FedEx announced on Tuesday that it plans to begin shipping packages by courier and in-person to its customers starting July 1.
The new plan is a major boost for customers, as FedEx already offers two delivery options: FedEx Ground and FedEx Express.
The company said that the change in pricing comes on top of a previous price increase of $2.99 per package in 2019.
The price increases are part of a larger $5.2 billion package-delivery deal signed in January.
FedEx will begin offering a free one-time delivery option to FedEx Ground customers starting in 2020.
The move comes after it announced a $1.4 billion package deal with FedEx Express last year, which included the ability to offer in-house delivery in some markets.
The carrier said that its package delivery service would expand to about 3,500 U.S. cities, but that its delivery rates would not be affected by the $2 per package fee.
FedEx said that while it would make some changes in its delivery system to increase the efficiency of the FedEx package, its delivery plans would not change.
“We’ll continue to deliver in a way that makes sense for our customers,” the company said.
FedEx customers can expect the same speed and reliability as FedEx Ground, with delivery times ranging from 10 to 20 minutes, and the ability for customers to track their package on their smartphones.
The company also announced that it would provide free UPS Ground shipping for customers in some areas, including Puerto Rico, and Puerto Rico Post Office customers in the U.K., the U and Caribbean Islands, and Guam.
FedEx said that it will also offer free UPS Express shipping for FedEx Ground in the next three months.
In a press release, FedEx said it would offer FedEx Ground for $2 more per package.
“FedEx is committed to helping customers move packages faster, safer and with greater convenience,” the airline said in the release.
Graphic by Denny Burkard