FedEx today announced the addition of more than 8,000 Dollar General stores to the FedEx network of package drop-off, return, and hold-for-pickup options in the US. FedEx and Dollar General partnership is aimed at “help[ing] merchants grow their businesses by offering [US] shoppers convenient drop-off and pick-up locations that fit seamlessly into their lives.”
The move comes following the planned launch of FedEx Ground 7-day service in 2020 to include Sunday as a delivery day.
The news will see merchants increasing their ‘physical presence’ by allowing customers, particularly in rural areas, to collect their parcels. This is possible due to Dollar General’s rural store footprint that has more than 90% of Americans living within five miles of a FedEx retail location.
Online shoppers expect delivery and return options that meet the demands of their schedules, no matter where they live. FedEx say that 50% of these shoppers want additional delivery options and a third of the time they’re returning what they buy online. This forces online merchants to find a practical way to meet their customers’ needs — and if they disappoint, shoppers are likely to go elsewhere.
While a physical store is not required to play in the ecommerce game, there are certainly benefits. For example, when it comes time for returns, 47% of customers prefer to make them in-store. With the addition of more than 8,000 Dollar General stores — bringing FedEx network to more than 62,000 FedEx retail locations — online merchants can enjoy the perks of a physical store without having to invest in building one.
While it’s impossible for most merchants to have a location in every community, FedEx anticipate that by the end of 2020, the percentage of US customers within five miles of a FedEx drop off and pickup location will increase from 80% to over 90%. This means sellers of all sizes will be able to reach 90% of the US population through FedEx’ network for delivery and returns.
