FedEx Express, a subsidiary of FedEx Corp. (NYSE: FDX) and one of the world’s largest express transportation companies, unveiled a series of new integrations with leading e-commerce technology platforms across the Asia Pacific region which will substantially benefit e-tailers or e-commerce sellers. This development comes at a time when small and medium-sized enterprises (SMEs) are seeing significant demand for e-commerce services and day-definite international express delivery services, especially with the upcoming year-end peak season.
Changing consumer behavior resulting from the pandemic is spurring online transactions and e-commerce growth like never before. The Asia Pacific region is generating nearly two-thirds (64%) of global e-commerce spending. Just as shoppers have switched to purchasing online, so have businesses. More retailers are increasing their investment and engagement in online channels to capture consumer demand , resulting in increased demand for logistics support. According to McKinsey, the Asia e-commerce logistics market will account for 57% of total market growth from 2020 to 2025.
FedEx is responding to the increasing needs from e-commerce businesses through the company’s innovative Compatible and Alliances programs. These two programs enable e-tailers to gain instant access to enhanced and affordable shipping solutions, allowing them to sell effortlessly on e-commerce platforms.
Under the FedEx Compatible program, FedEx customers can generate FedEx shipping labels and use additional FedEx features, such as Express Shipping Services and International Shipping Documentation Service, without leaving the e-commerce or marketplace platforms. This simple and easy-to-follow integration of FedEx and platform/ marketplace accounts enables e-tailers easy and automated access to process orders. In addition, e-tailers on marketplaces will also benefit from exclusive discounts on FedEx rates under the Compatible program. To date, FedEx has integrated with 17 platforms, allowing hundreds of thousands of e-merchants across Asia Pacific direct access to FedEx services, using their FedEx account number, to manage shipments and grow cross-border their e-commerce business.
At the same time, the Alliances program allows all partners in the e-commerce ecosystem, including online shipping providers, to offer their e-tailer customers direct access to FedEx services at favorable rates.
“The e-commerce sector has only gotten stronger as a result of the pandemic, leapfrogging traditional commerce by as much as five times, As the holiday season approaches, consumers are spending even more online. To help e-tailers tap the growing demand, we are making our services more accessible to e-tailers and SMEs globally,” said Kawal Preet, president, Asia Pacific, Middle East, and Africa Region, FedEx Express. “Our collaboration with leading e-commerce platforms is an important step toward building a robust e-commerce ecosystem where small businesses can enjoy the same services as large retail brands, thereby leveling the playing field. We look forward to collaborating with more like-minded partners to provide sustainable solutions at scale and further propel the entire e-commerce value chain.”