2021 Year-End Planning for Your FedEx and UPS Shipments

11/15/2021 — Leah Palnik

The end of the year is usually pretty hectic for a lot of businesses, but 2021 is proving to be one for the books. As you navigate the holiday season and prepare for the year ahead, you’ll want to heed our warnings for your FedEx and UPS parcel shipments.

Ship early
We can’t stress this enough. Delays are becoming more common and will likely get worse the closer we get to Christmas. The FedEx and UPS networks are very strained right now. Fueled by the pandemic and all of its ripple effects, demand for parcel services is at an all-time high. Both FedEx and UPS have suspended service guarantees for their ground services and some of their air/express services, which means you can’t leave things up to chance. Ship early and build in plenty of extra time where you can so you don’t run into major disruptions.

Review holiday shipping deadlines
For retailers, this is especially important. As customers place their orders for holiday gifts, they’ll want to know that they’ll receive them before the big day. FedEx and UPS have released their shipping deadlines, so make sure to review them and plan accordingly. That way you’ll be able to manage expectations appropriately and keep your customers happy.

Prepare for the 2022 rate increases
Don’t sleep on the fact that after you make it through the holiday season, your FedEx and UPS rates will be going up. Both carriers announced that they will be increasing their rates by an average of 5.9%. It’s tempting to take that announced average and budget for your costs to go up by that much, but unfortunately it’s not that simple.

How much your rates will go up in the new year will largely depend on which services you use, your package characteristics, and where you’re shipping to/from. That 5.9% average also doesn’t account for surcharges which can drive up your costs even more. If this all sounds like a major analysis that you don’t have the time to conduct, you’re not alone. That’s why we’ve reviewed the updated rate charts for you. Download our free guide to see a full analysis of what you can expect.

4 Freight Challenges That Will Actually Better Your Business

03/27/2018 — Jen Deming

-Late freight is a very common issue for shippers, and one that can often affect the relationship between your business and your customer. Fortunately, it is also one of the easiest challenges to avoid, and it all boils down to transparent communication between you and your chosen carrier. It may appear that you are at the mercy of your vendors with regard to your inbound shipping orders for supplies and raw materials, but you don't have to be. Setting up routing instructions with specific requirements and chosen carrier preferences is something you can and SHOULD discuss with your vendors, that way your needs are met and you can rest easy. Most carriers offer online tracking services through their company websites, and you can always stay informed by setting up alerts and notifications by either text or email, so you can stay informed about the transit status of your freight. Selecting the appropriate service type is another way to avoid late freight. Different service levels are often determined by transit timelines. Time-critical and expedited shipping options can help get your shipment where it needs to, at an accelerated rate. Another way to avoid delivery delays is to be sure you are familiar with your shipping locations. If there a short window for dock hours, or pick-up/delivery appointments are required, and you don't make the carrier aware when scheduling the shipment, you can bet on a missed or delayed delivery.

-Damaged or lost freight is every freight shipper's worst nightmare. Accidents happen, and every freight shipper will most likely experience damage to their product, especially as volume and frequency increases. If you are seeing repeated incidents, or a frequent occurrence, it's possible that there may be an underlying issue--improper packaging. Even minor adjustments can make all the difference in a long transit where shipments are being loaded and unloaded at several terminals and different trucks.

-In the unfortunate event that your shipment is damaged, the last thing you want to worry about is compensation for that loss in order to repair or send a replacement product. In order to receive compensation from a carrier, it is necessary to prove that they were at fault or negligent. It's crucial to take as many pictures as possible to prove the product was in good condition prior to pick-up. Even if you are able to win the claim after filing, oftentimes the payout leaves a little to be desired. The amount of coverage is often paid out at a fixed dollar amount determined by commodity and class, and there are endless rules and exceptions. The headache can be avoided if the shipper is proactive and obtains supplemental cargo insurance to cover the cost of the load. Many providers do not require the carrier is proven negligent and shippers can avoid carrier tariff loopholes such as restricted freight classes.

-It's a tough time for shippers. With the ELD mandate deadline behind us, many carriers still do not meet minimum requirements, thereby restricting the number of available carriers on the road. With truck drivers unwilling to risk the run as law enforcement officials crack down on non-compliant carriers, an already limited truck capacity is tightened further. Carriers that DO happen to have available trucks are asking a premium, and with options limited, they will get it. Shippers need to take control and shop rates among carriers, but that takes time, patience, and industry knowledge--and that's where working with a 3PL can come in handy.

There seems to be no end when it comes to obstacles that shippers encounter. Getting your shipments delivered on time, safely, and smoothly seems like a no-brainer, but once that pallet has left your dock, control is pretty much out of your hands. But it doesn't have to be. A quality 3PL provider can serve as an extra set (or two!) to make sure you are shipping smart and staying competitive. The team of experts at PartnerShip have taken a look at the most common problems shippers experience and how they can actually BETTER your business. Download our free white paper today!

The 2018 FedEx and UPS Rate Increases: A Closer Look

11/20/2017 — Leah Palnik

With the New Year approaching, it’s time to look at the UPS and FedEx rate increases for 2018 and how they will affect your costs. In September, FedEx announced an average increase of 4.9% on Express and Ground services. UPS joined the party in October, announcing that they will also be increasing their rates by an average of 4.9%. The new 2018 UPS rates will take effect on December 24, 2017, while FedEx will be instating them a week later on January 1, 2018.

The averages might be the same, but the rates vary. With higher increases for some services and lower increases for others, you can’t budget based on your costs increasing 4.9%. It’s important to look at what services you use, your package characteristics, and the locations you’re shipping to, and then evaluate the new rate charts to find your biggest cost offenders from the 2018 FedEx and UPS rate increases.

On top of the FedEx and UPS rate increases for 2018, there are additional updates that are likely to affect your shipping costs. First, UPS is lowering its dimensional (DIM) weight divisor from 166 to 139 for domestic packages less than or equal to one cubic foot (1,728 inches) in size. With this change, UPS and FedEx are back in line with each other on how they calculate dimensional weight. Both carriers will now use 139 for all domestic and international packages.

It’s been a wild ride the past few years with multiple changes to which packages DIM weight pricing applies to and how it’s calculated, so this is a welcome stabilization. However, a lower divisor means a higher chance that your package will get billed at your DIM weight, rather than your actual weight. If you ship packages one cubic foot or under with UPS, it’s important to take note and make changes to eliminate any unused space in your packaging or consolidate orders when possible.

Surcharges are also increasing, with some at alarming rates. Most notably, in 2018 FedEx and UPS are coming after larger, oversized packages. Not only are they increasing at a higher rate than most surcharges, they are by far the most costly. For example, the FedEx Unauthorized Packages fee is increasing from $115 to $300 and the UPS Over Maximum Limits charge is increasing from $150 to $500. The shipping trends that have resulted from the rise of e-commerce has taken its toll on the carriers and they’re having to move more and more oversized packages that can’t go through their automated systems. Time is money, so they’re tacking on hefty fees to make up for it.

Ahead of the new FedEx and UPS rate increases for 2018, new holiday peak season charges will also apply. UPS is adding peak surcharges on domestic residential packages during the busiest shipping days of the year – from November 19 to December 2 and from December 17 to December 23. These fees will add up quick when you have an increased amount of orders over the holidays. 

In a notable departure from UPS, FedEx decided not to add a peak season surcharge this season. Instead they opted to increase surcharges for packages that are big or bulky enough to require special handling. UPS is also increasing the cost of larger packages by adding additional peak season surcharges on top of the already existing surcharges. The 2018 UPS rate announcement included increases for these surcharges for the next holiday season, so you can expect this trend to continue.

The 2018 FedEx and UPS rate increases are proof that the carriers are getting smarter, hitting shippers where it hurts most. Luckily, you don’t have to navigate the changes alone. The shipping experts at PartnerShip have evaluated the new rate charts and we have completed a detailed analysis, so it’s easier for you to assess the impact on your shipping costs. Download our free white paper today!

Everything You Need to Know About Freight Claims

08/25/2017 — Leah Palnik

Damaged freight is every shipper’s worst nightmare. To make it worse, filing freight claims is a complex and frustrating process. There is a lot you need to know about what to document, what to file, and what the Carmack Amendment covers. Before you find yourself in this mess, it’s best to learn some of the basics.

First, damaged freight isn’t the only type of freight claim you may encounter. You may also experience a shortage or a lost shipment all together. And then there’s the concealed claims – when the cargo damage or shortage is discovered after delivery and reported after the driver leaves. As you can imagine, there can be extra hoops to jump through in these situations.

Before you can understand what to do in the case you need to file a cargo claim, you need to understand the Carmack Amendment. This law addresses the issue of liability between shippers and carriers. Under this law, you have to establish that the goods in question were picked up in good condition, delivered in damaged condition, and resulted in a specific amount of damage.

Once you’re able to prove that these requirements were met, the carrier is held liable unless it proves that it was not negligent and the cause of cargo damage was one of the following: 

• Act of God 
• Public enemy
• Act of default of shipper 
• Public authority 
• The inherent vice or nature of the goods

If you have to file a claim, it’s best to do it as soon as possible. You typically will have 9 months from the delivery date, or only 5 days in the case of a concealed claim. You’ll want to have the Proof of Delivery (POD), the original Bill of Lading (BOL), freight bill, merchandise invoice, and replacement invoice or repair bill to support your claim. Taking pictures to include is also very helpful.

Unfortunately there are several issues that could cause your cargo claim to be denied. If you want to secure a fair resolution, make sure your documentation is accurate, your claim includes specific details, and you have proof that you attempted to mitigate the damage.

The subject of freight claims is complicated, but that doesn’t mean you’re out of luck. PartnerShip has developed a helpful white paper that details everything you need to know about filing a freight claim. It also provides you with important information that will teach you how to package your shipments to avoid damaged freight, how to set procedures for accepting freight that protects you in the event you need to file a claim, and how to ensure your claim doesn’t get denied.

Download the free white paper: Everything You Need to Know About Freight Claims!

Truckload Shipping 101

03/09/2016 — Matt Nagel

If you're a freight shipper, it's important to understand each type of transportation to be sure you are not wasting valuable resources. Truckload freight refers to larger shipments - usually over 10,000 pounds and/or requiring an entire semi-trailer. These types of shipments have their own set of rules, benefits, and nuances separate from other freight that makes truckload shipping a complicated transportation mode to master. Not to worry, as PartnerShip has created a new white paper designed to help you navigate the world of truckload freight! You'll learn:

• What constitutes a truckload shipment
• The benefits of shipping truckload versus other types of freight
• The specialized equipment available for your shipments
• How to obtain an accurate and cost-effective truckload quote

Click here to download this free white paper!

Visit PartnerShip.com/WhitePapers for a number of PartnerShip white papers on various shipping topics. Be sure to check back periodically as we continue to add new content! As always, the freight shipping experts at PartnerShip are here to lend a helping hand. Give us a call at 800-599-2902 or email sales@PartnerShip.com.

How to Accept Freight and Handle Claims

08/28/2015 — Leah Palnik

Knowing how to properly check your inbound freight can save you from a big headache when handling any resulting claims. To help you understand exactly what you need to do in these situations, we’ve developed a new white paper on how to accept freight and handle claims. You’ll learn:

• What procedures to follow when receiving freight
• How to check for damages or shortages
• How to make notations on the delivery receipt
• The steps you need to take to file a claim
• How to improve your inbound shipping management

Click here to download the white paper!

If you receive shipments from your vendors, this white paper is a must-read. For more educational resources, visit PartnerShip.com/WhitePapers.

When you work with PartnerShip, you benefit from the personalized attention of a dedicated account representative who can provide you with routing management, claims assistance, and the competitive freight rates your business needs. Request a free inbound shipping analysis today by visiting PartnerShip.com/InboundAnalysis.

A Guide to Stress-Free Shipping

08/04/2015 — Matt Nagel

There are many stress-causing challenges that can come along with shipping freight and, as Your Shipping Connection, we've put together a new, detailed white paper designed to ease your mind and have you shipping like a pro! The subject of the white paper is based on information gathered directly from shippers about their challenges and concerns when sending freight. We identify your main shipping concerns and then provide tips and best practices to off-set the stress of those concerns.

Click here to download this free white paper!

Visit PartnerShip.com/WhitePapers for a number of PartnerShip white papers on various shipping topics. Be sure to check back periodically as we continue to add new content! As always, the freight shipping experts at PartnerShip are here to lend a helping hand. Give us a call at 800-599-2902 or email sales@PartnerShip.com.

New White Paper: Truck and Trailer Equipment Guide

03/23/2015 — Matt Nagel

There is a wide range of equipment available for your shipment to ensure proper transportation and delivery. Keeping the trucks and trailers straight that are carrying your freight can be a tough task for even the most experienced shipper - which is why we created a brand new Truck and Trailer Equipment Guide for our customers. This white paper contains measurements and visuals for dry vans, refrigerated units, flatbeds, and the tractors that pull the trailers.

Click the link below to download the white paper and learn more about what carries your freight from point A to point B.

Download the Truck and Trailer Equipment Guide Today!

As always, the shipping experts at PartnerShip are here to lend a helping hand and answer any questions you have about freight shipping. Give us a call at 800-599-2902 or email sales@PartnerShip.com.

New White Paper: The 5 Most Common Freight Shipping Mistakes

02/09/2015 — Matt Nagel

As Your Shipping Connection, the PartnerShip goal is to save you money and make sure you're in the know on everything shipping related. That's why we develop informational white papers to help small businesses navigate through the world of transportation and logistics. We've developed a brand new white paper designed to proactively identify and correct commonly made freight shipping mistakes before they cost you valuable time and money. In this white paper we provide:

• Descriptions of some of the more common freight shipping mistakes
• Examples on how these mistakes are impacting your bottom line
• Ways to catch these mistakes before they cost your company money