Quick Answer: When Each Carrier Wins
USPS wins for lightweight packages under 1 lb, short-zone deliveries (zones 1-4), and PO Box addresses. UPS wins for heavier packages (5+ lbs), longer zones (5-8), business addresses, and when you need reliable tracking. FedEx wins for time-definite express shipping, residential ground in certain regions, and international priority. The "cheapest" carrier depends entirely on your specific package profile—weight, dimensions, origin, and destination.
Cost Comparison: USPS Services
USPS Ground Advantage is often the cheapest option for packages under 1 lb, starting around $4-5 for zone 1-4 deliveries. Priority Mail offers 1-3 day delivery with included insurance ($100) and tracking, typically $8-15 for small packages. Priority Mail Express guarantees overnight or 2-day delivery starting around $26. Key USPS advantage: No residential surcharges, delivery to PO Boxes, and Saturday delivery included. USPS uses a more favorable DIM divisor (166 vs 139), making it better for lightweight, larger packages.
Cost Comparison: UPS Services
UPS Ground is competitive for heavier packages (5+ lbs) and longer zones. Typical costs: $10-20 for packages in the 5-15 lb range. UPS 2nd Day Air and Next Day Air are premium options for time-sensitive shipments. UPS adds a residential surcharge (~$4-6) but offers business-to-business rates that can beat USPS. UPS excels in tracking reliability and package handling for fragile items. Their SurePost service (UPS pickup, USPS final mile) can save money on residential deliveries.
Cost Comparison: FedEx Services
FedEx Ground is priced similarly to UPS Ground for most weights and zones. FedEx Home Delivery is specifically designed for residential addresses and can be cheaper than UPS residential in some regions. FedEx Express (Overnight, 2Day) competes directly with UPS Express services. FedEx SmartPost (similar to UPS SurePost) uses FedEx for linehaul and USPS for last mile. FedEx is often the best choice for express international shipping to certain destinations.
Weight Break Points
Under 1 lb: USPS Ground Advantage usually wins by $2-4 over UPS/FedEx. 1-5 lbs: USPS and UPS/FedEx are often close; compare by zone. 5-15 lbs: UPS/FedEx Ground become more competitive, especially for zones 5+. 15-70 lbs: UPS/FedEx typically win; consider freight for 150+ lbs. Over 70 lbs: Requires freight or LTL services. These are general guidelines—always get live quotes because carrier pricing changes frequently and negotiated rates can shift the economics significantly.
Zone Impact on Pricing
Zones 1-4 (shorter distances): USPS often wins on price and transit time is similar. Zones 5-6 (medium distances): UPS/FedEx Ground become competitive; transit times stretch to 4-5 days. Zones 7-8 (cross-country): UPS/FedEx may win on price; transit times extend to 5-7 days for ground. Zone pricing is why origin ZIP code matters so much. A seller in Ohio shipping nationally has a cost advantage over coastal sellers shipping coast-to-coast.
Surcharges to Watch
Residential surcharges: UPS/FedEx add $4-6; USPS does not. Additional Handling: Triggered by weight (over 50 lbs), dimensions (over 48" or 30"), or packaging type (not fully encased). Oversized: Packages over 96" in length + girth face $40+ surcharges. Delivery Area Surcharges (DAS): Remote areas cost extra—USPS has better coverage without surcharges. Fuel surcharges: UPS/FedEx add 5-15% on top of base rates; built into USPS rates. These surcharges can completely flip which carrier is cheapest.
Transit Time Comparison
For ground services across the country (zone 8): USPS Ground Advantage: 2-5 business days. UPS Ground: 5-7 business days. FedEx Ground: 5-7 business days. FedEx Home Delivery: 5-7 business days (includes Saturday). For express services: USPS Priority Mail Express: 1-2 days guaranteed. UPS Next Day Air: Next business day guaranteed. FedEx Overnight: Next business day guaranteed. USPS often has faster ground transit times but less time-definite guarantees.
Tracking and Reliability
UPS and FedEx provide more granular tracking with driver-level updates and photo proof of delivery. USPS tracking has improved but can be less detailed. For high-value shipments, UPS/FedEx offer more robust claims processes. USPS is excellent for everyday e-commerce but may have more variability during peak seasons. Consider which level of tracking visibility your customers expect.
The Best Strategy: Multi-Carrier Shipping
The smartest shippers don't pick one carrier—they use all three strategically. Use USPS for: Lightweight packages, short zones, PO Boxes, and Flat Rate when it makes sense. Use UPS for: Heavier packages, business addresses, and when tracking reliability is critical. Use FedEx for: Express shipping, certain residential regions, and international priority. A shipping platform like ShipWave automatically compares rates across all carriers and picks the cheapest option for each shipment.