FedEx Rebrands SmartPost to Ground Economy | Lojistic [ ](https://www.lojistic.com)- Why Lojistic - [ All Inclusive. Zero Cost. Every Lojistic solution. No limits. No fees. ](https://www.lojistic.com/pricing) - [ All Modes. All Carriers. All Currencies. Parcel, LTL, truckload, ocean, rail, air freight. ](https://www.lojistic.com/carrier-connectors) - [ Industries Served Retail, eCommerce, 3PL, manufacturing, and more. ](https://www.lojistic.com/industries-served) - [ Roles Most Impacted & How Supply chain & logistics, procurement, finance leaders. ](https://www.lojistic.com/roles-most-impacted) - [ Use Cases How Lojistic helps manage and reduce shipping costs. ](https://www.lojistic.com/use-cases) - Platform Features - [ Global Analytics & Reporting Predictive analytics and scenario modeling for all carriers globally. ](https://www.lojistic.com/shipping-analytics-software) - [ Rate Optimization & RFPs Tech-powered data prep, strategy, and rate impact analyses. ](https://www.lojistic.com/rate-optimization-rfps) - [ Parcel and Freight Audit & Payment *+PAY* Carrier refunds and payments automated and made simple. ](https://www.lojistic.com/freight-audit-and-payment) - [ GL Coding & ERP Sync Automatically code shipping costs down to the order level ](https://www.lojistic.com/gl-coding-erp-sync) - [ Lojistic API & App Integrations Easily integrate normalized shipping data to your business systems. ](https://www.lojistic.com/api-app-integrations) - [Pricing](https://www.lojistic.com/pricing) - [About](https://www.lojistic.com/about) - [Company](https://www.lojistic.com/company) - [Culture](https://www.lojistic.com/culture) - [Careers](https://www.lojistic.com/careers) - [Partner Programs](https://www.lojistic.com/partner-programs) - [Security](https://www.lojistic.com/security) - [Media](https://www.lojistic.com/media) - [Ratings & Review](https://www.lojistic.com/reviews) - [Videos](https://www.lojistic.com/videos) - [Blog](https://www.lojistic.com/blog) - [Contact](https://www.lojistic.com/contact) - [ Login](https://app.lojistic.com/demo/account/login?trackDemo=false) - [View Demo](https://app.lojistic.com/demo) - [Create Free Account](https://app.lojistic.com/demo/connect-carrier?activeStep=create-account&trackDemo=false) [ ](https://www.lojistic.com) [Create Free Account](https://app.lojistic.com/demo/connect-carrier?activeStep=create-account&trackDemo=false) mobile navigation toggle - Why Lojistic - [ All Inclusive. Zero Cost. Every Lojistic solution. No limits. No fees. ](https://www.lojistic.com/pricing) - [ All Modes. All Carriers. All Currencies. Parcel, LTL, truckload, ocean, rail, air freight. ](https://www.lojistic.com/carrier-connectors) - [ Industries Served Retail, eCommerce, 3PL, manufacturing, and more. ](https://www.lojistic.com/industries-served) - [ Roles Most Impacted & How Supply chain & logistics, procurement, finance leaders. ](https://www.lojistic.com/roles-most-impacted) - [ Use Cases How Lojistic helps manage and reduce shipping costs. ](https://www.lojistic.com/use-cases) - Platform Features - [ Global Analytics & Reporting Predictive analytics and scenario modeling for all carriers globally. ](https://www.lojistic.com/shipping-analytics-software) - [ Rate Optimization & RFPs Tech-powered data prep, strategy, and rate impact analyses. ](https://www.lojistic.com/rate-optimization-rfps) - [ Parcel and Freight Audit & Payment *+PAY* Carrier refunds and payments automated and made simple. ](https://www.lojistic.com/freight-audit-and-payment) - [ GL Coding & ERP Sync Automatically code shipping costs down to the order level ](https://www.lojistic.com/gl-coding-erp-sync) - [ Lojistic API & App Integrations Easily integrate normalized shipping data to your business systems. ](https://www.lojistic.com/api-app-integrations) - [Pricing](https://www.lojistic.com/pricing) - [About](https://www.lojistic.com/about) - [Company](https://www.lojistic.com/company) - [Culture](https://www.lojistic.com/culture) - [Careers](https://www.lojistic.com/careers) - [Partner Programs](https://www.lojistic.com/partner-programs) - [Security](https://www.lojistic.com/security) - [Media](https://www.lojistic.com/media) - [Ratings & Review](https://www.lojistic.com/reviews) - [Videos](https://www.lojistic.com/videos) - [Blog](https://www.lojistic.com/blog) - [Contact](https://www.lojistic.com/contact) [Create Free Account](https://app.lojistic.com/demo/connect-carrier?activeStep=create-account&trackDemo=false) [View Demo](https://app.lojistic.com/demo) [ Log In](https://app.lojistic.com/demo/account/login?trackDemo=false) FedEx Rebrands SmartPost to Ground Economy ========================================== ![Icon denoting blog author information in Lojistic’s content layout](/images/pages/blog/icon-author.svg)Rich Harkey ![Calendar icon used to display blog post dates on Lojistic’s website](/images/pages/blog/icon-calendar.svg)April 01, 2021 FedEx SmartPost has been rebranded as FedEx Ground Economy. There’s more to this rebranding effort than just a simple name change. The naming evolution also means that FedEx will no longer use the US Postal Service (USPS) to fulfill its last mile delivery volume, in most cases. By making this change, FedEx is replicating the model that UPS currently uses with its [SurePost](https://www.ups.com/us/en/help-center/tracking-support/sp-definition.page) service. Until the recent rebrand, FedEx relied on USPS for last mile delivery for all parcels shipped using SmartPost. FedEx would pay USPS a fee for all of those deliveries. Now, FedEx Ground Economy cuts USPS out of the equation entirely (with the exception of rural deliveries). No more fees or reliance on USPS. FedEx will manage all the last mile delivery for all non-rural parcels sent via Ground Economy. [Here's the service details on FedEx's website.](https://www.fedex.com/en-us/shipping/fedex-smartpost.html) **Why Is FedEx Eliminating SmartPost?** ---------------------------------------- Savings. The biggest reason why FedEx eliminated SmartPost is to drive profitability by saving a ton on operational costs. Through Ground Economy, FedEx will be able to increase the number of parcels delivered per stop, making each stop more efficient. With the added efficiency comes increased profits. Simply put, FedEx will be able to deliver more packages with less resources. If there’s anything shippers have learned this past year, it’s that FedEx knows how to [increase profits](https://www.lojistic.com/blog/fedex-2021-rate-increase-announcement-record-quarterly-profits)! In addition to the Ground Economy rebrand, FedEx also announced recently that it nearly tripled is Q3 earnings between 2020 and 2021 (Q3 ending on February 28, 2021). FedEx will also benefit from operational savings by leveraging its existing Ground network. With SmartPost, FedEx utilized a siloed operations model, which included specific SmartPost sorting hubs. By eliminating SmartPost, Ground Economy packages will be incorporated into the existing Ground network, which allows FedEx to better use its available resources. **FedEx Ground Economy vs UPS SurePost: Who Can Deliver Faster?** ------------------------------------------------------------------ Another reason why FedEx evolved from SmartPost to Ground Economy is speed. The “Big Two” carriers are always competing for who can deliver faster. FedEx’s SmartPost has been in direct competition with UPS’s SurePost. They’re branded similarly for a reason! However, SurePost was usually faster than SmartPost, giving UPS a slight advantage. Now that FedEx will leverage its own network for last mile delivery (instead of USPS’s), they will most likely be able to improve their time-in-transit. We’ll be keeping a close eye on the competition between FedEx Ground Economy and UPS SurePost to see if FedEx gains any ground on delivery speed. **Packages Delivered Per Stop** ------------------------------- There are two ways to increase profits: generate more sales or reduce operating costs. FedEx is an expert at both. With SmartPost, FedEx was only delivering about 10 – 20% of all last mile packages. The majority (80 – 90%) was delivered via USPS, at a cost to FedEx. By leveraging its existing ground network, FedEx will be able to deliver a higher number of packages for deliveries sent to the same address (referred to as drop/delivery density) AND eliminate the fees previously paid to USPS. **How Does This Impact USPS?** ------------------------------ We’re hearing that USPS will still manage some of FedEx’s rural deliveries. That’s not much of a surprise, because those rural deliveries are the least profitable for FedEx. It’s more cost effective for FedEx to pay USPS a fee to manage their less desirable business. Will USPS continue to deliver to less profitable rural addresses, or will they walk away from their agreement with FedEx? Time will tell. In the meantime, we’ll continue to keep an eye how FedEx manages its rural deliveries. **How Can Shipper’s Manage FedEx Ground Economy?** -------------------------------------------------- If you use [Lojistic’s free shipping intelligence platform](https://app.lojistic.com/demo/connect-carrier?activeStep=create-account&trackDemo=false), you’ll be able to monitor and control how carrier changes affect the price you pay for shipping services. [Compare mode will be an especially useful feature](https://www.lojistic.com/shipping-analytics-software/shipping-cost-comparison) during this transition because it’ll provide you with visibility into your carrier’s performance. If you’re a shipper who relied on FedEx SmartPost, you’ll want to [monitor these changes](https://www.lojistic.com/shipping-analytics-software). Your Lojistic account makes it easy. If you don’t have a Lojistic account, [sign up free here](https://app.lojistic.com/demo/connect-carrier?activeStep=create-account&trackDemo=false). It takes less than a minute to get up and running. ![Rich Harkey Headshot](https://www.lojistic.com/assets/public/users/rich.png) Author Rich Harkey Rich Harkey Senior Strategy Manager Rich Harkey is a results-driven professional with extensive experience in the logistics and supply chain industry. As the Senior Strategy Manager at Lojistic, Rich leverages over three decades of expertise to help businesses improve their shipping strategies and reduce costs. With a deep understanding of the requirements of shippers and the operational intricacies of carriers, he excels in everything from optimizing business rules and managing carrier invoices to negotiating carrier contracts. Rich's comprehensive knowledge of the logistics industry, combined with his strategic insights and passion for data analysis, has enabled thousands of companies to gain visibility into their shipping expenses, driving impactful results. [« Previous Post](/blog/ltl-rates-audit-tips) [Next Post »](/blog/leverage-freight-management-services) **Lojistic Blog** [Recent Posts](https://www.lojistic.com/blog) | [Categories](https://www.lojistic.com/blog/categories) Why Lojistic ---------------- - [All-Inclusive. Zero Cost. ](https://www.lojistic.com/pricing) - [All Modes. All Carriers. All Currencies ](https://www.lojistic.com/carrier-connectors) - [Industries Served ](https://www.lojistic.com/industries-served) - [Roles Most Impacted & How ](https://www.lojistic.com/roles-most-impacted) - [Use Cases ](https://www.lojistic.com/use-cases) Platform Features --------------------- - [Global Analytics & Reporting ](https://www.lojistic.com/shipping-analytics-software) - [Rate Optimization & RFPs ](https://www.lojistic.com/rate-optimization-rfps) - [Parcel and Freight Audit & Payment +PAY ](https://www.lojistic.com/freight-audit-and-payment) - [GL Coding & ERP Sync ](https://www.lojistic.com/gl-coding-erp-sync) - [Lojistic API & App Integrations ](https://www.lojistic.com/api-app-integrations) Pricing ----------- - [Everything Included – Free Recommended](https://www.lojistic.com/pricing) - [À La Carte Plan ](https://www.lojistic.com/pricing#a-la-carte) Resources ------------- - [White Paper ](https://www.lojistic.com/white-papers) - [FAQ ](https://www.lojistic.com/shipping-faqs) - [Security ](https://www.lojistic.com/security) About --------- - [Culture ](https://www.lojistic.com/culture) - [Careers ](https://www.lojistic.com/careers) - [Partner Programs ](https://www.lojistic.com/partner-programs) - [Ratings & Reviews ](https://www.lojistic.com/reviews) - [Videos ](https://www.lojistic.com/videos) - [Blog ](https://www.lojistic.com/blog) - [Contact Us ](https://www.lojistic.com/contact) Why Lojistic- [All-Inclusive. Zero Cost. ](https://www.lojistic.com/pricing) - [All Modes. All Carriers. All Currencies ](https://www.lojistic.com/carrier-connectors) - [Industries Served ](https://www.lojistic.com/industries-served) - [Roles Most Impacted & How ](https://www.lojistic.com/roles-most-impacted) - [Use Cases ](https://www.lojistic.com/use-cases) Platform Features- [Global Analytics & Reporting ](https://www.lojistic.com/shipping-analytics-software) - [Rate Optimization & RFPs ](https://www.lojistic.com/rate-optimization-rfps) - [Parcel and Freight Audit & Payment +PAY ](https://www.lojistic.com/freight-audit-and-payment) - [GL Coding & ERP Sync ](https://www.lojistic.com/gl-coding-erp-sync) - [Lojistic API & App Integrations ](https://www.lojistic.com/api-app-integrations) Pricing- [Everything Included – Free Recommended ](https://www.lojistic.com/pricing) - [À La Carte Plan ](https://www.lojistic.com/pricing#a-la-carte) Resources- [White Paper ](https://www.lojistic.com/white-papers) - [FAQ ](https://www.lojistic.com/shipping-faqs) - [Security ](https://www.lojistic.com/security) [About](https://www.lojistic.com/about)- [Culture ](https://www.lojistic.com/culture) - [Careers ](https://www.lojistic.com/careers) - [Partner Programs ](https://www.lojistic.com/partner-programs) - [Ratings & Reviews ](https://www.lojistic.com/reviews) - [Videos ](https://www.lojistic.com/videos) - [Blog ](https://www.lojistic.com/blog) - [Contact Us ](https://www.lojistic.com/contact) [CHAT WITH US ](#) [Call Us (800) 783-5753 ](tel:8007835753) [Call Us (800) 783-5753 ](tel:8007835753) - [ ](https://www.facebook.com/LojisticUSA) - [ ](https://twitter.com/LojisticUSA) - [ ](https://www.youtube.com/lojistic) - [ ](https://www.linkedin.com/company/lojistic) [ ](https://www.lojistic.com) Send Costs Packing TM - [Privacy & Terms](https://www.lojistic.com/data-privacy-and-security) © 2026 Lojistic, LLC. All rights reserved. Various trademarks held by their respective owners. © 2026 Lojistic, LLC. All rights reserved. Various trademarks held by their respective owners. #### Lojistic and Cookies #### Manage Privacy Preferences *x* This site uses cookies to personalize your experience and analyze site traffic. By clicking ACCEPT or continuing to browse the site, you agree to our use of cookies. [See our Privacy Policy here](https://www.lojistic.com/data-privacy-and-security) [Customize my settings.](#) ACCEPT By checking the box, you agree to the storing of cookies on your device for the specified purposes. Strictly Necessary CookiesThese cookies are necessary for the website to function and cannot be switched off in our systems. Analytics Cookies [See our Privacy Policy](https://www.lojistic.com/data-privacy-and-security) CONFIRM Lojistic Lojistic Lojistic Facebook Icon Twitter Icon Youtube Icon Linkedin Icon Lock Icon Arrow Symbol Arrow Symbol