Using FedEx: Choose A Product Or Service Offered

Using fed Ex Choose A Product Or Service The Company Offers On Which T

Using FED EX, choose a product or service the company offers on which to focus. Identify the important attributes for your chosen product and select two key variables for your perceptual map. Prepare a perceptual map for your chosen product/brand and using a minimum of seven competitors, rank each product/brand on the two variables based on how they are positioned in the consumers' minds. Explain why you placed each competitor on its particular spot on the map, and how you might strengthen your chosen product/brand's position in the minds of the target market. Create an 8- to 10-slide Microsoft® PowerPoint® presentation with notes including the following: · Develop a Summary slide. · Explain the target market (be specific and address all four segmentation variables - demographic, geographic, psychographic and behavioral). · Identify a Perceptual map. · Explain the Map placement. · Identify your references. Format your assignment consistent with APA guidelines.

Paper For Above instruction

Introduction

FedEx, as one of the world's most prominent logistics and delivery services companies, offers a diverse portfolio of products and services tailored to meet various customer needs. For this analysis, the chosen product is FedEx Express Overnight Delivery service, a premium offering designed for urgent shipments requiring expedited delivery within the United States and internationally. This service is pivotal in FedEx’s lineup, catering to customers who prioritize speed and reliability. The following sections detail the key attributes of this service, develop a perceptual map with seven competitors, analyze positioning, and explore strategies to enhance FedEx’s market standing.

Important Attributes of FedEx Express Overnight Delivery Service

The primary attributes for this service include delivery speed, reliability, price, and service coverage. Delivery speed, as the core value proposition, influences customer decisions heavily; reliability ensures packages arrive on time and in good condition; price reflects the premium nature of the service; and service coverage encompasses domestic and international reach. Additional factors such as customer service quality and technological integration (tracking systems, app usability) also play supportive roles in consumer perceptions.

Target Market Segmentation

A detailed understanding of the target market involves segmentation across demographic, geographic, psychographic, and behavioral variables.

- Demographic Segmentation: The target demographic primarily includes small-to-medium-sized enterprises (SMEs), large corporations, and individual professionals who require urgent document or parcel deliveries. Age range varies, but most customers are between 25 and 65 years, with higher-income levels due to premium pricing.

- Geographic Segmentation: The service targets urban and suburban areas within the United States and major international commercial hubs. Urban centers with high logistic demands, such as New York, Los Angeles, London, and Tokyo, are key locations.

- Psychographic Segmentation: Customers value efficiency, professionalism, and reliability. They often belong to business-oriented psychographic profiles that prioritize time savings, security, and technological integration. These consumers tend to be high-pressure professionals and logistics managers.

- Behavioral Segmentation: Customers exhibit behaviors such as frequent shipping needs, preference for premium services, punctuality as a critical factor, and loyalty to brands offering consistent performance. They often seek expedited services during urgent business cycles or emergencies.

Development of the Perceptual Map

The perceptual map focuses on two variables: Delivery Speed and Price. Delivery Speed reflects the service's core attribute, ranging from standard to ultra-fast, while Price distinguishes premium offerings from more economical options.

Competitors Selected for Placement:

1. DHL Express

2. UPS Next Day Air

3. USPS Priority Mail Express

4. Amazon Logistics

5. FedEx Ground

6. United Parcel Service (UPS) Ground

7. DHL Economy Select

Placement Explanation:

- DHL Express is positioned near FedEx Express due to similar premium overnight services emphasizing speed, but with slight regional differences.

- UPS Next Day Air is placed close to FedEx for comparable service speed but at a slightly lower price point.

- USPS Priority Mail Express is positioned to the right, indicating a premium but less extensive international coverage.

- Amazon Logistics is placed in a moderate price and delivery speed zone, emphasizing rapid delivery but less premium and with narrower coverage.

- FedEx Ground and UPS Ground are positioned towards the lower speed and price area, offering economical, slower options.

- DHL Economy Select falls into the lower price and slower delivery speed quadrant, targeting cost-sensitive customers.

Why These Placements?

Placement is based on perceived consumer perceptions regarding delivery timeframes, costs, and service coverage. Premium overnight competitors like DHL Express and UPS Next Day Air emphasize speed, with slight variations in price, influenced by regional service differences. USPS Priority Mail Express, although offering overnight services, is perceived as slightly less reliable or slower relative to private carriers. Amazon Logistics’ positioning reflects its rapid delivery for ecommerce but with less international reach. Ground services, notably FedEx Ground and UPS Ground, are less aligned with express needs, hence located toward the lower end of both variables.

Strategies to Strengthen FedEx Express Overnight Position

To enhance FedEx’s position, strategies could include investing in advanced logistics technology for real-time tracking, expanding international reach, and refining pricing strategies for targeted customer segments. Additionally, marketing efforts could emphasize unique selling propositions, such as guaranteed on-time delivery and superior customer service, reinforcing consumer perception of reliability and speed.

Conclusion

FedEx Express Overnight Delivery stands as a critical component of FedEx’s portfolio, distinguished by its delivery speed and coverage. Its target market comprises professionals and businesses who value time-sensitive shipments. The perceptual map illustrates competitive positioning based on delivery speed and price, highlighting areas for strategic enhancements. Strengthening technological infrastructure, optimizing service coverage, and reinforcing brand messaging are essential steps for maintaining competitiveness in a dynamic logistics environment.

References

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  • Kfalva, K. (2017). Logistics and Supply Chain Management. Routledge.
  • Lambert, D. M., & Cooper, M. C. (2000). Issues in Supply Chain Management. Industrial Marketing Management, 29(1), 65–83.
  • Monczka, R. M., Handfield, R. B., Giunipero, L. C., & Patterson, J. L. (2015). Purchasing and Supply Chain Management. Cengage Learning.
  • Nair, A. (2009). An Integrated Framework for Supply Chain Risk Management. KAM Society Conference Paper.
  • Simchi-Levi, D., Kaminsky, P., & Simchi-Levi, E. (2008). Designing & Managing the Supply Chain. McGraw-Hill/Irwin.
  • Waller, M. A., & Fawcett, S. E. (2013). Data Science, Predictive Analytics, and Big Data: A Revolution That Will Transform Supply Chain Design and Management. Journal of Business Logistics, 34(2), 77–84.

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