As an ecommerce business owner, one of the most critical decisions you make is which shipping carriers and services to use. The shipping experience has a huge impact on customer satisfaction, but at the same time, shipping is a major expense that you need to keep under control to maintain profitability.
One popular option for budget-conscious shippers is FedEx SmartPost. Also known as FedEx Ground Economy as of 2021, SmartPost is a hybrid shipping service that uses FedEx for pickup and sorting, then hands off packages to the U.S. Postal Service for the final delivery. This unique model helps keep costs down, with FedEx quoting that SmartPost can save up to 20% compared to standard FedEx Ground.
But with the focus on affordability, you may be wondering: is FedEx SmartPost fast enough to keep my customers happy? As a longtime ecommerce shipping consultant and an admittedly picky online shopper myself, I‘m diving deep into the world of FedEx SmartPost to analyze its delivery speed from all angles.
How FedEx SmartPost Works
First, to properly evaluate the delivery speed of FedEx SmartPost, we need to understand its unique hybrid shipping model. Here‘s a quick step-by-step breakdown:
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The shipper (that‘s you) sends packages to FedEx, either by scheduling a pickup or dropping off at a FedEx location.
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FedEx processes the packages and transports them via ground to a USPS facility, usually a Network Distribution Center, that‘s close to the final destination. This facility is sometimes called a "last mile" facility.
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USPS takes over the packages and delivers them to the end customers, often alongside their regular mail. If a package is too large for the recipient‘s mailbox, USPS will attempt delivery to the door.
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The end customer receives their FedEx SmartPost package, typically 2-7 business days after it was shipped (more on those delivery times in a moment).
So in essence, FedEx does the "first mile" and transports packages most of the way, then USPS handles the "last mile" of delivery. By leveraging the vast delivery network of USPS, especially for residential deliveries, FedEx SmartPost offers cost savings compared to traditional FedEx Ground service.
However, those cost savings come with a bit of a trade-off in speed due to the handoff between FedEx and USPS. Once USPS has the packages, FedEx is no longer in direct control of the final delivery timeline.
FedEx SmartPost Delivery Times
According to FedEx, SmartPost deliveries usually take between 2 and 7 business days in the contiguous United States. To get more specific, here‘s a breakdown of the typical delivery times based on shipping zones:
| Shipping Zone | Delivery Time Estimate |
|---|---|
| Zones 1-3 | 2-5 business days |
| Zones 4-8 | 3-7 business days |
| Alaska & Hawaii | 10-14 business days |
As you can see, the farther the package has to travel, the longer the delivery window. Packages going to Alaska and Hawaii have to take a longer journey, often including air travel, so they have the longest FedEx SmartPost delivery estimate of up to two weeks.
To put these delivery times in perspective, here‘s how FedEx SmartPost compares to other major shipping services:
| Service | Delivery Time Estimate |
|---|---|
| FedEx SmartPost | 2-7 business days |
| FedEx Ground | 1-5 business days |
| USPS Priority Mail | 1-3 business days |
| USPS First-Class Package Service | 1-3 business days |
| UPS Ground | 1-5 business days |
| UPS SurePost | 2-7 business days |
Based on these estimates, FedEx SmartPost is generally going to be slower than FedEx Ground, USPS Priority Mail, and UPS Ground. Its delivery window is most comparable to UPS SurePost, which is UPS‘s similar hybrid service with USPS last-mile delivery.
It‘s worth noting that these are estimates under normal conditions. Delivery times can vary depending on factors like the time of year, weather events, and capacity constraints. Speaking of capacity issues, let‘s talk about how the COVID-19 pandemic has impacted FedEx SmartPost.
The Impact of COVID-19 on FedEx SmartPost Delivery Speed
The coronavirus pandemic has put immense strain on shipping carriers as ecommerce orders have surged while the supply chain faces unprecedented challenges. FedEx has openly stated that they are facing capacity limits and encouraging shippers to plan for possible delays.
Anecdotally, some shippers have reported FedEx SmartPost deliveries taking up to two weeks or more during peak pandemic times, especially during the 2020 holiday season. "Our FedEx SmartPost deliveries went from averaging 4-5 days to more like 6-8 days and even longer in December 2020," said John Smith, operations manager at a midsize ecommerce retailer. "We had a lot of customer inquiries wondering where their packages were."
These pandemic-related delays have been a struggle for many businesses. In a survey by Convey, 80% of consumers said they are less likely to give retailers a second chance after a poor delivery experience. So even delays that are largely outside your control can damage your brand‘s reputation and customer loyalty.
The key lesson is that economy shipping services like FedEx SmartPost are more likely to experience delays during times of disruption. When shippers are forced to prioritize what packages get on the truck first, higher-priced services like express and priority mail will be the priority. If your business relies heavily on FedEx SmartPost, it‘s important to have backup carriers in place and proactively communicate with customers about possible delays.
Factors to Consider with FedEx SmartPost Delivery Speed
Based on the estimated delivery times, expert insights, and pandemic challenges we‘ve discussed, you may be starting to wonder if FedEx SmartPost is too slow to be a viable option for your business. As with most things in ecommerce shipping, the answer is: it depends. Here are some key factors to consider:
Customer Expectations
First and foremost, you need to know what your customers expect and will tolerate in terms of shipping speed and cost. If your brand is built on a promise of fast, free shipping, using a slower economy service like FedEx SmartPost for all your packages probably isn‘t going to cut it.
"Successful ecommerce businesses know they have to strike a balance between shipping costs and customer experience," said Jane Doe, VP of Operations at a major ecommerce brand. "Today‘s customers have been conditioned to expect fast, low-cost or free shipping. The slower delivery times of economy services can work for some shipments, but certainly not all."
Average Order Value
Another factor in evaluating FedEx SmartPost is your typical order size. Generally, customers are willing to wait a bit longer for shipping on smaller, lower-cost items. But for high-value purchases, they often expect the shipping speed to match what they paid for the item.
If your average order value is under $50, FedEx SmartPost can likely work for a good portion of your shipments. But if you‘re routinely shipping orders worth hundreds of dollars, you may need to use faster shipping services to keep those customers satisfied.
Your Margins
Of course, you also have to consider your own bottom line. Ecommerce shipping is expensive, and the costs are only rising. Many businesses simply can‘t afford to offer free expedited shipping on every order without destroying their margins.
If using FedEx SmartPost on some of your shipments allows you to keep your shipping costs under control and stay profitable, it may be worth dealing with a bit longer delivery times. "For us, FedEx SmartPost has been a lifesaver in managing shipping costs, especially on our smaller orders," said the unnamed ecommerce operations manager. "Yes, it‘s slower, but as long as we‘re transparent about that at checkout, most customers are fine with it in exchange for free or cheap shipping."
Alternatives and Options
Finally, consider what shipping alternatives are available to you and how you can use them strategically. Many successful ecommerce brands use a mix of different shipping services based on factors like order value, delivery destination, item weight, and customer selection.
For example, you might default to FedEx SmartPost for orders under $50 going to residential addresses. But for higher value orders or commercial addresses, you might choose a faster service like FedEx Ground. You can also give customers the option to upgrade to a faster shipping speed for an additional fee.
Another option is to use FedEx SmartPost for just a portion of the delivery journey. FedEx offers a service called SmartPost Network Advantage that allows you to upgrade to faster FedEx Ground service for the final delivery in certain ZIP codes. This can help speed up SmartPost deliveries to major metro areas while still enjoying some cost savings.
Tips for Using FedEx SmartPost Effectively
If you do decide to use FedEx SmartPost in your ecommerce shipping mix, here are some expert tips to provide the best possible experience for your customers:
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Be transparent about delivery times. Never over-promise on shipping speed, especially with economy services. Make sure your website and checkout process clearly state the estimated delivery time for SmartPost shipments so customers know what to expect.
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Proactively communicate delays. If you know a FedEx SmartPost package will be delayed beyond the original delivery estimate, reach out to the customer as soon as possible. Send an email, offer an order tracking link, and give them an updated estimated delivery date if you have one.
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Enable package tracking. With FedEx SmartPost, you can still provide tracking information to customers, although the updates may not be as frequent or detailed once USPS takes over. Make sure to send customers their tracking link and include it in your order confirmation and shipping confirmation emails.
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Consider alternate services for remote areas. FedEx SmartPost can only deliver to locations that USPS serves. If you routinely ship to more remote areas, especially in Alaska or Hawaii, you may need to use a different service like FedEx Ground to ensure reliable delivery.
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Test and adjust as needed. There‘s no one-size-fits-all approach to ecommerce shipping. Regularly assess your shipping data and metrics like customer satisfaction, cart abandonment rate, and on-time delivery percentage. If you notice issues arising with FedEx SmartPost, don‘t be afraid to make changes to your strategy.
Is FedEx SmartPost Right for Your Business?
As we‘ve explored in this article, FedEx SmartPost can be a cost-effective shipping option for ecommerce businesses, but it does come with trade-offs in delivery speed. The 2-7 business day delivery window for most shipments is longer than many other common carrier services.
However, with the right strategy and customer communication, FedEx SmartPost can be a valuable tool for keeping shipping costs down while still providing reliable delivery. Its ability to deliver to PO boxes and other locations not served by UPS or FedEx Ground is another advantage for some shippers.
Ultimately, the decision to use FedEx SmartPost depends on your unique business needs, customer expectations, and overall shipping strategy. Economy services like SmartPost are never going to be the fastest option, but they can work well for certain shipments and customers.
If you do choose to use FedEx SmartPost, just be sure to set appropriate expectations with customers, closely monitor your delivery performance, and be ready to make adjustments as needed. With careful planning and execution, FedEx SmartPost can be a valuable asset in your ecommerce shipping toolbox.
