The United States Postal Service (USPS) is an independent agency of the U.S. federal government responsible for providing postal service in the United States. It was founded in 1775, making it one of the oldest postal services in the world. The USPS is the largest postal service in the United States and one of the largest employers in the country.
The USPS is committed to providing high-quality, affordable, and reliable mail and package delivery services to customers across the United States. It operates over 31,000 post offices and more than 200,000 vehicles and delivers to over 160 million addresses six days a week.
One of the ways the USPS stands out from its competition is through its commitment to universal service. Unlike many private carriers, USPS is required by law to provide mail delivery to every address in the United States, regardless of the location or the cost. This means that the USPS often delivers to remote and rural areas that other carriers may not serve.
Another way the USPS stands out is through its pricing. The USPS is often able to offer lower prices than its competitors, particularly for smaller packages and items. Additionally, the USPS offers flat-rate boxes and envelopes, which can be a cost-effective option for customers sending items that are heavy or bulky.
Despite its strengths, the USPS faces significant competition from private carriers, particularly in the package delivery market. Here are the top 10 USPS competitors based on their 2021 revenue:
United Parcel Service (UPS)
Let’s take a deeper look at them!
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Founded in 1971, FedEx is a global courier delivery services company based in the United States. The company is known for its reliable and fast delivery services, especially for time-sensitive shipments. In addition to its air and ground delivery services, FedEx also offers a range of logistics, e-commerce, and printing services to its customers.
As of 2021, FedEx operates over 5,000 facilities in more than 220 countries and territories worldwide. In the fiscal year 2021, FedEx reported revenue of $84.0 billion.
United Parcel Service (UPS)
Founded in 1907, UPS is a global package delivery and supply chain management company based in the United States. The company is known for its extensive logistics network and innovative delivery solutions, such as its UPS My Choice service, which allows customers to customize their delivery options. UPS offers a range of shipping and logistics services, including air and ground delivery, freight forwarding, and warehousing. In addition to this, the company offers notary and photo services at most of its locations.
As of 2021, UPS operates over 5,500 facilities in more than 220 countries and territories worldwide. In the fiscal year 2021, UPS reported revenue of $96.9 billion.
Launched in 2014, Amazon Logistics is the shipping and delivery arm of e-commerce giant Amazon. The company offers a range of delivery services, including same-day, next-day, and two-day delivery for Amazon Prime members. Amazon Logistics also provides shipping and logistics services for third-party sellers on the Amazon marketplace.
Amazon Logistics operates in more than 40 countries worldwide and has a network of over 150 fulfillment centers and 20 sortation centers in the United States alone. Amazon’s overall revenue for the fiscal year 2021 was $386.1 billion, but the company does not break down revenue by individual business segment.
Founded in 1969, DHL Express is a global courier delivery services company based in Germany. The company is known for its international shipping and logistics services, particularly in Europe and Asia. DHL Express offers a range of services, including express delivery, freight forwarding, and customs clearance.
As of 2021, DHL Express operates in over 220 countries and territories worldwide, with over 4,000 facilities. In the fiscal year 2020, DHL Express reported revenue of €19.1 billion (approximately $22.5 billion USD).
Founded in 1991, OnTrac is a regional package delivery company based in the western United States. The company specializes in time-definite delivery services, with a focus on same-day and next-day delivery options. OnTrac offers a range of shipping services, including ground and air delivery, as well as logistics and warehousing solutions.
OnTrac operates in eight western states in the United States, with over 60 facilities. OnTrac does not publicly report its revenue figures.
Founded in 1986, LaserShip is a regional last-mile delivery company based in the eastern United States. The company offers a range of delivery services, including same-day, next-day, and two-day delivery options. LaserShip specializes in e-commerce delivery, providing solutions for retailers and marketplace sellers.
LaserShip operates in 23 eastern and central states in the United States, with over 60 facilities. LaserShip does not publicly report its revenue figures.
Founded in 1999, Newgistics is a logistics and e-commerce solutions company based in the United States. The company provides end-to-end e-commerce solutions, including order fulfillment, parcel delivery, and returns management. Newgistics also offers logistics and warehousing services to retailers and e-commerce businesses.
Newgistics operates in the United States, with facilities in Texas and Kentucky. Newgistics does not publicly report its revenue figures.
Founded in 1960, Purolator is a courier and logistics company based in Canada. The company is known for its extensive network of delivery services across Canada, as well as its cross-border shipping and logistics solutions. Purolator offers a range of shipping and logistics services, including express delivery, freight forwarding, and warehousing.
Purolator operates in Canada, with more than 170 facilities. In the fiscal year 2020, Purolator reported a revenue of CAD $2.0 billion (approximately $1.6 billion USD).
Founded in 1972, Hermes Parcelnet is a courier and logistics company based in the United Kingdom. The company specializes in parcel delivery services, offering next-day, two-day, and three-day delivery options. Hermes Parcelnet also provides returns management and warehousing solutions.
Hermes Parcelnet operates in the United Kingdom and Europe, with more than 23,000 parcel shops and over 100 depots. Hermes Parcelnet does not publicly report its revenue figures.
Founded in 1999, GLS is a courier and logistics company based in Europe. The company provides parcel delivery and logistics services across 41 European countries. GLS offers a range of services, including express delivery, international shipping, and warehousing solutions.
The Bottom Line
In conclusion, USPS has a rich history of serving the American people for over 200 years. It is a unique institution that is mandated by the Constitution to provide postal services to all citizens, regardless of where they live or work. USPS stands out from its competitors because of its extensive reach, affordable rates, and commitment to serving every community in the country.
While there are several competitors in the shipping and logistics industry, USPS remains a critical part of the American economy and a beloved institution among the American people. The competition between USPS and other companies will continue to shape the shipping and logistics landscape, and it will be interesting to see how each company adapts to the changing needs and demands of customers in the coming years.