FedEx Tender Authorizes Agent for Final Delivery (What That Means)
From delivery to sorting to delivery, most FedEx packages are handled exclusively by FedEx employees. However, one FedEx service, Ground Economy, leaves last-mile deliveries to authorized agents.
In most cases, the authorized agent is the United States Postal Service. This may sound like an odd setup, but after reading this article, you’ll have a better understanding of what authorized proxies are and how they can benefit FedEx!
FedEx Tender Authorized Agent for Final Delivery
When the package is delivered to an authorized agent for final delivery, FedEx has handed over your item to another company (usually the U.S. Postal Service) that will complete the delivery in 2022. The system allows FedEx to save money on the most expensive part of the shipping process and pass the savings on to customers.
To learn more about how this service works and what to expect from using it, be sure to keep reading!
What does it mean for a FedEx package to be bid?
If your tracking information says “delivered to delivery service provider” or “delivered to authorized agent for final delivery,” FedEx has given your package to another agency for delivery.
In almost all cases, the agency responsible for the final delivery is the United States Postal Service (USPS).
That said, there are times when private postal services complete the delivery, which most often occurs with ground shipments delivered to local couriers.
Handing over a package is a simple process. That is, FedEx delivers the package to USPS, where it is sorted, scanned at a nearby post office, and delivered to the customer’s doorstep.
Why does FedEx tender packages to authorized agents?
The process of bidding a package from FedEx to the USPS can seem confusing, especially if you don’t understand why this is happening.
To that end, FedEx launched Ground Economy (formerly SmartPost) to provide cost-effective shipping to small and medium businesses.
By giving packages to USPS for last-mile delivery, FedEx can save money on the most expensive part of the delivery process and pass those savings on to customers.
In fact, shipping through Ground Economy is about 20% cheaper than other home delivery services.
More importantly, having USPS complete the delivery also allows FedEx to offer delivery to more addresses.
This is because Ground Economy includes all addresses provided by the USPS, some of which are not part of FedEx’s network.
How long does it take to deliver a package after a FedEx tender?
If FedEx hands your package to an authorized agent, it usually means the item has been delivered to your nearest post office.
When this happens, it usually takes two to three days for USPS to complete the final delivery.
Can you track a package after FedEx has given it to an authorized agent?
Even though giving your package to an authorized agent means your item has been handed over to another company, your tracking ability hasn’t changed.
This way, you will receive a FedEx tracking number when shipping via a package-oriented service.
You can then use this number to monitor the package’s progress throughout transit, even after FedEx hands it over to the USPS.
Still, it can be a little confusing to know exactly what happened to your package during the handover.
This is because your tracking information may show “delivered” after FedEx hands the package to USPS.
Then, within 24 hours, you may see the tracking update “out for delivery” when USPS is ready to ship.
Understandably, this may cause some confusion during the 24-hour window following the bidding process.
To add to the confusion, you may also receive a separate USPS tracking number that you can use to find your package once USPS has it.
To learn more, you can also read our posts on FedEx Signature Authorization Form, FedEx Claim Form, and FedEx Print Labels.
in conclusion
FedEx shipping costs can be high, especially for small and medium-sized businesses, which is why many companies choose cost-saving services like FedEx Ground Economy.
With this service, FedEx entrusts USPS with last-mile deliveries.
By having an authorized agent complete the delivery, FedEx saves money and passes the savings on to customers.