This post is part of our Battle of the Brands feature. Let us know which brand you prefer, and watch out for more Battle of the Brands posts.
When you have to send a package and it needs to be there yesterday, who do you call? It usually depends on a few key items: speed, price, and peace of mind.
The two delivery services that dominate the United States are United Parcel Service Inc. (NYSE: UPS) and FedEx Corp. (NYSE: FDX). But which do you think of first?
Let's take a look at each company's marketing practices:
UPS: "What can brown do for you?" The UPS shield is one of the most recognizable icons in shipping, as is the trademarked brown uniform that office secretaries go ga-ga over. Brown is the official sponsor of NASCAR, the NHRA, NTRA, and the Olympics. When looking at the gold shield, a person could think of security and strength. UPS prides itself on those ideas and has become the largest package delivery company in the world.
FedEx: "Relax, it's FedEx" was the well-recognized slogan of the second-largest package delivery company in the U.S. The company's logo has a right-pointing arrow located in the negative space between the E and X. While the arrow becomes quite obvious when pointed out, most people do not notice it. The arrow has been occasionally pointed to as a mild form of subliminal advertising, the arrow suggesting forward movement and thinking (check it out). FedEx is the official sponsor of the NFL, the NBA, the FedEx Cup, FDX Racing, the FedEx Orange Bowl, FedEx Field -- the home field of the Washington Redskins -- and the FedEx Forum in Memphis. With the subliminal arrow and company's name targeted all over the sports world, a person could think of FedEx as a fast company that gets around.
While you may first think of one company before the other, which one can move your goods the fastest? Let's take a look at the size of each company's fleet:
UPS: Brown's union-led 427,700 employees work six days a week with 7.9 million customers in over 200 countries and territories. With over 6,800 UPS stores, 40,000 UPS drop boxes, and 17,000 authorized outlets, it would be impossible not to find a store near you -- and if they're not close, 94,542 package cars, vans, tractors, and motorcycles could pick up your package for you. If it's going long distance, UPS is the eighth-largest airline in the world, boasting a fleet of 282 planes that make over 1,900 flights daily.
UPS handles packages that weigh up to 150 pounds, provides international air delivery and offers standard delivery for Next Day Air shipments. UPS Freight provides less-than-truckload services, enabling customers to send heavier shipments as well.
FedEx: Relax, FedEx's four business segments sports over 275,000 employees and "independent contractors" worldwide who can get packages to you the next day, including Saturday, anywhere in the United States for the right price. In total, FedEx has 42,000 drop boxes, over 9,000 centers, and 70,000 vehicles for express, ground, freight, and expedited delivery service that deliver over 6.5 million packages to more than 220 countries daily. FedEx also owns 672 aircraft and travels to over 375 airports worldwide.
Like UPS, FedEx handles packages of all sizes, but they tack on a surcharge for boxes that weigh more than 70 pounds. FedEx provides international delivery and owns printing centers just like UPS (FedEx Kinko's and The UPS Store). Both companies also own less-than-truckload companies for heavier deliveries.
Looking at both companies, I could make the argument that while UPS owns the road with over 25,000 more vehicles, FedEx controls the skies with three times the fleet of UPS.
Still haven't decided? Take a look at the technology each company uses to help you get your package from A to B.
Both companies have websites and help desks for clients so you could schedule pick-ups, order supplies, track packages and pay bills with a mouse click. But what technology separates the two delivery giants?
This past week, UPS announced the launch of UPS Delivery Intercept, an automated service that provides customers the flexibility and control by enabling shippers to intercept and reroute packages before they're delivered. If you have a habit of sending the home office the wrong files, this product is for you. You can intercept the package, return it to your office and send out the right package before the boss even knows you sent the wrong data.
Earlier this year, FedEx Kinko's added Direct Mail Services and Print Online, providing a convenient resource for office, printing and shipping services. On deadline? Send your presentation to FedEx Kinko's website and they will print it and ship it, saving you the trouble of collating and stapling 500 copies of the latest product design for your boss.
Let's cut to the chase: You have a package and you want it there now. What's the bottom line?
Here's a quick look at what it's going to cost you. I priced a 20 lb. package to my friend in Huntington Beach, California 92605 from Bayside, New York 11361. Here's how the prices came up:

As you can see, both companies have similar prices for next day air but when time isn't the priority, FedEx clearly becomes the better bargain. This might not be the case for every shipment, but I think I just found who to call.
Choosing a delivery service depends on how fast the local service can deliver your product for the right price. I know some women have a thing for men in uniforms, especially the ones in brown during the summer. When UPS started to use the slogan, "What Can Brown Do for You," it always made my secretary smile. Could the same be said for FedEx?
What company do you prefer, and why?
Be sure to vote in our poll for FedEx or UPS as your preferred brand, and let us know why you love it in the comments. Results of all Battle of the Brands match-ups coming soon.
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Reader Comments (Page 5 of 20)
4-16-2007 @ 9:52PM
Frank said...
Hate to tell you both UPS and Fedex have contracts with the post office but most of those contracts are to transport USPS packages not vice versa both companies do a good job but both could do better I know as I work for one of these companies and my wife works for the USPS, the bottom line is that with the influx of the echo boomers into the the work force the overall quality of all 3 of these companies is heading south as thier mommies are not there to bail them out, the American workers have gone soft (all this everyones a winner stuff) and not everyones a winner when they get in the real world ... school of hard knocks
4-16-2007 @ 12:11PM
JC said...
Where do I begin? Let's start with Technology. Federal Express was such a forward thinking business model that Fred Smith was heckled when he introduced the concept as a college term paper. He has grown his company (now known as FedEx Corp) through acquisitions of companies in the same mold (American Freightways, RPS, Viking Freight, etc.). I see a lot of the focus in this discussion is directed at the business model incorporated at FedEx Ground. FedEx Ground does utilize Independent Contractors, as does Custom Critical, which are the only FedEx OpCo's that do. The Independent Contractor business model allows for much faster transit times than that of UPS. There is a public misconception that FedEx Ground offers services other than Ground, and for an "apples to apples" comparison you need only look at the Ground Service of UPS; not their premium services. FedEx Ground does have hub area delivery points that will get your package to the recipient overnight, but you are not charged any extra for this. Oh, I almost forgot. RPS was founded with two distinct advantages over others that failed in competition with Brown- The Independent Contractor concept and the Barcode. That's right, UPS was around for 80+ years before SOMEBODY ELSE introduced the barcode to track shipments for your convenience and peace of mind. It's too bad they were too busy fighting Union battles to invest in technological advancement. Furthermore, the package intercept idea is laughable. This so-called technology has always been around, it's called Customer Service. And why is it that Union negotiations always seem to become the customer's problem? If their drivers feel that $25/Hour to drive a truck isn't sufficient, then you will have to wait until the negotiations are over to get your packages. You will never have that issue with any FedEx Operating Company. Their people are treated fairly, and it shows in the annual rankings of most admired companies.
4-17-2007 @ 12:06PM
Jay said...
I have used both FedEx and UPS. I stopped using UPS because the last time they had a delivery for me they sent me a post card asking me to call and provide correct address/directions to my home. When I called, they insisted that the address on the box was incorrect. I asked where did they get the address for the post card? They said the box. I told them the address was correct and was never asked for directions. The box showed up a few days later left in the driveway. Result was an incorrect address charge and loss of a future customer. FedEx and the post office always find me.
4-16-2007 @ 5:06PM
J. Barry said...
I live in rural Vt. and I would not dream of ordering anything to be delivered by FDX. I have a regular UPS driver and he always delivers right to my door. FDX can never find my address.
4-16-2007 @ 2:42PM
Stacey said...
You dont really know until you've been on both sides. While working at both UPS and FedEx, there are many similarities. One significant difference is the People!! FedEx cares 150% about their people and the employees attitudes display the fact they are happy campers.. Delivery lets talk overnight... Why would you want your overnight package mixed in with those big brown boxes... Not only does it raise the chance of damage but UPS will ground transport the box but still charge you the air rate!! And that air rate is still more expensive than FedEx! FedEx will treat that important package with the others in the express network always never mixing in the lesss expensive less critical ground boxes. FedEx may have contracters but they work especially hard to keep their customers happy and go the extra mile if need be. UPS drivers they are union and oops if they forget to obtain a signature and sign it themselves... Rules for termination..but they have union protection to get their job back...The long hours worked and the time UPS mgt. takes away from their drivers??...sure they work hard.. but check out a conveinence store and see what trucks you see between 5-7pm... UPS not too anxious to get home now are we?? UPS can be thanked for the dimming of ground pkgs in 07 too... Need to raise the revenue per piece to pay the drivers 30 + an hour....Personal Preference but Hands Down FedEx cares about their employees and customers so my vote goes to them!
4-17-2007 @ 6:15AM
Dan said...
JC-I couldn't agree with you more! If anyone were to do some early research on the 2 package giants, they would be amazed to find out that FedEx actually wanted to join UPS and operate as their "air" presence. In the early 70's when air cargo was controlled mainly by the US government there was no such thing as a priority package. UPS and any other delivery company that was in existence used commercial airlines to move their packages and it was a very bad system. UPS turned down FedEx's offer, and so FedEx began. As far as people go I agree that FedEx and Fred Smith have always been forward thinkers, visionaries as to what will happen not today, tomorrow, next month, or next year. They have always thought in terms of 5 year plans/10 year plans. I would tend to think that Wall Street agrees, considering the fact that FedEx Corp stock is currently around $108 per share compared to UPS at $71 per share. I don't think that Wall Street picks favorites, I just beleive that if people are willing to pay that much per share they must trust that it is a well run company. Yes, I also agree that to the average person it is truly amazing how it is possible everyday to move the amount of packages that both UPS and FedEx do. I too have been to the Memphis Super Hub on a few occasions and everytime I see things that amaze me. I'm sure the same could be said for a UPS hub. But the bottome line is like you said, both companies provide a superior service in there own market. Time-sensitive send it FedEx. If a 2 or 3 days doesn't make a difference, toss a coin and see who you choose. However for the long haul I am banking on FedEx, and so is my salary!! As an insider I am always interested to see who will make the next move, will FedEx buy another transportation arm in the world? Will UPS be able to expand their presence in China and other growing world markets? I beleive that I am blessed to work for FedEx because I know that if I do a good job, I will always have one! The way the country is going now, not too many people can make the same assesment. Good luck too all involved and I hope everyone prospers- Brown or Purple whatever color you are!
4-17-2007 @ 6:15AM
John said...
Someone needs to check their facts, you are mixing stats and figures about two different operations, Fedex Express and FedEx ground. UPS has never done anyone including small business and consumers any favors. It wasn't UPS that created a BusinessToConsumer Delivery network( FedEx Home Delivery) or had the the first hub in Asia (Subic Bay)and FedEx has a lions share of the USPS business NOT UPS. UPS didn't know what an airline was or how to use the internet until FedEx showed them how.
FedEx Express, runs above 98% or higher on time. FedEx Ground is about 95% most days. If you don't believe me, ask Dell computers who just switched their Ground business to FedEx from UPS out of Austin and other locations.
UPS is a tough competitor and extremely arrogant, History has proven they can be beaten time and time again in the marketplace by the FedEx companies with better service and better employees and better ideas. FedEx will continue to grow and prosper. Just ask the employees where they would rather work.
4-17-2007 @ 6:15AM
billy club said...
I work for Fedex and wish I was in a Union. The guy that said only Ups charges a surcharge for Saturday delivery doesn't know what he's talking about. Fedex charges 20 bucks + reg. shipping charge on Saturday. Only reason our prices are lower is that we don't make what Ups makes and that's because they have a Union. The latest is they dumped our pension plan. Fred Smith can kiss my azz
4-22-2007 @ 12:02AM
dave said...
Last and I will end on this, I worked for UPS for over 5 Years, and I also worked for the Former RPS for 4 Years, and yes as you may have guessed I work for Express and have been with them for over 20 years.
Im missing something or else somebodys numbers dont jive.
4-17-2007 @ 6:17AM
steve said...
It seems some of the Fedex guys get pretty nasty when they see that UPS is the favorite on this poll.I wouldn't put down someone else just because I was a disguntled ex-employee of the best company in the shipping business for over 100 years. The reason you see the UPS driver taking a break late in the day is because they had to skip their lunch to get your package on-time. Just a normal business
day for a good UPS man because they have twice as many stops to deliver as any fed-ex employee, Thats why UPS can pay the best wages in the shipping industry. Ever try making 20 delivery stops an hour and being held to it by strict company guidelines.A UPS driver has 14 seconds to pull up in front of your house or business,tap horn, turn off and pull the key, undo seat belt,pull emergency brake, turn and unlock bulkhead door, select your package,close door and exit vehicle to the ground. Then there is the required pace to the door, so many steps per second.Try repeating this 160- 200 times a day. Yes that is the average amount of stops a UPS driver makes in one day.As you can see it takes a rare individual to be able to do that day after day. UPS has the best system for getting the most efficient work out their employees. That is why there are disgruntled ex-employees out there taking pot shots at the greatest delivery company in the world. I for one loved my job at UPS and am proud to have been a part of such a successful and well run company. As for trucking next day rather than flying, that is only true for in state packages. UPS used to fly them but when planes were snow in or there was fog and the package was late, people couldn't understand why a package going from say Tampa to St. Pete Fl would be late because of snow in louisville ky. solution just drive them there. The premium charge is for before 10.30 next delivery guarenteed not whether it was on a plane or not.
4-17-2007 @ 12:28PM
J.T. said...
Reading through some of the comments I noticed some saying that they have the same driver for their routes. Alot of that reasoning is, UPS does not do alot of promoting within. So the drivers will just be stuck doing the same ole job over and over again .. Boring afer awhile !!
4-17-2007 @ 3:37PM
UPS said...
FYI, IF YOUR USING FEDEX YOU ARE NOT IMPACTING YOUR COMPANIES BOTTOM LINE. CAN FEDEX OFFER YOU DISCOUNTS ON PACAKGE INSURANCE NO, BUT UPS CAN, CAN FEDEX OFFER YOU A DISCOUNT ON MERCHANT SERVICES, THE FEE BANKS CHARGE YOU FOR CREDIT CARD TRANSACTIONS, NO THEY CAN NOT, BUT UPS CAN.
CAN FEDEX INSURE YOUR GOODS IF THEY ARE PERISHABLE, NO THATS ALSO FUNNY BECAUSE UPS CAN. ANY BUSINESS OWNER WHO TAKES CREDIT CARDS OR INSURES PACAKGES YOU NEED TO CONTACT YOUR LOCAL UPS REP OR CALL 1 8 00 PICK UPS, I WAS A LOYALY FEDEX CUSTOMER UNTIL I ASKED THE QUESTION "WHAT CAN BROWN DO FOR ME" i AM A BUSINESS OWNER WITH A WEBSITE AND I WOULD ALWAYS FIGHT FOR BETTER DISCOUNTS WITH MY FEDEX REP, THE UPS REP CAME IN OFFERED ME DISCOUNTS ON MY INSURANCE AND MERCHANT SERVICES (CREDIT CARD SWIPES) I SAVED $35,00O DOALLRS A YEAR WITH THOSE TO THINGS, MY UPS DISCOUNTS WERE HALF OF WHAT TEH FEDEX DISCOUNT WERE AND I STILL SAVED $35,000 PLUS A YEAR. AGAIN COMING FROM A FORMER FEDEX CUSTOMER, CONTACT UPS IT CANT HURT.
4-18-2007 @ 10:06PM
steve said...
to j.t. UPS does all their promoting from within. Every manager and supervisor in UPS was a former driver at some point in their career. I for one prefered not to be married to the company and chose to be a driver till retirement. My job was in no way boring and i put off retiring for three years not because of money but because i really loved my job, being out on the streets meeting great customers, providing a service and being a good company employee. I for one took great pride in doing a good job for my customers and my bosses.
4-18-2007 @ 11:56AM
jeanne said...
Good morning! I truly think it depends on where you live. It has been my experience over the last twenty plus years that FedEx has misdelivered virtually every single package sent to me to a kind and honest woman who lives one block over. This includes computers, envelopes, etc. My UPS driver, Todd, is on time, pleasant and dependable 100% of the time. When he is on vacation is the only time I encounter any problems. I hear in Colorado that FedEx is the choice. As in all companies, it is the employee that will either enhance or detract from its imagine and bottom line. As long as I have the driver I have with UPS that is where I'll stay.
Regards~ jeanne
4-18-2007 @ 11:56AM
matt said...
The most important thing I can say about FedEx is that they treat thier customers better. The attention that you recieve from a FedEx Sales Rep is a lot better than that of UPS. I have been in business for over 10 years and have used each company for 5 years (UPS 1st 5, and FedEx last 5). Without a doubt FedEx has been a vital asset to my business success. If you are looking for something more out of your shipping and logistics, I highly recommend contacting FedEx and getting in touch with a sales rep.
4-18-2007 @ 11:56AM
Marina Volpian said...
GO FEDEX!!!!
4-18-2007 @ 8:11PM
cward said...
In reading your article I can only speak from personal experiences. I can't say I ever had a bad experience with UPS but I can't say I ever had an excellent one either. My experiences with FedEx have been several of which FedEx has gone out of their way on several occassions to deliver my packages both in & out bound. I am in total agreement with comment #20 Dave P. and how many times have you seen UPS written up or even mentioned as a great company to work for? With regards to FedEx Ground contractors vs Express couriers these are the same contractors that couldn't sign FedEx agreements fast enough when they wanted in on the contractor action. If they wanted to be employees why didn't they interview for an Express courier position? I can't say if the litigation is right or wrong. But, I can say is you can only be a person of your word. When you put you John Hancock on an agreement you need to honor your word. If you don't like the rules under which you agreed to do business then perhaps you should seek employment with another company! Perhaps UPS is hiring? I vote for FedEx!
4-18-2007 @ 2:33PM
Toronto Guy said...
All I've got to say is this... FedEx has a "secret weapon" and it's called FedEx Trade Networks! They facilitate the transportation of all my freight from Toronto to Buffalo to all points U.S. They can't be beat for service!!!
4-18-2007 @ 2:38PM
Big Jim said...
FedEx has a secret weapon called FTN - as in FedEx Trade Networks. They move all my freight to Buffalo from Toronto and then distribute it throughout the United States. It doesn't matter if it's small parcel - with which they ship via FedEx Ground, LTL, or full truckloads. They even act as a northbound consolidation point for my U.S. suppliers. They do it all with service that is second to none!
4-18-2007 @ 2:40PM
Big Jim said...
I love them so much I posted twice!!!