We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Spend Management Experts (SME) Highlights UPS Rate Increases for Shippers
Press releases are provided by companies as is and have not been edited or checked for accuracy. Any queries should be directed to the company issuing the release.

Upload your press release

Spend Management Experts (SME) Highlights UPS Rate Increases for Shippers

July 9, 2018
No Comments

July 9, 2018 (Atlanta, GA) - UPS has made several surcharge increases recently, which will have a significant impact on shippers. These increases are part of UPS' efforts to continuously look for pricing initiatives which align revenue to cost to serve as well as the value UPS creates for customers.

Below, Spend Management Experts, a leading supply chain spend management consultancy, outlines these recent increases and what they mean for shippers.

The Increases:
• Effective June 4, 2018 - The fee for Over Maximum Limits and the Oversize Pallet Handling Surcharge increased by $150.00 and a new Shipping Charge Correction Audit fee was added.
• Effective June 11, 2018 - Ground Fuel Surcharge will increase by 0.5% for all thresholds.
• Effective July 8, 2018 - The Large Package Surcharge for any US Domestic package delivered to a residential address will be $90.00 and the Additional Handling Surcharge for any U.S. Domestic package exceeding 70 pounds in actual weight will be $19.00.


What it Means:
On top of the average 4.9 percent annual rate increase, additional surcharges will mean even higher costs to shippers. Examples of what the latest surcharges will mean:
• Over Maximum charge tends to impact those large, heavy items that really belong in the UPS Freight or other LTL network.
• Oil prices have gone up double-digits since last year and to make sure UPS is not negatively impacted by any sudden fluctuation, it has changed its UPS Fuel Surcharge. Earlier this year, it changed its International Export fuel surcharge for similar reasons.
• Along with the Over Maximum charge, the Large Package fees are for those items that exceed over 130 inches in girth or with one side greater than 96 inches.

According to Spend Management Experts Founder & CEO John Haber, "UPS is feeling the effects of increasing competition and changing consumer demand, now delivering more residential packages than commercial packages. Infrastructure investments and a costly union negotiation come at a hefty price and these cost increases will help subsidize the investments."

To mitigate the impact of these recent increases, and additional increases expected leading up to peak season, it is important for shippers to identify opportunities to optimize their supply chain networks.

Here is what shippers can do:
• Audit your invoices every week.
• Negotiate - Almost everything is negotiable.
• Still not happy after negotiations? Be willing to diversify your carrier base. There are other options.

About Spend Management Experts
Spend Management Experts is a leading supply chain spend management consultancy that helps companies optimize spend across the supply chain reducing costs by 20 percent or more. Our finance background and experience analyzing shipping costs relative to carrier profitability enables us to develop effective supply chain optimization strategies across transportation, distribution and fulfillment. We leverage cutting-edge proprietary models to identify savings opportunities and build negotiation strategies based on data and meaningful business cases, while providing clients with straightforward details on exactly how savings are derived. For more information, please visit www.spendmgmt.com. Connect with Spend Management Experts on Twitter, LinkedIn, Google+ and the Spend Management Experts blog.

More Info: http://www.spendmanagementexperts.com/

Submit your logistics, material handling, or supply chain related company news in Supply Chain Quarterly's's Industry Press Room section or New Products section
  • Related Articles

    Spend Management Experts (SME) Releases 2019 Carrier Increase Guide and the Effect on Shippers

    Spend Management Experts Joins Metro Atlanta Chamber's Team Georgia for RILA LINK Conference

    Spend Management Experts Hires Scott Cornwell as Vice President of Technology and Finance

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Survey: most Americans unaware that truckers face shortage of parking spaces

  • Postal Service plans to seize items mailed with fake stamps

  • Best practices in logistics sustainability

  • Supply chain executives not yet seeing expected results from technology investments

  • Inflation drops again as interest rate hikes hit home, NRF says

Featured Video

20221107korber large vs

Enhancing Customer Experience with Your Supply Chain Strategy

Viewer Contributed
With the rise of e-commerce, many businesses have had to transform their warehouses to handle online orders in addition to regularly scheduled inventory shipments. This means warehouses need more information than ever before to ensure they can meet customers' needs. As a result, companies need to select warehouse...

FEATURED WHITE PAPERS

  • Guide to Pallet Rack Safety

  • 3PLs: Complete Orders Faster with Flexible Automation

  • A shipper's guide to navigating post-pandemic holiday freight

  • THE NEW WAY TO WAREHOUSE: 4 Innovations in Automation & Robotics to Boost Warehouse Productivity

View More

Subscribe to Supply Chain Quarterly

Get Your Subscription
  • SUBSCRIBE
  • E-NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing