FedEx is launching a new "data-driven commerce platform" to connect all end-to-end transactions for "businesses of all sizes."
The platform, fdx, will be the delivery service's answer to help merchants handle product distribution for both deliveries and returns. The platform was first announced at the 2024 National Retail Federation convention.
FedEx said it would use "digital intelligence" to optimize and streamline logistics operations for partnered businesses through the platform.
The e-commerce platform is scheduled to debut sometime in the Fall of this year. Companies and businesses can request a private preview of the fdx platform via FedEx's sign-up page.
FedEx Enters in Direct Competition with Amazon
The announcement of fdx comes as FedEx expands its physical delivery service to gain the upper hand over e-commerce giant Amazon, one of the platforms it named as a rival in the industry in 2019.
FedEx and UPS have been losing against Amazon in-home delivery services as the dominating e-commerce platform increases its logistic operations via third-party contractors.
FedEx has not renewed its contract with Amazon for its FedEx Express services since 2019.
The platform itself will be built on the e-commerce store ShopRunner it acquired in 2020.
One noticeable quality of the platform is its feature that lets merchants provide estimated dates for product delivery, a factor FedEx considers as "more efficient" and "cost-effective."
Customers will also be able to customize post-purchase options via changes in the shipment information.
FedEx Operations in Response to Economic Pressures
FedEx has generated $80 billion in 2023, 6.5% lower than its $80 billion profits in 2022, amid slow economic growth due to surging inflation.
The delivery service's shares also dropped 12% last December following FedEx's cut down its revenue forecast due to weaker demands.
FedEx aims to repurchase at least $1 billion of its lost common stocks this year.
Despite the decrease all year round, FedEx remains above average for stable business operations and continues to earn profits for over a decade.
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