Strategic Shipping with FedEx: Data-Driven Insights for Businesses

Authored by Matt Lessard

Since 2001, Matt Lessard has started numerous projects, from an E-commerce SaaS to an online store shipping to over 80 countries. Creator of Buster Fetcher®, a technology reducing shipping costs. Passionate about personal development and business growth.

Choosing the right shipping provider is a critical decision for e-commerce businesses. 

FedEx, a leading global courier, delivered an impressive 6.21 million packages daily globally through their Express service in 2022 alone. 

With such a high volume of packages, it's essential to understand how to optimize your shipping strategy with FedEx. 

In this guide, we'll unveil insights from the Buster Fetcher Shipping Report, where we analyzed 1,823,443 packages sent and delivered by Canada Post, UPS, FedEx, and Purolator during the second quarter of 2023.

Let's get started!

How Long Does FedEx Take To Deliver a Package?

Delivery times for FedEx packages can vary depending on the province to which you're shipping and the service you choose. 

Here, we delve into the delivery times for two of FedEx’s services: FedEx Ground and FedEx Economy, and share some insights from the Buster Fetcher Q2 Report.

How fast is FedEx Ground?

FedEx Ground FedEx Ground offers reliable and budget-friendly day-definite delivery within Canada for packages weighing up to 150 lbs. (68 kg). This service is ideal for shipments that don't demand the urgency of express shipping.

Here are the key observations from our analysis:

• Average Delivery Time: The average delivery time for FedEx Ground across Canada is 1.68 days.

• Delivery Times by Province: When shipping to Ontario, the delivery takes approximately 1.12 days, making it faster than the national average. However, for a package destined for Newfoundland and Labrador, the delivery time increases to around 4.89 days. It's also noteworthy that shipping to British Columbia with FedEx Ground takes about 3.22 days, which is 210% slower compared to Ontario.

How fast is FedEx Economy Shipping?

FedEx Economy For businesses aiming to achieve cost savings without compromising service and reliability, FedEx Economy® presents the perfect solution. With packages arriving at your business location by 5 p.m., this service also offers flexibility in payment options tailored to your specific needs.

Here are the insights from our report:

• Average Delivery Time: The average shipping time for FedEx Economy across Canada is 1.41 days.

• Delivery Times by Province: Shipping to Ontario with FedEx Economy is slightly quicker than the national average, with an average time of 1.08 days. Conversely, customers in Saskatoon will need to wait approximately 2.81 days for a FedEx Economy shipment. When comparing Ontario and British Columbia, it takes about 2.35 days to ship to the Pacific Coast Province, making it 123% longer than shipping to Ontario.

It's interesting to note that in 2020, only 7% of parcels were shipped with FedEx, putting it behind Purolator at 10%, UPS at 15%, and Canada Post at 24%. This information may influence your choice of carrier when developing your shipping strategy.

A Look at Your Options: Top 3 Shipping Services in Canada

If you're shipping packages via FedEx, it's crucial to know which days are more likely to result in delayed deliveries. 

That’s why by choosing the optimal days for shipping, you can minimize late deliveries and enhance your customers' satisfaction. 

Here are some key takeaways based on the day of the week when shipping with FedEx:

• Monday Shipments: FedEx generally performs well in terms of on-time deliveries compared to Canada Post. However, the highest rate of late deliveries for FedEx occurs on Mondays, with an average late delivery rate of 8.21% across Canada. Ontario experiences a similar trend, with a rate of 7.85% for shipments sent on Mondays.

• Sunday Shipments: If you're a business owner in British Columbia or Alberta, consider sending out packages on Sundays. Both provinces show significantly lower rates of late deliveries for packages shipped on Sundays, with British Columbia at 13.64% and Alberta at 13.62%.

Understanding Package Exceptions with FedEx: A Provincial Breakdown

What Are Package Exceptions?

Package exceptions are disruptions in the delivery process that delay the delivery and prevent you from receiving refunds for late deliveries. 

Monitoring these exceptions is vital for e-commerce businesses to ensure timely delivery and customer satisfaction.

What Is the Significance of Delivery Steps?

The delivery process consists of several steps, from order placement to final delivery to the customer. 

Tracking these steps and addressing any exceptions that may arise, impacting your shipping efficiency and customer experience is essential.

What Are the Common Causes of Exceptions?

Exceptions can occur due to various factors such as incorrect address information, delivery attempts outside business hours, or external circumstances like adverse weather conditions. 

Proactively addressing these factors can help reduce exceptions and ensure smoother deliveries. After analyzing 1.8 million packages during the second quarter of 2023, here's what we found: 

Notably, nationwide exception data reveals:

• Recipient Issue: Constituting 3.19% of exceptions, recipient-related problems contribute significantly to exceptions.
• Addressing or Labeling Issues: Approximately 1.69% of exceptions result from addressing or labeling issues.

Recognizing these exceptional scenarios allows FedEx Canada and its customers to collaborate to address these concerns, resulting in more efficient and dependable deliveries.

FedEx Exceptions by Province

According to our report, FedEx ranks third in Canada for package exceptions, with an average of 11.33%. These are the numbers when broken down by province:

• Alberta: 31.22%

• Nova Scotia: 24.32%

• New Brunswick: 23.84%

• Saskatchewan: 21.19%

• Quebec: 12.57%

• British Columbia: 10.84%

• Manitoba: 10.81%

• Ontario: 10.26%

It's evident from the data that Alberta and Nova Scotia have higher FedEx exception percentages, while British Columbia, Manitoba, and Ontario have relatively low percentages. 

As an e-commerce business owner, understanding the provincial differences in package exceptions is essential to improving your shipping strategy and optimizing the customer experience.

Strategic Shipping with FedEx: Bottomline

Our analysis of the Buster Fetcher Report shows that while FedEx generally offers faster delivery than Canada Post, exceptions in delivery can occur, particularly when packages are shipped on Mondays. 

At Buster Fetcher, we're committed to ensuring all our clients thrive and become leaders in their respective fields. We're here to support your success every step of the way. 

To discover more about how you can fine-tune your shipping strategy, download our comprehensive Buster Fetcher Report today. Your journey to becoming number one starts now!