Logistics company FedEx today announced its own trading platform called FDX. The platform is likely to compete with Amazon by offering merchants services such as demand generation, fulfillment, tracking, and post-purchase experiences, including returns.
The company said FDX is currently in private preview with plans for a broader launch in fall 2024. Companies can register their interest in trying it out. through a form. The company did not mention any brands that are part of the pilot program.
FedEx's announcement has plenty of marketing buzzwords, including “data-driven,” “digitally driven” and “end-to-end e-commerce solution for businesses of all sizes,” but it offers no details such as how it will compete with existing platforms. .
The company said merchants could use FedEx services, such as ShopRunner, an e-commerce platform that purchased in 2020 — to reach customers, display estimated delivery time on websites, manage carts, track packages, record the impact of deliveries on carbon emissions, and manage returns.
Amazon has been offering Fulfilled by Amazon (FBA) for years. to allow merchants to use the company's shipping and logistics infrastructure.
In 2022, Amazon began allowing third-party merchants already using FBA to list Prime-eligible items on their own sites. In January 2023, the e-commerce giant expanded this feature to all US merchants and also allowed them to display Amazon reviews for an item on their site. Last November, Amazon launched new benefits for Buy With Prime, such as easy returns and customer service.
Last year, the Wall Street Journal reported that Amazon has been outperforming rivals FedEx and UPS in terms of US package deliveries.
In 2019, FedEx ended air and ground delivery contracts with Amazon. At the time, the Tennessee-based company said Amazon accounted for just 1.3% of revenue for the 12-month period ending in December 2018. In December 2019, Amazon blocked third-party merchants from could use FedEx ground delivery service for Prime shipments. which was reversed a year later.
