Both FedEx and UPS have announced new, temporary peak holiday season surcharges that will impact shipping costs for ecommerce businesses this holiday season. This detailed layout of charges from the major carriers will help you make wise business decisions as you lay out your strategy for handling the surge in seasonal shipments.
The U.S. Postal Service, as it has for years, reported an overall loss in the second quarter due to declining mail volume and ongoing pension obligations, while its parcel delivery business continues to grow by double digits. See what else came out of the results, and how moves by major carriers may affect its parcel business.
In a move designed to capture network costs associated with retailers who fail to meet peak volume commitments, UPS plans to charge them for shortfalls this year. The charges would cover costs such as extra workers and surplus space on trucks or in distribution hubs based on retailers’ projections and volume commitments.
Meeting the increasingly high demands of ecommerce customers and helping shippers drive efficiency in their fulfillment operations were two of the main themes as UPS and Sealed Air jointly unveiled their packaging innovation center, located on the campus of UPS Supply Chain Solutions near its Worldport air hub in Louisville, KY.