USPS vs UPS vs FedEx: Complete 2025 Carrier Comparison for E-commerce
Detailed comparison of the big three carriers for online sellers. Rates, transit times, reliability, and best use cases for each carrier.
January 9, 20267 min read192 views
The Big Three Carriers: Overview
For e-commerce sellers, choosing between USPS, UPS, and FedEx impacts both costs and customer satisfaction. Each carrier excels in different scenarios - here's the complete breakdown.
Rate Comparison by Weight
Zone 4 Shipping (Regional)
Weight
USPS Ground Advantage
UPS Ground
FedEx Ground
Best Value
8 oz
$4.50
$9.80
$10.20
USPS
1 lb
$5.85
$11.20
$11.50
USPS
2 lbs
$7.25
$12.80
$13.20
USPS
5 lbs
$10.45
$16.50
$17.00
USPS
10 lbs
$15.80
$22.80
$23.50
USPS
20 lbs
$24.50
$32.40
$33.20
USPS
50 lbs
$52.80
$58.50
$60.20
USPS
70 lbs
$68.40
$72.80
$75.50
UPS
Zone 8 Shipping (Coast to Coast)
Weight
USPS Ground Advantage
UPS Ground
FedEx Ground
Best Value
1 lb
$8.25
$15.80
$16.20
USPS
5 lbs
$16.80
$28.50
$29.20
USPS
10 lbs
$28.50
$42.80
$44.20
USPS
20 lbs
$48.20
$62.50
$64.80
USPS
50 lbs
$85.40
$98.80
$102.50
USPS
Atoship Commercial Rates (40% Average Savings)
Weight
USPS via Atoship
UPS via Atoship
FedEx via Atoship
1 lb
$3.85
$6.85
$7.20
5 lbs
$6.45
$10.20
$10.80
10 lbs
$9.80
$14.50
$15.20
20 lbs
$15.20
$20.40
$21.50
Transit Time Comparison
Ground Services
Distance
USPS Ground Advantage
UPS Ground
FedEx Ground
Same state
1-2 days
1-2 days
1-2 days
Regional (500 mi)
2-3 days
2-4 days
2-4 days
Cross-country
3-5 days
5-7 days
5-7 days
Winner: USPS Ground Advantage for faster average transit
Express Services
Service
Transit
Cost (1 lb, Zone 4)
USPS Priority Mail
1-3 days
$9.85
UPS 3-Day Select
3 days
$18.50
FedEx Express Saver
3 days
$19.20
USPS Priority Express
1-2 days
$28.50
UPS 2nd Day Air
2 days
$32.80
FedEx 2-Day
2 days
$34.20
Reliability Metrics
On-Time Delivery Rates (2024 Data)
Carrier
Ground On-Time
Express On-Time
Overall Rating
UPS
94.2%
98.5%
4.3/5
FedEx
93.8%
97.8%
4.2/5
USPS
92.5%
95.2%
4.0/5
Damage Rates
Carrier
Damage Rate
Claim Process
Avg Resolution
UPS
1.2%
Online
5-7 days
FedEx
1.4%
Online
5-7 days
USPS
1.8%
In-person or online
7-14 days
Lost Package Rates
Carrier
Lost Rate
Insurance Included
UPS
0.3%
$100
FedEx
0.4%
$100
USPS
0.6%
$100 (Priority)
Surcharges Comparison
Common Surcharges
Surcharge
USPS
UPS
FedEx
Residential delivery
$0
$5.25
$5.15
Address correction
$0
$18.00
$17.00
Signature required
$3.45
$6.40
$6.25
Adult signature
$9.35
$7.90
$7.65
Fuel surcharge
0%
11.5%
11.5%
Saturday delivery
Included
$18.50
$18.00
Dimensional Weight Divisors
Carrier
DIM Divisor
Impact on Large/Light Packages
USPS
166 (Cubic)
Most favorable
UPS
139
Standard
FedEx
139
Standard
Best Use Cases by Carrier
Choose USPS When:
Packages under 5 lbs (significant savings)
Residential delivery (no surcharge)
Need Saturday delivery (included free)
Shipping lightweight items
Budget is primary concern
Rural delivery areas
Choose UPS When:
Packages over 50 lbs
High-value items (better claim process)
Business-to-business shipping
Need reliable evening delivery
International shipments with complex customs
Consistent tracking requirements
Choose FedEx When:
Time-critical shipments
Large package freight (Ground Freight)
Need hold at location options
Shipping to business addresses
Require Saturday express delivery
Need detailed shipment visibility
Carrier Account Benefits
USPS Commercial Plus
Benefit
Savings
Commercial Base rates
10-15% off retail
Commercial Plus rates
20-25% off retail
Atoship rates
35-40% off retail
UPS Account Tiers
Tier
Monthly Volume
Discount
Standard
< 50 packages
10-15%
High Volume
50-200 packages
20-30%
Enterprise
200+ packages
35-50%
Atoship
Any volume
35-45%
FedEx Account Tiers
Tier
Monthly Volume
Discount
Standard
< 50 packages
10-15%
Advantage
50-200 packages
20-30%
Alliance
200+ packages
35-50%
Atoship
Any volume
35-45%
Regional Carrier Alternatives
When to consider regional carriers:
Carrier
Coverage
Savings vs National
Best For
OnTrac
West Coast
25-35%
CA, OR, WA, AZ shipments
LSO
Texas + neighbors
20-30%
TX, OK, LA shipments
Spee-Dee
Midwest
20-30%
MN, WI, IA, ND, SD
Eastern Connection
Northeast
15-25%
NY, NJ, PA, CT
Multi-Carrier Strategy Recommendations
Small Business (< 100 shipments/month)
Scenario
Recommended Carrier
Default (under 5 lbs)
USPS via Atoship
Heavy items
UPS via Atoship
Time-sensitive
FedEx Express via Atoship
Medium Business (100-1000 shipments/month)
Scenario
Recommended Carrier
Lightweight residential
USPS Ground Advantage
Heavy or business
UPS Ground
Express
Split UPS/FedEx by zone
High Volume (1000+ shipments/month)
Scenario
Recommended Carrier
Zone 1-4
USPS + Regional carriers
Zone 5-8
Mix based on rate shopping
Express
Negotiate direct contracts
Atoship Multi-Carrier Advantage
With Atoship, you get:
Automatic rate shopping: Best carrier selected per shipment
Commercial rates on all carriers: 35-45% off retail
Single interface: Manage USPS, UPS, FedEx in one dashboard
Unified tracking: All carriers in one view
Bulk processing: 1000+ labels at once, any carrier
Get Commercial Rates on All Carriers
Sign up for Atoship and access the best rates from USPS, UPS, and FedEx instantly.
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