USPS vs. UPS vs. FedEx: Which Shipping Service is Best?

Last Updated:
November 8, 2024
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USPS vs. UPS vs. FedEx: Which Shipping Service is Best?
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USPS vs. UPS vs. FedEx: Which Shipping Service is Best?

Choosing the appropriate shipping carrier is critical for customers and your budget, whether running a small-scale eCommerce store or an enterprise. UPS, USPS, and FedEx are the main shipping carriers in the United States, and each carrier differs in services offered, advantages, and pricing. 

This guide offers a detailed analysis of USPS vs. UPS vs. FedEx to determine which carrier will meet your business’s shipping requirements regarding frequency, cost, delivery time, customer service, and other factors.

Each of these carriers meets different requirements; therefore, it is critical to comprehend their primary services. One of UPS’s biggest strengths is that it can handle large and heavy shipments. USPS is good for shipping small packages at a cheaper price, and FedEx is a well-known company for express shipping and international shipments. 

What is UPS?

United Parcel Service, or UPS, is another prominent supplier of shipping services that has established itself for its reliable ground services and strong international presence. Many companies use this service, especially those dealing with large consignments or requiring a reliable delivery network for large or expensive products. 

With UPS, businesses benefit from tracking, insurance options, and multiple service levels, allowing flexible pricing and delivery.

Key Benefits of UPS

  1. Reliability in Delivery: UPS has also established itself on the principles of timeliness and punctuality in the delivery of its products. Regarding business, this means fewer customer complaints and more trust.
  2. Ideal for Heavy and Large Shipments: UPS can accommodate up to 150 pounds, which makes it ideal for shipping large and heavy products such as machinery and furniture, among other bulky products.
  3. Extensive International Reach: Currently, UPS has direct service coverage to about 220 countries, thus being one of the most preferred carriers for international businesses.
  4. Customizable Shipping Options: UPS has been known to provide several services ranging from UPS Economy Ground to UPS Express Critical, delivering in 24 hours even across nations.
  5. Insurance for High-Value Items: UPS offers insurance for shipments up to $ 50,000, which is useful for delivering valuable goods such as electronics, artwork, or medical equipment.

UPS Delivery Services and Options

  1. UPS Ground: UPS Ground is Affordable for non-emergency situations and deliveries within the United States, which may take up to five business days.
  2. UPS Next Day Air: It is possible to have the shipment made within a short time,  making it suitable for same-day delivery.
  3. UPS 2nd Day Air: Ensures that non-urgent shipments are delivered within two days at the company.
  4. UPS Freight: Designed for businesses dealing with large freight shipments that require transportation services.
  5. International Options: UPS Worldwide Express and UPS Worldwide Saver are general for international shipments and offer accurate time and tracking.

Drawbacks of UPS

  • Higher Base Costs: UPS has higher base rates than USPS but delivers a wide range of premium services even with lower prices.
  • Additional Surcharges: Special deliveries such as in rural or remote areas, residential deliveries, and packages that are too large would attract some extra fees at a cost that sometimes could accumulate.
  • Complex Pricing Structure: Small businesses might have problems when it comes to calculating UPS’s accurate costs due to many extra charges and various rates.

USPS: Cost-Effective and Convenient Way

The USPS is a government-owned postal service with a vast network of post offices that extends to every state in the country. Its major strength lies in affordable pricing and efficient handling of lightweight packages, making it ideal for all eCommerce stores and small businesses looking to save on shipping costs. 

Key Benefits of USPS

  1. Low Cost for Lightweight Shipments: USPS offers the cheapest service for small lightweight items or products. For instance, USPS First Class Mail service is cheap for products weighing below 13 ounces, and Priority Mail Flat Rate service is considered to be effective for various business needs.
  2. Comprehensive U.S. Coverage: USPS makes deliveries to every physical address in the United States and PO boxes, which means it will be efficient in rural areas and other remote places.
  3. Free Tracking on Priority Services: USPS provides tracking services at no cost with Priority Mail and Priority Mail Express services so sellers and buyers can have visibility and trust.
  4. Saturday Delivery at No Extra Cost: Compared to UPS or FedEx, USPS also delivers on Saturdays without charging extra, which will be effective for e-commerce companies to shorten the delivery time.
  5. Package Pickup Services: USPS has delivery from any location free of charge, which is a great benefit for businesses that often require delivery services.

USPS delivery services and choices

  1. First-Class Mail: Recommended for letters, documents, and small parcels but not exceeding 13 ounces in weight.
  2. Priority Mail: Delivery time of 1 to 3 days while the flat rates are affordable for medium-weight parcels.
  3. Priority Mail Express: The quickest USPS service with delivery within the next day. It covers most regulated areas in the United States with a money-back guarantee if the delivery does not meet the expected time.
  4. Media Mail: Cost-effective transport method especially books, learning materials, and other media products.
  5. USPS Retail Ground: Affordable service for large packets that do not have to reach their destination quickly.

Drawbacks of USPS

  • Limited Package Size and Weight: USPS has some space limitations for the weight and size of the parcel and has a maximum of 70 pounds on many of its services,  which would pose a restriction for items in bulk.
  • Service Delays During Peak Times: The company’s deliveries depend on federal facilities, and thus, USPS can also have slow deliveries during the holiday season and other busy times.
  • Customer Service Challenges: Compared to UPS and FedEx, USPS may respond slower to shipment issues or even when filing for claims.

FedEx Shipping: Urgent or International Deliveries

It’s more recognized for its speed, focus, and range of dedicated services. Many companies select FedEx for its speedy shipping services, such as express and overnight international shipping. 

FedEx also provides specific solutions concerning the transport of perishable products,  making it especially suitable for those industries that operate in the medical or food sectors.

Key Benefits of FedEx

  1. Expedited Shipping Options: FedEx’s overnight and two-day delivery services are especially beneficial for business organizations that require delivery quickly to enhance customer satisfaction. 
  2. Temperature-Controlled Shipping: Specific packaging services FedEx provides for products that require certain temperatures are ideal for shipments involving food, drugs, or any other perishable goods.
  3. Extensive International Network: FedEx is present in more than 220 countries and,  is ideal for any company dealing with international customers.
  4. Business-to-Business (B2B) Focus: FedEx is a very good match for B2B delivery because of its efficiency, speed of delivery, and the ability to require a signature upon delivery.
  5. Tracking and Customer Service: For tracking multiple shipments, FedEx provides accurate, precise information, rich in features, and easy to contact the customer service team.

FedEx Delivery Services and Options

  1. FedEx Ground: This is the cheapest shipping method, ideal for those ordering within the United States, the delivery takes between 1-5 business days.
  2. FedEx Express Saver: Provides delivery within 3 days, which is good for non-urgent shipments.
  3. FedEx SameDay: Designed for delivery services within the same day; hence, it is often preferred for urgent shipments.
  4. FedEx International Priority and FedEx International Economy: These options provide different delivery times and costs for international deliveries.
  5. FedEx Cold Chain Services: Another interesting service is temperature control, which ensures the preservation of certain temperature conditions for shipped products. 

Drawbacks of FedEx

  • Higher Prices for Express Services: FedEx is more sensitive to the speed of delivery as well as the specialization of its services, generally attracting slightly higher prices than those charged by competitors, mainly for same-day and overnight deliveries.
  • Residential charges: There are additional fees for home delivery through FedEx, and this means that eCommerce companies may suffer higher delivery costs through this shipping company.
  • Complex Pricing for International Shipments: The international services delivered by FedEx mean that the company’s rates can also vary across the services provided, which may confuse small businesses.

Cost Comparison: Which Carrier is the Most Affordable?

Businesses need to know the cost models of different carriers to plan effectively. Here’s how they compare:

  1. Ground Shipping Rates

In-ground shipping rates, USPS is usually cheaper for lighter parcels, whereas UPS is cheaper for heavier shipments. 

Weight

UPS Ground 

USPS Retail Ground

FedEx Ground

1 lb

Starting at $7.50

Starting at $7.35

Starting at $8.25

5 lbs

Starting at $9.75

Starting at $9.50

Starting at $11.00

10 lbs

Starting at $12.00

Starting at $11.50

Starting at $14.00

20 lbs

Starting at $16.50

Starting at $15.00

Starting at $18.50

  1. Express Shipping Rates

Express services are also provided for those who need to ship their goods quickly, including options from FedEx and UPS. FedEx is usually cheaper in terms of shorter distances and faster delivery times than UPS, which can be more competitive with account discounts.

Weight

UPS 2nd Day Air

USPS Priority Mail Express

FedEx 2Day

1 lb

Starting at $22.00

Starting at $24.90

Starting at $21.00

5 lbs

Starting at $35.00

Starting at $36.50

Starting at $33.50

10 lbs

Starting at $50.00

Starting at $55.00

Starting at $48.00

20 lbs

Starting at $70.00

Starting at $75.00

Starting at $65.00

  1. Overnight Shipping Rates

FedEx does exceptionally well in overnight delivery, especially with express and end-of-day delivery. UPS also offers relatively stable overnight choices and slightly lower prices for some distances.

Weight

UPS Next Day Air

USPS Priority Mail Express

FedEx Standard Overnight

1 lb

Starting at $40.00

Starting at $39.90

Starting at $45.00

5 lbs

Starting at $60.00

Starting at $59.50

Starting at $65.50

10 lbs

Starting at $75.00

Starting at $69.00

Starting at $80.00

20 lbs

Starting at $100.00

Starting at $89.00

Starting at $110.00

Tips for Reducing Shipping Costs with UPS, USPS, and FedEx

Reducing freight costs can provide immense benefits to businesses in the long run. Here are some tips to reduce expenses:

  1. Use Shipping Software: This will give low shipping price breakpoints when integrated with UPS, USPS, or FedEx. These savings begin to accumulate if you are a frequent shipper.
  2. Choose the Right Package Size: When sending small, lightweight packages, USPS’s Priority Mail Cubic is a method that can help a business save money. Other carriers also provide services where they charge by dimensions rather than weight for some services.
  3. Leverage Carrier Discounts: Almost all carriers provide business account options,  which means that a specific company will receive cheaper package rates. Couriers like FedEx and UPS may also request different rates depending on the quantity of shipment. 
  4. Batch Shipments: If an order contains multiple products to be shipped to the same location, they can be packed together in a single shipment to yield cost savings for the individual delivery.

Recommendation: For affordable freight shipping of lighter items worldwide, you should consider USPS. If faster delivery or if the shipment is larger or more complicated in some way, then FedEx or UPS might be more useful.

Additional Tips for Choosing the Right Shipping Carrier

  • Assess Your Package Size and Weight: For lightweight consignments, the cost rates of USPS are likely to be low, but for large consignments, the cost rates of UPS would be more appropriate.
  • Consider Delivery Speed Requirements: Express services are more expensive, but if your business requires delivery within the same day or at night, then the additional cost is worth it.
  • Analyze Customer Locations: For rural deliveries, USPS is preferable as it is available in all locations across the United States without any additional charge.

Conclusion

When selecting a shipping company between USPS, UPS, and FedEx, it is always best to consider affordability, speed, and special requirements. USPS is economical and suitable for small and lightweight shipments, while UPS is ideal for heavier packaging and ground shipment services.

FedEx is ideal for faster shipment and express deliveries. Usually, by knowing every aspect of each carrier, one can make the right decisions regarding budget, schedule, and shipping needs.

Frequently Asked Questions (FAQs)

1. Which is cheaper: UPS, FedEx, or USPS?

When it comes to lightweight packaged deliveries, USPS is usually the most affordable post service. FedEx can provide a lower price on express deliveries, whereas UPS may have affordable ground prices for larger shipments.

2. Is FedEx or UPS cheaper for overnight shipping?


FedEx offers better prices for overnight shipments, particularly for early morning deliveries.

3. How reliable are the tracking services for USPS, UPS, and FedEx?

FedEx and UPS offer more detailed tracking information for the shipments. At the same time,  USPS has simple tracking information on the cheap rates offered services but is now incorporating detailed tracking technologies.

4. Which carrier is best for international shipping?

USPS is suitable for smaller, affordable shipments. FedEx and UPS provide better and faster international services with the proper destination identification.

 5. Which mail carrier is the fastest?

FedEx is generally faster for express and overnight shipments, especially true if the order has been placed for delivery on the same day. However, UPS and USPS Priority Mail Express provide quick service, especially for specific zones.

6.  Is FedEx faster than UPS?

While both offer ground and home delivery services, FedEx is quicker regarding the express and overnight delivery services. However, UPS also provides attractive express services and, may deliver in a shorter time for certain routes.

7. What is the disadvantage of FedEx?

FedEx, in particular,  is more costly and can include extra fees for delivery services or delivery to rural regions. Where they charge an additional amount of money.

8. Why is FedEx so expensive?

FedEx provides high-rate service, including express shipping, high quality, track and tracing facilities, and the ability to reach anywhere in the world; all these factors make it have a higher cost.

Ship Discounted Domestic Rates

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Emily Fletcher

Emily Fletcher is a renowned logistics expert and author, with over 15 years of experience in the industry. With a passion for optimizing supply chains and streamlining operations, Emily has helped numerous businesses achieve significant cost savings and improved efficiency. Her expertise lies in creating innovative logistics strategies tailored to the unique needs of each organization. As part of Shipixy’s Digital Marketing team, Emily provides practical insights and actionable advice to guide professionals in the logistics industry toward achieving operational excellence.

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