Ware2Go, a UPS-owned provider of fulfillment on demand through partnership with warehouse owners, via an integration with Google Shopping, lets merchants offer free shipping early in the search and discovery process on Google, aimed at increasing conversion. Ware2Go handles fulfillment through its partner network.
Parcel shipping services will be in high demand for peak holiday season as more consumers are shopping online in the midst of COVID. And a new wave of peak surcharges from major carriers poses a significant burden for ecommerce shippers – and they’ve already hit. Here are ways to mitigate the costs coming into peak season.
The House approved a $25 billion relief package for the beleaguered USPS, a measure not expected to pass muster in the GOP-led Senate, as new Postmaster General Louis DeJoy is undergoing intense scrutiny in Washington over changes he is initiating. A second hearing before a House panel is scheduled for today.
FedEx as expected added peak surcharge fees onto its pricing schedule for an expected blowout peak holiday season this year, adding up to $2 per package for the SmartPost final mile service and up to $5 per package for the next-day Express service. UPS and the U.S. Postal Service have already announced their peak pricing.
The U.S. Post Office is taking the unprecedented step of seeking a peak surcharge in anticipation of huge holiday demand for ecommerce parcel shipping. If approved the increases would take effect from Oct. 18 to Dec. 27, ranging from an additional 24 cents to $1.50 more per package, across all its products.
Major logistics and shipping firm C.H. Robinson has added a parcel option to its Freightquote self-shipping tool to better service small-to-medium-sized businesses, while also partnering with project crowdsourcing provider TaskRabbit to give them access to ecommerce fulfillment services. The combination is an industry first.
A few weeks ago, analysts predicted FedEx’s strong Q4 results were a preview of coming attractions for when UPS reported. They weren’t wrong. UPS reported a record 22.8% surge in average daily shipping volume in Q2, fueled by massive ecommerce growth, and a 65% increase in shipments to consumers, nearly 70% of total volume.
USPS Postmaster General Louis DeJoy doubled down on the need for greater efficiency and performance, while enacting new measures. Also, the USPS reached an agreement in principle to receive a $10 billion loan from the U.S. Department of the Treasury under the CARES act, and created for the first time a loyalty program.
Buyers used to ask retailers when their item could be delivered. Now, they want to choose the in-home delivery time and track it online. That’s a somewhat new and difficult expectation for brands to meet. The good news is that sophisticated truck routing solutions are available to help merchants better manage in-home home delivery.