Yann Daigneault’s Post

Parcel carriers seek new revenue sources amidst declining demand by expanding returns services and targeting new e-commerce players. However, strategies such as imposing new surcharges and fees are less promising. With slow but steady economic growth and moderated inflation, major carriers like UPS and FedEx are restructuring and cutting costs. At the same time, regional and new market entrants provide flexible, lower-cost services. Despite these efforts, flat demand, excess capacity, and rate pressures continue challenging the industry in 2024.

Parcel carriers seek new revenue sources amidst declining demand by expanding returns services and targeting new e-commerce players. However, strategies such as imposing new surcharges and fees are less promising. With slow but steady economic growth and moderated inflation, major carriers like UPS and FedEx are restructuring and cutting costs. At the same time, regional and new market entrants provide flexible, lower-cost services. Despite these efforts, flat demand, excess capacity, and rate pressures continue challenging the industry in 2024.

Parcel carriers seek new revenue sources amidst declining demand by expanding returns services and targeting new e-commerce players. However, strategies such as imposing new surcharges and fees are less promising. With slow but steady economic growth and moderated inflation, major carriers like UPS and FedEx are restructuring and cutting costs. At the same time, regional and new market entrants provide flexible, lower-cost services. Despite these efforts, flat demand, excess capacity, and rate pressures continue challenging the industry in 2024.

Parcel carriers seek new revenue sources amidst declining demand by expanding returns services and targeting new e-commerce players. However, strategies such as imposing new surcharges and fees are less promising. With slow but steady economic growth and moderated inflation, major carriers like UPS and FedEx are restructuring and cutting costs. At the same time, regional and new market entrants provide flexible, lower-cost services. Despite these efforts, flat demand, excess capacity, and rate pressures continue challenging the industry in 2024.

Parcel carriers seek new revenue sources amidst declining demand by expanding returns services and targeting new e-commerce players. However, strategies such as imposing new surcharges and fees are less promising. With slow but steady economic growth and moderated inflation, major carriers like UPS and FedEx are restructuring and cutting costs. At the same time, regional and new market entrants provide flexible, lower-cost services. Despite these efforts, flat demand, excess capacity, and rate pressures continue challenging the industry in 2024.

In this article, Gary N. Frantz writes about the challenges facing major parcel carriers like UPS and FedEx. Retail giants like Amazon and Walmart are now delivering more of their own orders, removing packages from these established carriers. On top of that, shippers are looking for ways to cut costs and are increasingly unhappy with surcharges. Frantz also discusses new players in the delivery market who are carving out niches with lower-cost and flexible service models raising the question of how traditional carriers will adapt to this changing landscape.

Due to a lack of demand, parcel carriers are casting their nets wide for new sources of revenue. Some of their strategies include expanding returns services and going after new e-commerce players. However, what comes a long with this are new imposing surcharges and accessorial fees. If you're an e-commerce shipper, having a parcel partner with a robust returns infrastructure & an efficient final mile delivery model is key to your customer experience. But with rate pressures, flat demand, and excess capacity it will be imperative to make sure the "extra" charges from these parcel players stay at a minimum. Here is an extremely insightful article that further highlight these points.

Just published the most important of my 165 issues of Sent Items. Highly impactful breaking news in the world of e-commerce and logistics, such as The White House cracking down on de-minimis shipments; and the Postal Service changing the game on parcel consolidators (which many brands and 3PLs leverage). Check out this week's issue below and subscribe here: https://lnkd.in/eJKqXs2r

Shippers ICYMI ..... The U.S. Postal Service on Friday said it is seeking an average 25% price hike for high-volume shippers to enter packages for regional delivery through its Parcel Select service. The price hike, which would take effect on July 14 and must be approved by the Postal Regulatory Commission, is because USPS no longer intends give incentives for parties to aggregate mail volume from multiple shippers and bring such volume directly to the destination delivery unit. This change would have a direct impact on DHL eCommerce, OSM, Pitney, Surepost and UPS MI. Please let me know if you have any questions about how to mitigate the cost impact this will have on your company. #parcel #shippers #transportationinsight #gobeon

🗞️ Parcel carriers have improved delivery speeds by 27% year over year in November, with average delivery times of 3.7 days. Despite operational improvements, bottlenecks are still expected during the holiday season due to increased demand and fewer delivery days between Black Friday and Christmas. https://lnkd.in/gfPk8PwC #ParcelDeliveryImprovements #HolidayPeakSeason #SupplyChainLogistics