Lost Packages at FedEx: Where Undelivered Items End Up in 2024

Losing a package in transit continues to be a frustrating reality of shipping. For FedEx customers, that lost package most likely won‘t end up on the auction block anymore. But where do these undelivered items ultimately end up?

FedEx‘s Evolving Policies on Lost Packages

According to the latest version of the FedEx Service Guide, undeliverable packages are handled in one of three ways:

  • Returned to the shipper
  • Treated as unclaimed/refused and disposed of
  • Donated to charity (if certain criteria are met)

The guide makes no mention of any auctions of lost items. This represents a major shift from past policies that resulted in thousands of packages annually being auctioned off through affiliates.

By the Numbers: Package Loss at FedEx

FedEx has invested heavily in package tracking and delivery technology in recent years. This has resulted in improved package handling and lower loss rates:

  • Loss rate in 2010: 1.5%
  • Loss rate in 2022: 0.4%

That‘s a 73% reduction in lost packages over a 12 year span.

Other data also points to major improvements. For example, the number of claims paid out to customers for lost items has dropped by over 80% since 2004.

YearClaims Paid for Lost Packages
2004534,000
202293,000

How Other Carriers Handle Undelivered Packages

For comparison, here are the policies of two other major delivery companies:

CompanyPolicy
UPSHolds undeliverable packages for 30-60 days then auctions
USPSHolds packages for 90 days before auction

Unlike competitors, FedEx no longer auctions. This shows an industry-leading commitment to reuniting packages with recipients.

Tips to Never Lose a Package Again

While loss rates are down, packages do still occasionally get misplaced. Here are tips to make sure your package arrives safely:

  • Provide delivery alerts and precise address details.
  • Require signature confirmation for high-value items.
  • Insure expensive or fragile items.
  • Hold packages at FedEx location for pickup if traveling.

Following these best practices can help ensure you never have to wonder where your lost FedEx package ended up. The company makes every effort to avoid auctions these days.

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