FedEx Competitors (11 Alternatives You Can Try)
Since its founding in 1973, FedEx has made a name for itself by offering expedited shipping options and real-time tracking. It was also the first U.S. company to achieve $1 billion in revenue without M&A in the previous decade.
However, despite FedEx’s great success, that doesn’t mean it doesn’t have any competitors. In fact, there are plenty of companies vying for a spot next to FedEx in the US and abroad. Check out this article to see who they are!
FedEx Competitors in 2022
Globally, United Parcel Service (UPS) is FedEx’s main competitor in 2022. In fact, both provide international logistics and package delivery services to over 220 countries. In addition, both companies have more than $90 billion in revenue in 2021. Other competitors include US companies such as DHL, USPS and XPO Logistics, German companies such as Kuehne + Nagel and French companies such as CEVA Logistics.
This article contains information on 11 of FedEx’s top competitors, read on to find out who they are!
1. United Parcel Service (UPS)
United Parcel Service, or UPS for short, is an international logistics and package delivery company operating in more than 220 countries.
It operates UPS Freight, UPS Airlines and UPS Stores and delivers more than 5.5 billion shipments annually.
In 2021, the company’s revenue totaled $97.3 billion, and it has no plans to stop there.
In fact, UPS is focusing on improving its small business services and becoming a major player in the e-commerce industry.
Right now, UPS is a strong competitor to FedEx because it’s better suited to handling crises.
2. DHL
Founded in San Francisco in 1969, DHL is the world’s largest logistics and courier services company with more than 1.5 billion deliveries a year.
Like UPS, DHL offers package delivery, international express and express mail services in 220 countries.
In fiscal 2021, the company posted a record 81.74 billion euros ($84.24 billion) in revenue.
DHL’s main competitive advantage over FedEx is its comprehensive service portfolio.
And FedEx only provides the following services:
- Express
- ground
- freight
- IT-based logistics
DHL provides the following services:
- Express
- parcel
- freight,
- Global forwarding
- e-commerce
- Supply Chain Solutions
More importantly, although FedEx has a strong presence in North America, DHL is synonymous with intercontinental logistics and is FedEx’s biggest competitor in the world.
3. Kuehne + Nagel
Germany’s Kuehne + Nagel is a leading logistics and freight forwarding company with operations in 109 countries.
In fact, the company accounts for nearly 15% of the global freight business.
In addition to land, sea and air freight forwarders, Kuehne + Nagel’s also offers contract logistics and IT-based logistics solutions.
The company generated 36 billion Swiss francs ($38.3 billion) in revenue by the end of 2021.
Overall, Kuehne + Nagel is one of the best alternatives to FedEx when it comes to air and ocean freight forwarding.
4. DB Schenker
Another German company, DB Schenker, is also one of FedEx’s biggest competitors. DB Schenker is the logistics division of German rail operator Deutsche Bahn AG.
DB Schenker provides air, ground and ocean freight and contract logistics services in 140 countries. In 2021, it posted revenue of 23 billion euros.
As one of the leading integrated logistics service companies in the Americas and Europe, DB Schenker is a strong competitor to FedEx.
5. XPO Logistics
XPO Logistics is an American multinational corporation that provides logistics, freight and brokerage services in more than 32 countries.
In 2021, the company’s revenue exceeded $12.8 billion.
Thanks to XPO Connect, the company’s technology-driven shipper and shipping matching service, XPO Logistics, is a contender for FedEx.
6. Purolator
Purolator is primarily owned by Canada Post and conducts most of its business in Canada. That is, its subsidiary Purolator International handles deliveries in the US and abroad.
In 2021, the company posted $51 million, a staggering windfall considering Canada Post’s losses.
Although Purolator is a much smaller company than FedEx, it is a formidable competitor in the Canadian market.
7. The Yellow Company
Another North American company, Yellow Corp, competes with FedEx. In fact, the company achieved $5.12 billion in revenue in 2021.
In the future, the company hopes to compete with FedEx in the less-than-truckload (LTL) industry.
That goal is made easier by the U.S. government, which controls 30 percent of the company and plans to provide a $700 million loan for divestitures and new equipment.
8. CEVA Logistics
Headquartered in Marseille, France, CEVA Logistics is a global logistics and supply chain company with operations in 160 countries.
It provides freight management and contract logistics services and is the fourth largest logistics provider in the world.
In 2021, the company reported $12 billion in revenue.
9. SNCF Group
SNCF is the national railway company of France. It provides freight, transportation, logistics services and innovative supply chain solutions.
2021 was a big year for the company, with revenue from Geodis, its freight forwarding and contract logistics unit, rising 21.4%.
In the same year, SNCF’s e-commerce revenue grew 23%, and freight forwarding services grew 31%.
As a result of this growth, SNCF generated 34.8 billion euros ($35.9 billion) in revenue in 2021.
As the company continues to grow, it will become more competitive with FedEx.
10. United States Postal Service (USPS)
USPS is the autonomous postal service of the United States. It operates as a US agency under the federal government.
Not only does it have a monopoly on letter delivery in the United States, it also competes with FedEx in package delivery.
In fiscal 2021, USPS posted revenue of $77.06 billion and a net loss of $4.93 billion.
That’s an impressive feat, considering the agency’s lack of funding and support from the government.
11. CH Robinson
CH Robinson is a Fortune 500 company providing transportation, third-party logistics, warehousing and brokerage services.
Other services include freight consolidation, supply chain analysis and information reporting.
While freight transportation accounts for the bulk of the company’s $23.1 billion in revenue, sourcing and marketing fresh produce also accounts for a large portion of profits.
Overall, CH Robinson is one of FedEx’s main competitors due to its strong brand value and affordability.
To learn more, you can also read our posts on the fastest FedEx shipping methods, how long a FedEx tracking number is, and how FedEx pickup works.
in conclusion
While FedEx isn’t struggling in any way, there are plenty of companies looking to compete with the global leader in transportation, logistics and package delivery.
With that in mind, you may want to spend some time researching the companies mentioned in this article the next time you plan to ship.
