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September 17, 2019

How Does Fedex One Rate Benefit E-Commerce Merchants?

When you're an eCommerce merchant, shipping can make or break your business. In fact, the 2018 Pitney Bowes Global eCommerce Study found that 56 percent of customers felt let down by their recent online holiday shopping experiences, all due to shipping issues. So if you’re looking for ways to make shipping easier, researching FedEx One Rate may be a good idea. This shipping option has several benefits for eCommerce companies. Here’s how this shipping service works.

What is FedEx One Rate? 

FedEx One Rate is a flat-rate shipping service that FedEx released in 2013 to offer predictable, simple shipping within the U.S. This option does not require you to measure or weigh your shipments, as long as they’re under 50 lbs.

What Services Are Available with FedEx One Rate?

This shipping option is available for use with several popular shipping methods within the U.S. For example, you can use FedEx One Rate when you choose Overnight shipping, including First, Priority, and Standard Overnight shipping. You can also use it for 2Day and 2Day AM shipping, as well as FedEx Express Saver. As long as you’re shipping packages domestically using any of these services, and your FedEx package weighs 50 lbs or less, you can use One Rate.

What Is the Simplified Pricing?

With simplified pricing based on three zones, you know ahead of time how much you will pay for shipping. Just choose one of 12 FedEx packages that will fit your item, and then look at the rate chart for exact pricing.

If you’re shipping locally, you’ll choose Zone 2, which includes shipments traveling up to 150 miles in the contiguous U.S. Regional Shipping, or Zones 3 to 4, includes shipments traveling 151 to 600 miles. The National Zone, or Zones 5 to 8, describes shipments traveling 601 miles or more. This area also includes shipments to or from Hawaii or Alaska, as well as FedEx Express shipments within Alaska.

What Features of FedEx One Rate Benefit the eCommerce Merchant? 

FedEx One Rate benefits both eCommerce companies and their customers in several ways. For example, with the simplified pricing, you can see how much you will pay for shipping before you send the package, which makes it easier to estimate totals for customers. Not only do the zones make it simple to determine your shipping costs, but the fact that there are no hidden fees makes shipping easier on you. The FedEx Flat Rate cost already includes delivery area surcharges, residential surcharges, and the fuel surcharges, so there are no surprises when you drop your package off for delivery.

In addition, you don’t need to weigh or measure packages when you use FedEx One Rate. As long as FedEx Envelopes weigh 10 lbs. or less, and FedEx boxes, tubes, and paks weigh 50 lbs. or less, your package is ready to send. This can save you time and trouble when you’re constantly sending lightweight products that you don’t want to weigh every time you make a shipment. Plus, now there are 12 packaging options you can choose from, so it should be easy to find the perfect size and shape of packaging to fit your products.

Another advantage of FedEx One Rate is the money-back guarantee, which promises on-time delivery. If the package arrives late, you’ll get a refund on your shipping costs. This means if you pay for Express Saver and 2nd Day shipping services, you can expect commercial delivery by 4:30 pm, and residential delivery by 8:00 pm. When you pay for 2nd Day AM delivery or Priority Overnight, you can expect the package to arrive by 10:30 am. And with First Overnight, the delivery should arrive by 8:30 am at the latest—or you’ll get a refund on your shipping charges.

Finally, FedEx One Rate features some value-added services that will make shipping easy on any eCommerce company. For instance, you can track your packages online at any time, and there is no extra fee for declared value of up to $100. Additionally, you can access FedEx One Rate online and via mobile device, or you can visit a FedEx Ship Center or Office location near you. You can also drop off your shipment at a FedEx drop box location, or schedule a pickup for a small fee. Plus, FedEx One Rate is compatible with platforms like Magento, Woocommerce, and Shopify, if you use off-the-shelf integrations available from Eniture Technology.

Of course, as many advantages as FedEx One Rate has for eCommerce companies, there are some potential drawbacks to be aware of, such as the following:

  • You can only use this service for domestic shipping, so it won’t help if you need to ship internationally.
  • You have to use FedEx packaging for your shipments, which may be a problem if you have odd-shaped items or items that won't fit in the provided packaging.
  • You may have to pay extra for additional requests, i.e., Saturday delivery, on-call package pickup, or declared value over $100.

In general, as long as you’re shipping mostly lightweight items domestically, FedEx One Rate may be a convenient option to look into as an eCommerce merchant.

About Eniture Technology

Eniture Technology specializes in helping e-Commerce merchants grow by providing useful information, digital marketing services, off-the-shelf apps that solve common problems, and custom programming services. Please contact us if you need help growing your online business or implementing the concepts presented in this blog post.

Interested in learning more? Check out our free guide, A Beginner's Guide To E-Commerce Shipping and subscribe to our blog!

A Beginner's Guide To E-Commerce Shipping


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