(800) 246-3521
​
AFMS
  • About Us
  • Clients
  • Our Solutions
    • RFI & RFP Support
    • Auditing & Reporting
    • Parcel
    • LTL/FTL
    • Rail/Intermodal
    • Air Freight
    • Ocean Freight
    • Canada
    • Europe/Asia
  • Articles
  • Videos
  • Case Studies
  • Contact Us
    • Free Evaluation
    • AFMS Careers
  • About Us
  • Clients
  • Our Solutions
    • RFI & RFP Support
    • Auditing & Reporting
    • Parcel
    • LTL/FTL
    • Rail/Intermodal
    • Air Freight
    • Ocean Freight
    • Canada
    • Europe/Asia
  • Articles
  • Videos
  • Case Studies
  • Contact Us
    • Free Evaluation
    • AFMS Careers

Articles & Tips

UPS Reinstates Its Air Delivery Refund Policy With a Catch

4/6/2021

 
Picture
​UPS has once again reinstated its money-back guarantee after suspending the program at the beginning of the pandemic due to unexpected market changes. As a greater number of Americans began working remotely and staying home to reduce the spread of COVID-19, e-commerce has seen a major surge. Compared to the 13 billion parcels shipped in the U.S. in 2018, there were up to 14.7 billion parcels shipped in 2020. Amazon packages alone made up 1.9 billion of those parcels.
How will this impact businesses?

Because the pandemic is still continuing to impact transportation and delivery speeds, there's greater potential for businesses to file claims against carriers for late parcel shipping services. Even small percentages of late package deliveries could lead to hefty costs for UPS. It's for this reason that, as the pandemic continues, FedEx is still suspending its own money-back guarantee to prevent large charges for missing or late package claims.

However, UPS isn't reinstating the policy without a safety net of its own. UPS's reinstated policy only impacts its air delivery products, and the shipping carrier is extending the time frame in which its air delivery products are considered on time. Compared to the shipping carrier's previous deadline of 3 PM for its next-afternoon deliveries, the new deadline has been extended to 11:59 PM. In this case, businesses will still be able to file claims against UPS for late packages but the carrier has elbow room to make up for transportation and delivery delays due to the pandemic.

For businesses that rely on UPS's air delivery products, it's important to know how the new deadlines will impact the delivery of these products. Because next-afternoon air delivery products are commonly used by business-to-business customers, it's a good idea to plan ahead for an extra day to send documents and other B2B parcels. The new deadline also applies to UPS's next-day air products, which guarantees parcel shipping deliveries by 10:30 AM. The deadline will additionally apply to UPS's early morning air delivery products, which promise parcel shipping deliveries by 8 AM the next morning.

Keep an eye on your parcel shipping contract

With UPS reinstating its money-back guarantee program with a new deadline extension, it's important to make sure that your business isn't being taken advantage of. Approximately $2 billion in parcel shipping refunds and credits go unclaimed by U.S. businesses every year, and late parcel shipping not only affects your company's bottom line but also your brand reputation.

AFMS' parcel contract auditing and parcel contract optimization can help guarantee your business is getting the most out of its shipping contract. To learn more about how parcel shipping optimization and parcel shipping negotiation can benefit your business, contact AFMS today.

Comments are closed.

    Categories

    All
    DHL
    FedEx
    Negotiating Rates
    Rate Changes
    UPS
    USPS

    Archives

    November 2022
    October 2022
    September 2022
    February 2022
    January 2022
    November 2021
    October 2021
    September 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    October 2019
    August 2019
    July 2019
    October 2018
    August 2018
    July 2018
    June 2018
    December 2017
    August 2017
    May 2017
    February 2017
    December 2016
    October 2016
    June 2016
    September 2015
    May 2015
    December 2014

AFMS Corporate HQ
10260 SW Greenburg Road Ste. 1020
Portland, OR 97223

800.246.3521
​info@afms.com
www.afms.com
ABOUT AFMS
GLOBAL CLIENTS
AFMS CAREERS
ARTICLES



SERVICES

AIR FREIGHT
AUDITING AND REPORTING
LTL/FTL
OCEAN FREIGHT
PARCEL
PARCEL CONTRACT NEGOTIATION
PARCEL CONTRACT BENCHMARKING
PARCEL CONTRACT AUDITING

RAIL/INTERMODAL
RFI & RFP SUPPORT
CANADA
EUROPE/ASIA