Express surcharges, which are not included in the 3.9% average, will be increasing by 7.6% (average) in 2014. Notable surcharge increases include the following:
- Declared Value: Increase of $0.05 (5.9%) to $0.90 per $100 in value with a minimum charge increase of $0.15 (5.9%) to $2.70
- Delivery Area Surcharge Commercial (including Extended): Increase of $0.10 (4.7%) from $2.15 to $2.25
- Delivery Area Surcharge Residential: Increase of $0.15 (4.6%) from $3.25 to $3.40
- Delivery Area Surcharge Residential Extended: Increase of $0.15 (4.3%) from $3.50 to $3.65
- Delivery Area Surcharge Multiweight (Commercial & Residential): Increase of $0.50 (4.7%) from $10.75 to $11.25
- Residential Delivery: Increase of $0.15 (4.7%) from $3.20 to $3.35
- Saturday Pickup & Delivery: Increasing $1.00 (6.7%) from $15.00 to $16.00
So, how does this affect you? The 3.9% Express increase is only an average…the impact to you WILL differ. The solution and strategy to minimize the effects of this increase will vary according to service level usage, zone density, package characteristics and distribution model. If you would like to discuss strategies to mitigate these rate increases, specific to your organization, please contact Source Consulting.
More to come in the near future as the carriers continue to release information related to the upcoming price increase.