Adding a cubic pricing option for users of USPS Parcel Select Ground product will be a boon for shippers with small, dense and heavy packages but not so much for others, experts said ahead of the July 10 live date for the change. In general, packages must be under 20 lbs. and there’s a 50,000 package a year minimum.
U.S. Postal Service
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.
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.
What do major changes at USPS mean for thousands of businesses that rely on it daily for parcel delivery, as well as giants like UPS, FedEx and Amazon? How will these changes affect SLAs and CSAT? We discuss these issues with Cathy Roberson, founder and president of Logistics Trends and Insights on our latest MCM podcast.
UPS, facing massive volumes akin to the holiday season due to COVID-19’s impact on ecommerce, is imposing surcharges on larger-volume shippers and those sending bulkier items as of May 31 to offset its costs, impacting companies already reeling from the crisis. Experts agree they expect to see FedEx follow suit shortly.