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The annual general price increase (GPI) for both FedEx and UPS can drastically affect your company’s bottom line. While a 4.9% increase (on average) doesn’t seem like much, the fact that FedEx and UPS ground rates have increased more than 79% over the past decade should be cause for concern. In fact, FedEx and UPS air shipping rates have increased almost 100% over the past decade… crazy!
Mitigating the UPS and FedEx rate increase is a necessary task for shipping managers, procurement directors, CFOs, and CEOs alike. Regardless of your position, reducing your company’s shipping costs needs to be considered at least once a year when (or before) the UPS and FedEx price increase is announced.
Our custom FedEx and UPS Rate Increase Calculator will help you estimate the damage of the most recent rate increase in both dollars and as a percent. You’ll need to enter some pertinent shipping information to get started, and our UPS and FedEx GPI calculator will take care of all the heavy lifting. If you’d like to dig a little bit deeper and find out how each of your service levels will be affected by the latest FedEx rate increase or UPS rate increase feel free to enter some more detailed info.
Your results will be as accurate as the data you enter, so be sure you’re using the most up-to-date information you have. As soon as you receive your results from our custom FedEx and UPS Rate Increase Calculator you’ll be able to see how much of an effect the GPI is going to have on your business.
So, now you’ve seen your results and you’re not happy with how hard the UPS rate increase or FedEx rate increase is going to affect your business. What’s next? Well, one of the best ways to mitigate the annual FedEx and UPS rate increase is to negotiate a better UPS or FedEx contract. Negotiating a new UPS or FedEx contract can be really tough – but we can help! You can also employ a parcel audit to help offset some of the costs associated with the FedEx and UPS rate increase. Regardless of what method you choose to save, the annual FedEx and UPS rate increases are not to be ignored.
