Place in the Marketing mix of FedEx

FedEx offers services 2.4 millions of package per requests per day. It offer all around services in 24 hours for all its customers that are spread all over the world including Asia, Africa, Middle East, North America, Europe, Latin America

They have well trained staff that are efficient and are at the desk so as to provide information about parcels to the customers. It also offers internet facilities for any bookings, it also has an organised distribution channels.

The first stage is getting the parcel form the consumer the next stage to supply a proper channel of distribution this will depend on the rate the customer will find cheaper eventually the product will be delivered to the party efficiently and within the allocated period.

The most important reason for FedEx success is distribution and delivery system. The package can be tracked form the place of origin to the end point. Over the years FedEx has been providing fantastic user experience and gained a lot of brand equity because of distribution.

 

The distribution and delivery services offers

  • Comprehensive U.S. regional coverage
  • On-time reliability
  • Fast transit times for quicker delivery
  • Accurate and timely information
  • Single-source control
  • Decreased transportation and warehouse costs
  • Faster inventory turns for improved cash flow
  • Fewer delivery exceptions and claims due to reduced handling
  • Compressed order cycle time

Transportation assets-FedEx has significant investments in aeroplanes, tractors, and local deliveries

Information technology-There is extensive investment in information technology in term of tracking the packages to the area of distribution.

FedEx strategy goal is to deliver $1.6 billion of improved annual operating profit for the segment by the end of 2016, through five major initiatives which include

Efficiency of Staff Functions and Processes

To improve staffing efficiency and work processes to reduce the time, resources and prioritize and reduce function that have become redundant like operational and technological changes.

Modernising ait fleet

FedEx is replacing old aircraft with new cost effective and fuel efficient aircraft.757 and 767 programs create a next generation air fleet that reduces operating costs.

International profit increase

FedEx is diversifying its businesses to capture growth to all its market including air forwarding, economy and critical inventory logistics for instance

Expanding FedEx international

Expanding freight forwarding and supply chain capabilities for new areas like healthcare

REFERENCES

FEDEX 2016 http://investors.fedex.com/company-overview/fedex-express/strategy/default.aspx

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PLACE AND DISTRIBUTION AT FEDEX

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