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FedEx will not charge extra for most holiday home deliveries | Nasdaq.com

FedEx’s holiday pricing strategy steps up the Memphis-based company’s battle with UPS, the world’s largest package delivery company, for a greater share of e-commerce business driven by retailers like Amazon.com Inc <AMZN.O> and Wal-Mart Stores Inc <WMT.N>.

UPS and FedEx have spent billions of dollars on upgrading their networks to handle rapidly rising e-commerce package volumes, particularly in the weeks leading up to Christmas. [nL1N1FL0KK]

Atlanta-based UPS has charted a different course for pricing this holiday season. Parcels delivered to residences, as well as large packages and those exceeding system weight limits, would face surcharges of up to 97 cents for two-day air services to residential addresses from Dec. 17-23, UPS said.

A 27-cent surcharge per package will apply to UPS’ ground service from Nov. 19 to Dec. 2 and between Dec. 17 and Dec. 23, UPS said.

UPS declined to comment on FedEx’s surcharges, but said its own peak-season pricing makes sure its “appropriately compensated for the high value we provide at a time when the company must double daily delivery volume for six-to-seven consecutive weeks to meet customer demands.”

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FedEx will not charge extra for most holiday home deliveries – Nasdaq.com.

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