Parcel Shipping prices are going to rise in 2015, according to reports this month about UPS and the United States Postal Service.
UPS said in a press release that earnings for 2014 would be lower than previous guidance, primarily due to the underperformance of the U.S. domestic segment. UPS said that while package volume and revenue results were in line with expectations, operating profit was negatively impacted by higher than expected peak-related expenses.
Meanwhile, the USPS has put in a rate schedule request with the Postal Regulatory Commission that would keep its competitive Priority Mail rates unchanged for domestic delivery while raising the price of Parcel Select – the primary last-mile option of the major carriers – by an average of 8%.