What! You need to pay more on shipping during holiday season!
FedEx and UPS have recently announced 2017 peak season charge. This increase means that every residential package shipped during 2017 holiday season will incur price increases.
FedEx 2017 peak season charge:
You can find more details of the FedEx surcharges here.
UPS 2017 peak season charge:
You can find more details of the UPS surcharges here.
So, what exactly is a shipping surcharge?
Shipping Surcharges are additional/hidden delivery fees added on to the stated price of some shipment because of size, weight or special handling that is required to make sure packages delivered safely and on time.
Carriers such as UPS or FedEx generally have surcharges adjusted on a monthly basis. USPS, however, does not charge a penny on residential, fuel, or weekends delivery surcharges for its services.
It’s important to understand the surcharge rule as an online retailer, and be prepared when your coming bill is higher then the stated amount.
4 common ecommerce shipping surcharges online retailers need to know.
A fuel surcharge is an extra fee charged by carriers to cover the fluctuating cost of fuel. It is calculated as a percentage of base rate and is usually added to a shipper’s freight bill to cover the cost of operations. Both FedEx and UPS fuel surcharge is subject to weekly adjustment.
For FedEx fuel surcharge, please click here.
For UPS fuel surcharge, please click here.
2. Residential delivery charge.
Residential surcharge refers to an additional charge you need to pay for a shipment delivered to a home location, including a business operating out of a home. 40% off on UPS residential delivery charge when you ship with Circle.us
FedEx residential surcharge Ex.
UPS residential surcharge Ex.
3.Address Correction surcharge.
FedEx defines an address correction as such: “If the shipper provides an incomplete, incorrect or P.O. box recipient address, we may attempt to determine the correct address, complete delivery and notify the shipper of the address correction… We assess an additional charge for delivery or attempted delivery to the corrected address.”
So basically, the carrier will charge you a $13 fee if the address you enter does not match the address in the carrier’s system. This cost can be added up really fast if you are a high volume shipper.
The best way to avoid address correction fee is using shipping software that contains address verification function, such as Circle.us. Circle.us will correct the address you enter to match the carrier’s address. This build in technology can help you prevent getting charged of address correction fee.
4.Peak Season Delivery Charge.
Circle.us has listed 2017 holiday delivery charge at the beginning of this post. During Thanksgiving and Christmas, because of the increased package volume, carriers charge more to ship the same package would be in say, May.
Besides four common shipping surcharges listed above, you may have seen other surcharges, such as delivery reattempt, oversize charge, remote area surcharge and so on.
You are always welcome to contact Circle shipping consultants if you have any questions about any surcharges on your bill. Contact us.
Please do not hesitate to comment below to share your thoughts about shipping surcharges.