FedEx Freight Service Set for March 15 Launch

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Federal Express Corp. is set to launch its expanded freight delivery services March 15.

The express carrier, based in Memphis, Tenn., will guarantee one- to three-day delivery of shipments weighing up to 2,200 pounds to U.S. destinations using a network of air and ground terminals.

The new service is a direct attempt at capturing service-sensitive freight now handled by regional and long-haul less-than-truckload companies as well as air freight forwarders.

Carl Asmus, vice president of freight marketing for FedEx, said the new service will give shippers greater reliability and coverage at a price that is competitive with time-definite LTL delivery services.

By mixing freight and packages from its express parcel business, Asmus said FedEx can achieve load factors and lane density that are better than current levels in either the trucking or air freight segments.

“That is the backbone of our strategy,” he said.

Shipments tendered to FedEx must be unitized, or tied down to a pallet, and carry a maximum liability of $50,000 for each pallet.

“This gives us the ability to sort and handle freight efficiently,” Asmus said. “Loose pieces kill you.”

Customers will be able to use standard FedEx software to calculate pricing and prepare shipping documents. No air bill or bill of lading is required.

Pricing will be distance-based, and volume discounts will apply. Customers can track shipments over the Internet or by calling the company.

FedEx will offer two money-back guarantees. One applies if the company cannot locate a shipment within 30 minutes, the other if a shipment is late.

One-day service is guaranteed by noon. Two- and three-day service is guaranteed by 4:30 p.m.