Top 2020 Parcel Trends That You Should Know About | Lojistic [ ](https://www.lojistic.com)- Why Lojistic - [ All Inclusive. Zero Cost. Every Lojistic solution. No limits. No fees. ](https://www.lojistic.com/pricing) - [ All Modes. All Carriers. All Currencies. 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Zero Cost. Every Lojistic solution. No limits. No fees. ](https://www.lojistic.com/pricing) - [ All Modes. All Carriers. All Currencies. Parcel, LTL, truckload, ocean, rail, air freight. ](https://www.lojistic.com/carrier-connectors) - [ Industries Served Retail, eCommerce, 3PL, manufacturing, and more. ](https://www.lojistic.com/industries-served) - [ Roles Most Impacted & How Supply chain & logistics, procurement, finance leaders. ](https://www.lojistic.com/roles-most-impacted) - [ Use Cases How Lojistic helps manage and reduce shipping costs. ](https://www.lojistic.com/use-cases) - Platform Features - [ Global Analytics & Reporting Predictive analytics and scenario modeling for all carriers globally. ](https://www.lojistic.com/shipping-analytics-software) - [ Rate Optimization & RFPs Tech-powered data prep, strategy, and rate impact analyses. ](https://www.lojistic.com/rate-optimization-rfps) - [ Parcel and Freight Audit & Payment *+PAY* Carrier refunds and payments automated and made simple. ](https://www.lojistic.com/freight-audit-and-payment) - [ GL Coding & ERP Sync Automatically code shipping costs down to the order level ](https://www.lojistic.com/gl-coding-erp-sync) - [ Lojistic API & App Integrations Easily integrate normalized shipping data to your business systems. ](https://www.lojistic.com/api-app-integrations) - [Pricing](https://www.lojistic.com/pricing) - [About](https://www.lojistic.com/about) - [Company](https://www.lojistic.com/company) - [Culture](https://www.lojistic.com/culture) - [Careers](https://www.lojistic.com/careers) - [Partner Programs](https://www.lojistic.com/partner-programs) - [Security](https://www.lojistic.com/security) - [Media](https://www.lojistic.com/media) - [Ratings & Review](https://www.lojistic.com/reviews) - [Videos](https://www.lojistic.com/videos) - [Blog](https://www.lojistic.com/blog) - [Contact](https://www.lojistic.com/contact) [Create Free Account](https://app.lojistic.com/demo/connect-carrier?activeStep=create-account&trackDemo=false) [View Demo](https://app.lojistic.com/demo) [ Log In](https://app.lojistic.com/demo/account/login?trackDemo=false) Top 2020 Parcel Trends That You Should Know About ================================================= ![Icon denoting blog author information in Lojistic’s content layout](/images/pages/blog/icon-author.svg)Rich Harkey ![Calendar icon used to display blog post dates on Lojistic’s website](/images/pages/blog/icon-calendar.svg)December 23, 2019 Top 2020 parcel trends are creating smarter shippers and mitigating costs. Trend #1: Rates Will Continue to Rise ------------------------------------- At the end of every year, UPS and FedEx announce their general price increase for next year. On average, the increase is only around 4.9%. What you don't see in that increase is the surcharges. This year surcharges are going to have a large impact on parcel shippers. Especially those with larger parcel shipments. This year the threshold for the additional handling fee has changed from 70 pounds to 50 pounds. This is impacting a lot of shippers who are in that threshold range between 50 and 70 pounds. Now they have close to a $25 per occurrence fee. There are also surcharge changes with the [DAS fees](https://www.lojistic.com/blog/parcel-negotiation-2). These are changes and increases to the number of [zip codes](https://www.unitedstateszipcodes.org/) that get hit with a delivery area surcharge fee. Those fees go up every year. This trend is going to continue. But, we hope we can help our clients reduce that spending. This gets done by understanding the opportunities to avoid these fees. As well as mitigating the cost from the carrier. This pertains to your contractual pricing. Trend #2: Customer Expectations ------------------------------- It's called the "Amazon Effect". People want shipping that is: - Fast - Cheap - Free With more large shippers finding a way to deliver faster, this is a trend that is only going to continue. And these expectations have bled over into almost all e-commerce and industries. People want shipping fast. They want it for free. This trend makes it difficult for shippers to remain competitive. That trend will continue and the demand will be higher. And fighting against that pull is a struggle that is only going to get tougher as time goes on. Trend #3: Businesses & Shippers are Wiser About Their Carriers ------------------------------------------------------------------ Diversifying the carrier network that you work with is a key trend to [mitigate costs](https://www.lojistic.com/blog/shipping-costs-the-good-the-bad-and-the-best). We are expecting more people who use UPS or FedEx to use final mile delivery partners as well as USPS to find the cheapest method of shipping to their client. But, they still have to meet those strict delivery demands and deadlines that their clients expect. Having a diverse carrier network will allow you to meet those expectations. It will also mitigate the cost. Trend #4: The Use of Analytics ------------------------------ This helps companies become smarter in the way that they ship. It helps understand how to optimize your shipping and which carriers you can use. That trend is increasing. Year over year, we're seeing more of our clients who: - Are diving deep into the data - Aren't only using our service to find discrepancies in invoice billing Turning their data into actionable information so they can make smart decisions. And, if you have a multi-carrier network know how to optimize that and get the best use out of it. So, continuing to further use analytics, [be smarter shippers](https://www.lojistic.com/contact) and mitigate costs. ![Rich Harkey Headshot](https://www.lojistic.com/assets/public/users/rich.png) Author Rich Harkey Rich Harkey Senior Strategy Manager Rich Harkey is a results-driven professional with extensive experience in the logistics and supply chain industry. As the Senior Strategy Manager at Lojistic, Rich leverages over three decades of expertise to help businesses improve their shipping strategies and reduce costs. With a deep understanding of the requirements of shippers and the operational intricacies of carriers, he excels in everything from optimizing business rules and managing carrier invoices to negotiating carrier contracts. Rich's comprehensive knowledge of the logistics industry, combined with his strategic insights and passion for data analysis, has enabled thousands of companies to gain visibility into their shipping expenses, driving impactful results. [« Previous Post](/blog/optimizing-your-parcel-contracts) [Next Post »](/blog/ups-and-fedex-2020-rate-increases) **Lojistic Blog** [Recent Posts](https://www.lojistic.com/blog) | [Categories](https://www.lojistic.com/blog/categories) Why Lojistic ---------------- - [All-Inclusive. Zero Cost. ](https://www.lojistic.com/pricing) - [All Modes. All Carriers. 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