
FedEx is best known for its air delivery service, FedEx Express, which offers overnight delivery as its flagship service. The company operates one of the largest civil aircraft fleets in the world and is the largest cargo airline in terms of fleet size and freight tons flown. Its primary hub is at Memphis International Airport, which is the busiest cargo airport in North America and the second busiest in the world. The airport provides FedEx with short-term commercial building space, ranging from 4,000 to 200,000 square feet. The company also has a national hub at Indianapolis International Airport and regional hubs at airports in Anchorage, Fort Worth, Greensboro, Miami, Newark, Oakland, and Ontario within the United States.
Characteristics | Values |
---|---|
Location of FedEx's primary hub | Memphis International Airport |
Location of FedEx's national hub | Indianapolis International Airport |
US regional hubs | Anchorage, Fort Worth, Greensboro, Miami, Newark, Oakland and Ontario |
International regional hubs | Cologne/Bonn, Dubai, Bengaluru, Delhi, Guangzhou, Liege, Milan, Mumbai, Osaka, Paris, Seoul, Shanghai, Singapore, Taipei, Tokyo, and Toronto |
Size of space available for lease in the airport area | 4,000–200,000 square feet |
Year of founding | 1971 |
Year of beginning formal operations | 1973 |
Year of expansion to Europe and Asia | 1984 |
Year of becoming the world's largest cargo airline | 2023 |
What You'll Learn
FedEx's global Superhub is located at Memphis International Airport
The FedEx global Superhub is located at Memphis International Airport, Tennessee, United States. The Superhub was opened in 1981, two years after the company began servicing 90 additional cities in the US.
The Superhub is the central hub for FedEx Express, a major American cargo airline. As of 2023, FedEx Express is the world's largest cargo airline in terms of fleet size and freight tons flown. It is the namesake and leading subsidiary of FedEx Corporation, delivering freight and packages to over 375 destinations across 220 countries and six continents daily.
FedEx Express operates a hub and spoke system, which is considered the most efficient way to move packages. The company also has a national hub at Indianapolis International Airport and regional hubs at airports in Anchorage, Fort Worth, Greensboro, Miami, Newark, Oakland, and Ontario.
In addition to its domestic network, FedEx Express has established international regional hubs at airports in Cologne/Bonn, Dubai, Bengaluru, Delhi, Guangzhou, Liege, Milan, Mumbai, Osaka, Paris, Seoul, Shanghai, Singapore, Taipei, Tokyo, and Toronto. This extensive network enables the company to provide express shipping services to various destinations worldwide.
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FedEx's other hubs include Indianapolis, Anchorage, Fort Worth, Greensboro, and more
FedEx's SuperHub at Memphis International Airport is the world's largest cargo airline in terms of fleet size and freight tons flown. The company also has a national hub at Indianapolis International Airport, which is the second-largest FedEx Express hub in the world. The Indianapolis hub has a sort capacity of 99,000 packages per hour and employs nearly 4,000 team members.
In addition to its hub in Indianapolis, FedEx has regional hubs across the United States, including Anchorage, Fort Worth, Greensboro, Miami, Newark, Oakland, and Ontario. The Anchorage hub, located at Ted Stevens Anchorage International Airport, was opened in 1989 to accommodate the company's expanded international service.
The Fort Worth hub is located at 5601 Mark Iv Pky, and offers a range of shipping services, including packaging supplies, expedited options, and customs brokerage. Similarly, the Greensboro hub, located at 6061 Old Oak Ridge Rd, provides shipping support, supplies, and tips, as well as various shipping options and value-added services such as pickup, delivery, and supply chain management.
FedEx's hubs play a crucial role in the company's operations, enabling it to deliver freight and packages to over 375 destinations across 220 countries daily. With its extensive network of hubs and SuperHubs, FedEx Express has established itself as the world's largest express transportation company.
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The company was founded in 1971 and began operations in 1973
The global leader in transportation, e-commerce, and logistics, FedEx, was founded in 1971 in Little Rock, Arkansas, as Federal Express Corporation by Yale University graduate, Frederick W. Smith. Smith's idea for the company was conceived years earlier when he wrote a term paper proposing a centralized hub-and-spoke distribution system with a dedicated fleet of planes and a single hub for routing packages. However, the idea was not well-received by his professor, who thought it was impractical.
Despite this initial skepticism, Smith persevered with his vision, and in 1973, he began formal operations in Memphis, Tennessee. On April 17, 1973, Federal Express commenced operations with 389 team members, 14 aircraft, and the delivery of 186 packages to 25 US cities. The choice to move operations to Memphis was influenced by financial incentives and the city's central location, which offered an airport with minimal weather-related closures and ample hangar space.
Over the next few years, FedEx experienced significant growth and expansion. In 1976, the company turned its first profit, and in 1978, it went public on the New York Stock Exchange under the ticker symbol FDX. During this period, FedEx introduced its overnight letter service, competing with the US Postal Service, and began delivering documents and packages to Canada, marking its first international destination.
In the 1980s, FedEx continued to expand its operations, introducing new services and opening hubs at various airports across the United States and internationally. The company's rapid growth and adoption of innovative technologies, such as the "SuperTracker" handheld bar code scanner, solidified its position as a leader in the shipping industry. By the 1990s, FedEx had established itself as a global force in transportation and logistics, and it continued to evolve and adapt to the changing landscape of e-commerce and international markets.
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FedEx expanded to Europe and Asia in 1984
In 1983, FedEx recorded a revenue of $1 billion for the first time, marking a significant milestone for a startup that had not engaged in any mergers or acquisitions during its first ten years of operation. This financial success paved the way for further expansion, and in 1984, FedEx took its first steps towards globalisation by expanding its services to Europe and Asia.
The expansion into Europe and Asia in 1984 was a pivotal moment in the company's history, marking its transition from a solely North American enterprise to a global logistics provider. This move signified the company's ambition to compete on an international scale and solidify its position as a leading cargo airline.
To support its intercontinental operations, FedEx introduced innovative technologies and services. They introduced the SuperTracker handheld barcode scanner, revolutionising the industry by enabling parcel tracking for the first time. This technology enhanced the efficiency of FedEx's operations and set a new standard for package delivery.
As part of its expansion strategy, FedEx also acquired other companies to strengthen its global presence. In 1988, it acquired Flying Tiger Line, a major competitor, which resulted in the creation of the world's largest full-service cargo airline. This acquisition allowed FedEx to expand its international service offerings and establish additional hubs at strategic locations, such as the Ted Stevens Anchorage International Airport.
By the 1990s, FedEx continued to solidify its global presence, particularly in Europe and Asia. They planned a joint service with British Airways, which involved utilising Concorde supersonic jet airliners to transport packages to Shannon Airport in Ireland. Although this venture was eventually abandoned, it demonstrated FedEx's commitment to exploring innovative ways to enhance its international operations.
Today, FedEx Express, the air delivery service of FedEx, operates as the world's largest cargo airline, serving over 375 destinations across 220 countries and territories worldwide. With its primary hub at Memphis International Airport, FedEx has established itself as a critical hub for global logistics, offering a range of services beyond express shipping.
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The company pioneered overnight delivery
The FedEx Express is a major American cargo airline based in Memphis, Tennessee. It is the world's largest cargo airline in terms of fleet size and freight tons flown. It delivers freight and packages to over 375 destinations across 220 countries on six continents every day.
In the 1970s, with the enormous growth of the company, FedEx needed a method for quality control. They developed the tracking number for internal use to ensure that packages were moving properly. In 1980, Federal Express began servicing an additional 90 cities in the United States. The following year, the company introduced its overnight letter service, allowing document shipping for the first time, and directly competing with the U.S. Postal Service's Express Mail. In 1981, it also started its international operations with services to Canada and officially opened its Superhub at the Memphis International Airport.
In 1983, Federal Express's sales topped $1 billion for the first time. The same year, the company introduced ZapMail, a fax service that guaranteed the delivery of up to five pages in under two hours for $35. However, this service would later become a huge failure for the company, costing it hundreds of millions of dollars. In 1986, the company introduced the "SuperTracker", a handheld barcode scanner that brought parcel tracking to the shipping industry for the first time.
Overnight shipping is a delivery service that guarantees shipments will be delivered the next day by a certain time. FedEx offers various overnight delivery options, including FedEx First Overnight®, FedEx Priority Overnight®, and FedEx Standard Overnight®. The fastest option, FedEx First Overnight, delivers packages by 8 a.m. the next business day in most areas. FedEx also provides Saturday delivery and pickup for an additional charge in many areas.
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Frequently asked questions
The FedEx airport in Memphis, also known as Memphis International Airport, is the busiest cargo airport in North America and the second busiest in the world. It is also the largest of all FedEx airports. The airport offers short-term commercial building space for lease, ranging from 4,000 to 200,000 square feet.
No, FedEx has other hubs in the United States and internationally. In the US, its national hub is at Indianapolis International Airport, and regional hubs are located in Anchorage, Fort Worth, Greensboro, Miami, Newark, Oakland, and Ontario.
FedEx has international regional hubs at the following airports: Cologne/Bonn, Dubai, Bengaluru, Delhi, Guangzhou, Liege, Milan, Mumbai, Osaka, Paris, Seoul, Shanghai, Singapore, Taipei, Tokyo, and Toronto.
FedEx founder Frederick W. Smith chose Memphis International Airport because it is near the mean population centre of the country and has calm weather.
The "Superhub" at Memphis International Airport is the central hub for FedEx's air shipping operations. It is the namesake and leading subsidiary of FedEx Corporation, delivering freight and packages to over 375 destinations across 220 countries and six continents daily.