As you may or may not know, UPS typically increases their base service rate by 4.9% each year. Unfortunately, 2019 is no exception. Effective at the end of last year, UPS shipping rates have increased by 4.9%. Furthermore, you might not know that surcharges and accessorial fees are changing, some by substantially more than 4.9%! That’s money coming out of your pocket and affecting either your bottom line or your customers’ price point.
Naturally, the real pain will be felt by those who ship odd-sized packages. These shippers incur additional handling surcharges and large package surcharges. These fees are increasing by 18.5% or more this year on top of the regularly scheduled increases!
With just a few percentage changes on top of the additional surcharges, your profit margin can vary as much as the weather this coming year, but you don’t have to stand for it! Refund Logistics can help you beat the system and get back the package refunds that you’re due.
Haven’t heard of the changing price points and want to know more?
Here are some of the largest UPS surcharge / accessorial fee increases for 2019:
- Large Package Surcharge (Residential) – Increasing from $90 to $115 per package (27.8% increase)
- Large Package Surcharge (Commercial) – Increasing from $80 to $95 per package (18.8% increase)
- Additional Handling Surcharge – Increasing from $12 to $14.25 per package (18.5% increase)
- Residential Delivery Surcharge (Ground) – Increasing from $3.60 to $3.95 per package (10% increase)
- Residential Delivery Surcharge (Air) – Increasing from $4.15 to $4.55 per package (10% increase)
While it may not seem like a lot, the frequency of repeated shipping will make these charges add up incredibly quickly.
If you’re using the Refund Logistics platform, you can see your total surcharge spend and quickly estimate how much these increases will affect your shipping spend for 2019. If you’re not using it yet, sign up for free today! You work hard for your money and you deserve the ability to save as much as you can.