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Articles & Tips

UPS in Lock Step with FedEx on 2015 Rates

12/15/2014

 
Both FedEx & UPS increase rates by 4.9%
Doug Caldwell & Dan Malech, AFMS
Fewer and fewer price differences between the two carriers; UPS & FedEx prices will now be nearly identical for many services
This morning, UPS announced their 2015 UPS rates and for the first time in memory, UPS and FedEx Ground rates will match penny-for-penny for Continental US shipments (up until now, FedEx Ground has always been five cents lower for 71-150 lb shipments).  The big news continues to be the dramatic change in ground dimensional factors that both carries will introduce for 2015. The new UPS rates and DIM changes will be effective on December 29th. FedEx shippers will get a one week reprieve, with their rate and DIM changes effective January 5th. As previously announced in Parcel, the Postal Service will hold off on their annual increase until at least until the second quarter of 2015.  

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2015 FedEx Rate & Accessorial Increases ASSESSMENT

12/10/2014

 
For the First Time FedEx Sets The Ground Rates - Will UPS Follow?
By Dan Malech, AFMS Pricing Director and Doug Caldwell, AFMS VP International
  • 6.4% increase in 1-5 lb. ground rates
  • Some international rates increase nearly 9%
  • 4.9% increase is on top of dimensional factor changes

For the first time in recent history, FedEx has announced their service rate increase; both express AND ground, before UPS. 
The FedEx rate change will be effective Monday, January 5TH, 2015. FedEx has announced that their ground and express rates will take a general rate increase of 4.9%.

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2015 FEDEX DIM Change

12/4/2014

 
All FedEx Ground Packages Now Subject to Dimensional Weight Pricing.
Effective January 1, 2015, FedEx Ground will apply dimensional weight pricing to all shipments.  Currently, FedEx Ground applies dimensional weight pricing only to packages measuring three cubic feet or greater...Dimensional weight pricing is a common industry practice that sets the transportation price based on package volume—the amount of space a package occupies in relation to its actual weight.
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