipping times. You also don’t have the option of free package pickup service.

UPS also won’t deliver for free on Saturday. They’re the only carrier that doesn’t include this service, which can slow down your package by a day or two.

The United States Postal Service is the longest-running service and tends to be the first choice for most businesses. Before you brush off this option, you should know that the USPS has taken steps to ensure that reliability is a priority.

They also have a monopoly on delivering to mailboxes and PO boxes. Other shipping services cannot deliver to PO boxes and must leave packages on the location’s front doorstep.

Strengths

There’s no one-size-fits-all answer, but the USPS tends to be the most affordable option when it comes to small packages. These are packages that are lighter than two pounds. If your package is lighter than 13 ounces, then the USPS can’t be beaten.

The USPS also offers some competitive prices for their flat rate priority mail packaging. For one flat fee, you can ship anything you want of any weight for any distance. All you need to do is fit your items into the standard packaging.

This makes this option even more convenient because you save on packaging. There are also options for certified mail if you need a bit more security to your shipment. You can learn more here about certified mail.

Weaknesses

There are a few areas where the USPS lacks. Your ability to track your packages isn’t great. This less than accurate tracking system makes it difficult to know when packages get delayed or lost. If you want better tracking, you need a more expensive shipping service.

Many customers also complain about poor customer service. If your package does go missing, it can be challenging to find someone to assist you. You’ll need to weigh the importance of saving money vs. the level of service you want.

FedEx vs. UPS vs. USPS, Which Is Right for You?

When it comes to choosing between FedEx vs. UPS vs. USPS, you need to think about your budget and needs. You may find that flat-rate USPS priority mail packages are the perfect solution.

If you need to ship a high volume or heavy packages, then UPS is your best option. FedEx is a more favorable option if weekend delivery is an important service for you.

Don’t agree with our comparison? Let us know by heading over to the “Have Your Say” section.

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