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UPS shipping rates rise in a bid to support their offering

By Sasha Fedorenko December 7, 2018 - 3:13 pm

UPS shipping rates will increase on selected service in a bid to support their offering, announced the supplier this week.

The supplier is aiming to make these changes come in effect on 26th December 2018 to see UPS Air and International services, as well as UPS Air Freight rates within and between the U.S., Canada and Puerto Rico increase by an average net 4.9%. UPS put the change in shipping fees to “support[ing] ongoing expansion and capabilities enhancements while ensuring UPS is fairly compensated for the value and high service levels provided.”

UPS say that the fuel surcharges will go to shipping services including additional handling, over maximum limits, signature required and adult signature required accessorials.

Peak period price increase trend?

These news come as the supplier up their shipping rates by a considerable amount in the run-up to their busiest trading peak period. Are these changes applied to give the business a handy financial boost? UPS have a track record of spiking their service changes in time for the increased demand for shopping. Last year’s November peak period saw the supplier adding a surcharge on parcels in an attempt to encourage merchants to ship goods that are not time sensitive on quieter days. Their competitor, FedEx looks to manage the peak without an extra financial support which gives them a competitive advantage against UPS. With that being said, would merchants take an ‘opportunity’ of splashing their cash on extra shipping fees this peak season?

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