Every year, carriers increase their shipping rates, and it is always a mystery until they have released the strategic plans as to which areas will see the increase. They recently announced their plans, and for 2021, there are a few areas that will see a high increase in shipping rates, as well as additional fees and penalties.
Oversized packages and unauthorized oversized package rates are increasing. Additionally, there are new handling surcharges that are impacting these larger parcels.
If you are a shipper of large or heavy boxes, the 2021 rate increase will be targeted at you.
There will be increased delivery fees and surcharges in for delivery area and extended area zip codes.
Unlike UPS, FedEx has never issued a late fee for late payment, but in 2021 that will change. FedEx is going to be assessing a 6% late fee on bills that are past due. We often expose late fees costing UPS shippers Thousands, Tens of Thousands, or even more. Be on the lookout.
We can take your historical volume and then project it forward using the new rates so you can strategically look at how these new rates are going to impact your costs in the future.
Shippers who are using our Invoice Analytics and our Contract Edge tools will be able to predict where they are today and see where they will be in the future. This will allow them to start planning accordingly and maybe negotiate skillfully with their carrier.
If you are not already taking advantage of the powerful business intelligence tools that Parcel BI offers, you can learn more about our tools in our video library or contact us today! Likewise, you can sign up for your free demo or no-risk month to month subscription.