Editing FedEx Ground (section)

=== FedEx Ground Economy ===

[[File:FedEx SmartPost Warehouse (48650942916).jpg|thumb|right|A FedEx SmartPost facility in [[Maple Grove, Minnesota]]]]

FedEx Ground Economy is a subsidiary of FedEx Ground which provides a parcel consolidation service most commonly used for residential deliveries of small, lightweight parcels. It is cheaper than ground package delivery but  speeds are generally one to two days slower. Parcels are trackable but delivery dates are not guaranteed.<ref>{{Cite web |title=Carrier Consolidation Services: An Inside Guide to UPS Basic & FedEx SmartPost |url=http://parcelindustry.com/article-1507-Carrier-Consolidation-Services-An-Inside-Guide-to-UPS-Basic-&-FedEx-SmartPost.html |website=Parcel Industry}}</ref> The service is available only to shippers who meet certain requirements and have a SmartPost contract in place with FedEx.<ref name="DI GE same SP" />

Ground Economy was originally '''Parcel Direct''', founded in 1998 by Quad Graphics to provide delivery services for its catalog publishing customers.<ref>{{Cite news |last=Cassidy |first=William B. |date=August 10, 2004 |title=FedEx Buys Parcel Direct |work=JOC |url=https://www.joc.com/fedex-buys-parcel-direct_20040810.html |access-date=April 6, 2022}}</ref> Since its founding, Parcel Direct had expanded both its network of hub facilities and its parcel services buying [[Commerce, California]]-based parcel delivery company PaqFast, Inc. in early 2004.<ref>{{Cite news |date=August 9, 2004 |title=Quad to sell Parcel Direct to FedEx for $120M |work=Milwaukee Business Journal |url=https://www.bizjournals.com/milwaukee/stories/2004/08/09/daily1.html |access-date=April 6, 2022}}</ref> When FedEx acquired it in 2004, Parcel Direct had 12 distribution hubs across the US and 450 employees.<ref name="Miller 2004" />

Parcel Direct's parcel consolidation model relied on "zone skipping", a logistics approach where packages are transported most of the way to their destination through the carrier's network and handed over to the [[United States Postal Service|USPS]] for delivery. This reduces costs by allowing bulk transportation of parcels between hubs and not requiring it to maintain its own [[Last mile (transportation)|final mile]] delivery network.<ref name="Miller 2004" />

Under FedEx, Parcel Direct was rebranded '''FedEx SmartPost''' and continued to grow its hub network, reaching 26 nationwide by 2021.<ref>{{Cite web |title=FedEx Distribution – FedEx Distribution Center – FedEx Transportation |url=http://www.fedex.com/us/smart-post/network.html |website=FedEx}}</ref> Pickups from smaller shippers are performed by FedEx Ground which transfers them into the SmartPost network at the nearest hub. Dedicated FedEx SmartPost trailers pick up from larger shippers and transport shipments directly into the network.

Initially, all final mile deliveries were handled by the USPS. However, starting in 2019, FedEx began shifting SmartPost deliveries to its own Ground and Home Delivery networks<ref>{{Cite news |last=Garland |first=Max |date=August 9, 2020 |title=Changes are coming to the US Postal Service. What could that mean for FedEx? |language=en-US |work=Memphis Commercial Appeal |url=https://www.commercialappeal.com/story/money/industries/logistics/2020/08/10/us-postal-service-changes-fedex-ups/3299744001/ |access-date=April 6, 2022}}</ref> and in 2020 said it had completed the shift and was delivering nearly all SmartPost packages itself.<ref>{{Cite web |last=Meldner |first=Richard |date=May 31, 2019 |title=FedEx Ditches Post Office And Expands To Seven-Day Residential Delivery |url=https://www.eseller365.com/fedex-ditches-post-office-expands-seven-day-residential-delivery/ |website=eSeller 365}}</ref> FedEx rebranded the service '''FedEx Ground Economy''' in 2021.<ref name="DI GE same SP">{{Cite web |title=Is FedEx Ground Economy the same as FedEx SmartPost? (FAQ) – Detailed Image |url=https://www.detailedimage.com/FAQ/Shipping/FedEx-Ground-Economy-SmartPost/ |access-date=2021-05-20 |website=Detailed Image}}</ref>