U.S. Postal Service Is Gaining on FedEx and UPS in E-Commerce Shipping

A round of steep, unfair price cuts in September 2014 has enabled the USPS to grab market share from UPS and FedEx, UPS charged in a recent filing with the Postal Regulatory Commission.

UPS claims that the Postal Service’s commercial parcel rates are priced too low to cover its costs, which means USPS’s e-commerce growth is being built “on the backs” of traditional mail customers: “The Postal Service is charging higher prices to captive mailers, while reducing service standards, in order to help fund its aggressive expansion into competitive product markets.”