As e-commerce continues to evolve, FedEx Hold at Location (HAL) has established itself as a cornerstone for US merchants seeking reliability, scalability, and security.

While many shoppers still default to home delivery, the trend is shifting: 10-20% of US customers now typically select a pickup point when given the option at checkout.

For high-volume merchants, the FedEx HAL network—comprised of over 22,000 locations including FedEx Office, Walgreens, and Dollar General—offers a distinct advantage in terms of operational capacity and specialized handling.

One of the primary friction points with smaller PUDO (Pick-Up Drop-Off) networks is the "capacity blackout," where locations temporarily disappear from maps because their storage areas are full.

• High Reliability: Because the FedEx HAL network relies on large retail partners and dedicated FedEx Office centers, they have significantly more floor space.

• Fewer Blackouts: FedEx HAL locations rarely suffer from capacity issues, ensuring your customers always have their preferred local shop available, even during peak holiday surges.

FedEx HAL is uniquely positioned for the wine and spirits industry.

• Walgreens & More: Unlike some other retail networks, Walgreens and the majority of FedEx HAL partners accept alcohol shipments.

• Guaranteed Signature: Since alcohol requires an Adult Signature (21+), shipping to a staffed HAL location prevents the "Missed Delivery" cycle. The package is signed for by a trained employee and kept secure until the customer arrives with a valid ID.

To correctly route a package to a HAL site, you cannot simply use a standard residential label with the store's address. You must follow specific FedEx documentation requirements:

• The Location ID: When requesting a shipping label via the FedEx Ship API, you must include the unique Location ID of the chosen pickup point.

• API Fields: In your shipping request, you must populate the shipmentSpecialServices container with the HOLD_AT_LOCATION flag. You then provide the pickup point's address in the alternateDeliveryAddress field.

• Commercial Billing: Correctly requesting the HAL label via API ensures the shipment is automatically billed at Commercial Rates, bypassing the ~$5.95+ residential surcharge.

Even if a customer originally chooses home delivery, you can still save the sale if the first delivery attempt fails.

• Redirect API: FedEx offers a specific Redirect to Hold API capability. If a delivery is unsuccessful (e.g., no one was home for a signature), your system can programmatically trigger a redirect to a nearby HAL location.

• Customer Retention: This allows the customer to pick up the package the same day at a local Walgreens rather than waiting 24 hours for a second attempt that they might also miss.