FedEx SmartPost

FedEx SmartPost (rebranded as FedEx Ground Economy) is a cost-effective shipping service where FedEx handles pickup and long-haul transportation, then transfers packages to USPS for final delivery. It’s designed for low-weight, less time-sensitive residential shipments.

How FedEx Ground Economy Works

Service Flow

Shipper's Location
        ↓
FedEx Pickup
        ↓
FedEx Ground Network
        ↓
FedEx Hub near destination
        ↓
Transfer to USPS
        ↓
USPS Final Mile
        ↓
Recipient's Mailbox

Name Changes

• Original: FedEx SmartPost
• Now: FedEx Ground Economy
• Same service, rebranded
• Both names still used

FedEx Ground Economy vs. FedEx Ground

Service Requirements

Package Specifications

• Maximum weight: 70 lbs
• Maximum length: 60"
• Maximum L+2(W+H): 130"
• Residential addresses only

Restrictions

• No commercial addresses
• No dangerous goods
• No alcohol
• No international
• Ground transport only

Ground Economy Pricing

Cost Structure

• Zone-based pricing
• Weight tiers
• Typically 20-40% less than FedEx Ground
• Volume discounts available

Price Comparison Example

3 lb package, Zone 5:

FedEx Ground: $12.00
FedEx Ground Economy: $8.00
USPS Ground Advantage: $9.50

Ground Economy savings: 33%

Transit Times

Expected Delivery

• 2-7 business days
• Average: 5-6 days
• 1-2 days longer than FedEx Ground
• USPS adds final leg time

Sample Timeline

Monday: FedEx pickup
Tuesday: FedEx transit
Wednesday: FedEx transit
Thursday: Arrive FedEx facility
Friday: Transfer to USPS
Saturday: USPS delivery (or Monday)

Tracking

Tracking Experience

1. FedEx tracking through network
2. “Tendered to USPS” scan
3. USPS tracking for delivery
4. Delivery confirmation

Common Status Updates

Picked up
In transit
At FedEx facility
Tendered to USPS
Out for delivery (USPS)
Delivered

Tracking Challenges

• Handoff gap (1-2 days sometimes)
• USPS scan delay possible
• May show “no tracking” briefly
• Usually resolves within 24 hours

When to Use Ground Economy

Best Use Cases

• E-commerce B2C shipping
• Non-urgent orders
• Lightweight items
• Cost-sensitive customers
• High-volume shippers

Avoid When

• Customer needs fast delivery
• Business address
• High-value items
• Signature required
• Heavy packages (70+ lbs)

Ground Economy for Businesses

Benefits

• Lowest cost for light residential
• Reaches every address
• Predictable pricing
• Established networks

Challenges

• Slower than alternatives
• Customer expectations
• No signature options
• Limited to residential

Setting Customer Expectations

Recommended messaging:
"Economy Shipping (5-7 days): $4.99"
"Standard Shipping (3-5 days): $7.99"

Clearly differentiate options

Comparing Hybrid Services

FedEx Ground Economy vs. UPS SurePost

Recommendation: Get quotes for both; rates vary by shipper profile.

Alternatives to Ground Economy

Consider Instead

Decision Framework

Fast + Residential = FedEx Home Delivery
Cheap + Residential = FedEx Ground Economy
Fast + Business = FedEx Ground
Cheap + Lightweight = USPS

Ground Economy Best Practices

For Shippers

1. Accurate weight and dimensions
2. Clear delivery time communication
3. Proper packaging
4. Correct residential indicator
5. Track handoff timing

Package Tips

• Sturdy boxes (USPS handles final)
• Waterproof if possible
• Fits in mailbox ideally
• Clear address label