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FedEx Archives: 1999 Press Releases

( BW)(TN-FEDERAL-EXPRESS)(FDX) New FedEx MarketPlace Provides Easy Access To Online Shopping; Top Merchants Offer Reliable FedEx Shipping

    Business Editors

    MEMPHIS, Tenn.--(BUSINESS WIRE)--Nov. 10, 1999--Federal Express Corp. ("FedEx"), the company that created online shipping, now offers a convenient link to online shopping with the new FedEx MarketPlace at www.fedex.com/us. Through this FedEx MarketPlace "portal," shoppers gain one-click access to several top online merchants that utilize fast, reliable FedEx delivery services -- and the merchants gain with millions of potential new customers.
    By clicking on the FedEx MarketPlace link on the FedEx home page, shoppers can then connect to several trusted merchants, including Value America, L.L.Bean(R) and the HP Shopping Village. Initially, Value America will offer free, 3-day FedEx shipping on 300 selected items purchased from the Value America online catalog located at the FedEx MarketPlace.
    "The explosion of growth in the E-tailing sector certainly demonstrates that consumers find Internet shopping to be a convenient and time-saving experience," said FDX Chairman Frederick W. Smith. "However, online shoppers do have concerns about product quality, security and speed of fulfillment. Buying from trusted online merchants, combined with reliable FedEx delivery, should reduce those concerns."

    The Benefits of FedEx MarketPlace

    The FedEx MarketPlace will deliver significant benefits for both online merchants and customers.

--	For merchants, the FedEx web site will open a highly visible channel to reach new customers. The site receives over 32 million page views per month and is growing at a compounded rate of about 10 percent per month.
--	For shoppers, the FedEx MarketPlace will offer access to high-quality, trusted brand names with fast, reliable FedEx delivery. All merchants will also offer the option to purchase next-business-day or second-business-day FedEx delivery for many of those last minute purchases needed during the busy holiday season.

    FedEx will also benefit by expanding its e-commerce reach -- particularly during the busy holiday shopping season -- to generate incremental package volume.

    Online Merchants

    Value America, L.L.Bean and the HP Shopping Village are the inaugural merchants at the FedEx MarketPlace.

--	Value America "With the FedEx MarketPlace, Value America's 3,000 brands and 30 product categories will now be available to customers not only online, but through the Value America presented via the FedEx MarketPlace catalog," said Craig Winn, Chairman and Founder of Value America. "Together, Value America and FedEx can bring everyone -- even those without a PC -- into the value and excitement of e-commerce."
--	L.L.Bean "We see great potential in expanding our market reach by tapping into one of the most well-known sites on the Web," said Pat Robles, vice president, electronic commerce at L.L.Bean. "L.L.Bean has had a long-standing relationship with FedEx and we understand the value of reliable FedEx delivery in satisfying our customers."
--	HP Shopping Village The HP Shopping Village (www.hpshopping.com) is Hewlett-Packard Company's consumer e-commerce Web site. Ranked by PC Computing magazine as the top generator of retail e-commerce revenue, HP Shopping Village links from the FedEx Marketplace, providing access to millions of potential new shoppers this holiday season. "We value our relationship with FedEx as it enables us to offer an important quick-delivery feature to our online customers," said Shen Li, general manager, HP Shopping Village.

    E-Commerce and "E-Tailing"

    According to Forrester Research, the total e-commerce market will grow to about $127 billion this year, including $18 billion in "e-tailing," or business-to-consumer sales, and about $109 billion in business-to-business transactions.
    Between Thanksgiving and New Year's, Forrester estimates that consumers will spend about $4 billion online -- almost three times last year's amount. The 1999 holiday season will find over one million new customers shopping online for the first time, bringing the total number of households shopping on the Web to more than 17 million.
    "While FedEx already has a significant presence in the much larger business-to-business sector, we realize that millions of consumers are heading online, searching for convenience, value, and trusted brand names," Smith said. "Based on a 15-year heritage in e-commerce, FedEx is uniquely positioned to connect customers with the Internet economy."
    Federal Express, a subsidiary of FDX Corp., connects areas that generate 90% of the world's gross domestic product in 24-48 hours with door-to-door, customs-cleared service and a money-back guarantee. The company's unmatched air route authorities and infrastructure make it the world's largest express transportation company, providing fast, reliable and time-definite transportation of more than 3.1 million items to 210 countries each working day. FedEx employs more than 148,000 employees and has more than 44,400 drop-off locations, 643 aircraft and 43,500 vehicles in its integrated global network. The company maintains electronic connections with more than 1.9 million customers via FedEx PowerShip(R), FedEx Ship(R) and FedEx interNetShip(R). Federal Express reported revenues of $14.0 billion for its fiscal year ended May 31, 1999.

    NOTE TO EDITORS: Federal Express Corp. press releases are available on the World Wide Web at http://www.fedex.com

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