As globalization redraws the competitive landscape for logistics providers, FedEx’s recent link-up with Agere comes in part because of its extensive operations in Asia. Already highly ranked in customer satisfaction in Europe, FedEx now has to make top quality service the difference that keeps it ahead of its rivals in markets around the world.
Agere Systems has selected FedEx Express as its primary express shipments carrier.
Agere Systems, a provider of integrated circuit solutions and formerly part of Lucent, has appointed FedEx Express as its partner for domestic and international express shipments. FedEx Express will use FedEx’s AsiaOne network and its recently enhanced transcontinental flights.
The electronics firm will use several of FedEx’s specific express solutions, including its FedEx EC-Ship and FedEx In Sight. The first will allow the integration of the two companies’ ordering systems, enabling customers to track orders and obtain rates, documents and labels without leaving the Agere website. The second solution tracks inbound, outbound and third party shipments, providing concise summaries of multi-package shipments in one report.
Agere says that a big part of FedEx’s appeal is its ability to provide solutions that are responsive to the company’s needs. It highlighted various key areas as deciding factors: favorable transit times, excellent package tracking and vast geographic coverage.
Datamonitor’s recent survey of top European manufacturers and retailers picked up on very similar themes. Asked to rate their current express provider on six criteria – speed of delivery, price, geographic coverage, IT capabilities, on time delivery performance and customer service – respondents ranked FedEx above its three main global rivals, UPS, DHL and TNT.
In a business environment that is becoming increasingly global it is important that customer satisfaction is maintained all key markets of the world. It remains to be seen how this contract will develop, but satisfied customers in Europe is a good indication.
Related Research: Datamonitor, European Client Survey 2002 Wave 2 (IMAU0015)
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