Small Parcels in 2026

Cost-Effective and Swift Delivery of Small Parcels in 2026

by BlogSpend Management

According to reports, the Express and Small Parcel Market is expected to grow to USD 459.8 billion in 2026. Moreover, based on marketing research, the Parcel delivery market is expected to rise by USD 400 billion in 2026. The demand for small parcel deliveries is increasing with growing e-commerce sales. Online shoppers expect faster and cheaper parcel deliveries. Thus, last-mile deliveries are vital for enhancing customer satisfaction.

Businesses are leveraging advanced shipping technologies to meet rising costs. Many companies are adopting planning strategies to manage small parcel shipping. In this article, we will discuss the intricacies of small parcel shipping in 2026. Further, we will explore shipping cost optimization and faster small parcel deliveries.

Small parcel shipping

Small parcels are packages that weigh less than 150 pounds. Lightweight and small-sized items deliveries constitute small parcel shipping. Residences and small or medium-sized retailers generally ship small parcels. Many factors determine the price structure of small parcels. These factors include parcel size, weight, dimensions, and service levels.

Shipping speeds and customer demands are crucial for small parcel shipping. Regular shipping alerts are sent to customers throughout the shipping process, keeping them involved and satisfied. However, businesses face challenges like inefficient routing, delayed deliveries, and high shipping costs. The imposition of hidden fees, such as residential delivery charges and weekend delivery charges, affects shipping costs.

Automated technologies are helping businesses tackle rising shipping expenses and streamlining operations. Artificial Intelligence (AI) enables predictive route planning for parcel deliveries. Companies can increase profitability with constant innovation in parcel shipping strategies.

What to expect in 2026

Sustainable shipping will be integral to small parcel shipping to reduce environmental impact. Lower fuel costs and optimizing schedules to avoid congested ports help save money. The use of electric vehicles for parcel shipping is an eco-friendly practice. Businesses that use recyclable package materials can save money.

Enhanced real-time tracking of small parcels and inventory management will reshape small parcel shipping. The use of drones and autonomous vehicles is streamlining shipping operations. Companies can use alternate carriers that are faster and less expensive, cutting shipping costs.

Companies investing more in robotics to sort packages will reduce reliance on manual labor. It will increase productivity, allowing focus to shift to service quality and collaborations. Warehouse automation is expected to be more common in the future and will be profitable for parcel companies.

Small parcel logistics

News reports suggest that companies like Amazon are expanding package deliveries to small towns in rural parts of the US in 2026. They also plan to speed up deliveries to a few hours with their massive network of warehouses across the US. Amazon has exemplified the importance of designing a robust logistics network over the years.

Warehouse locations, distribution centers, and various transportation modes are vital for reducing shipping costs. Advanced logistics tools enable companies to plan strategies for operating leaner fleets. Data Analytics helps logistics teams evenly distribute deliveries. AI-powered forecasting tools predict inventory levels to avoid understocking or overstocking.

Small parcel logistics use digital platforms to track shipments and connect with fleets easily. Intelligent automation tools process orders and coordinate with the supply chain contractors. With accurate data, suppliers can respond to demand more quickly and negotiate better deals. It provides greater visibility of shipping processes, warehouse capacity, fleet availability, and more.

Startups in the logistics industry are focusing on same-day parcel deliveries. Innovations in small parcel logistics are enhancing the delivery of small parcels. Further, proper packaging is essential for delivering small parcels securely.

Small parcel delivery

Automated systems are essential for parcel handling and transportation. Real-time tracking systems identify parcel delivery bottlenecks and resolve them swiftly. AI routing software helps drivers navigate traffic congestion and reduce delivery time. Electric vehicles and drones used in small parcel deliveries are sustainable delivery practices.

Shippers analyze historical parcel delivery data to optimize allocation of resources and plan delivery strategies. Third-party logistics providers (3PLs) and gig economy drivers are meeting the challenges of last-mile parcel deliveries. However, the future of drone parcel deliveries is decreasing expenses for shippers.

Clear and transparent communication about small parcel deliveries is enhancing customer satisfaction. It helps customers to be proactive with their deliveries and increases operational efficiencies. For instance, customers are aware of their parcel delivery time, thus avoiding missed deliveries. Shippers offer flexible delivery options, which improve customer expectations.

Adopting and integrating new technologies will help in faster and economical parcel deliveries. Companies can implement strategies that target various areas of small parcel shipping. Businesses can optimize their shipping operations by using advanced technologies.

Shipping optimization

Companies can minimize delays and costs by optimizing small parcel shipping processes. Optimizing parcel pickup time helps shippers stay competitive and meet customer demands. Stringent quality checks at every stage of the shipping process ensure shipping efficiency. Moreover, comparing carrier rates and consolidating shipments saves shipping expenses.

Shipping small parcels through regional shipping carriers can help lower costs. They offer competitive rates and lower overheads compared to premium carriers like UPS and FedEx. Businesses can negotiate shipping rates based on their shipping frequency and volumes. Shipping software helps shippers compare shipping rates of different shipping carriers.

Regular parcel auditing of shipments identifies shipping discrepancies and invoice errors. Shippers can request refunds for service failures of parcel carriers. Shipping data helps evaluate the performance of small parcel shipping operations. Periodic analysis of data encompassing delivery time and operational costs is integral for shipping optimization.

Partnering with 3PLs is an advantage for shippers as they have established strong relationships with carriers. Moreover, 3PLs have negotiated shipping rates with carriers, which helps shippers with lower rates and discounts. Regulatory compliance and customs clearance help shippers in international small parcel shipping.

Reduce shipping costs with Audintel shipping solutions

Compared to freight, shipping small parcels is easier for shippers and customers. They can monitor and track shipments in real-time. Audintel gives deep insights into reducing costs when shipping small parcels. It helps shippers understand the intricacies of shipping rates of different carriers.

We leverage technology that helps businesses manage small parcel shipping effortlessly. Our audit tools analyze shipping invoices periodically for discrepancies. We flag invoice errors and help shippers receive refunds from shipping carriers. Moreover, Audintel manages Carrier Pricing agreements and calculates shipping costs.  

Shipping optimization is possible through Audintel’s intuitive dashboards, giving consolidated shipping information. Our team members have worked with various shipping carriers to understand the complexities of carrier negotiations. Discounts and favorable contracts with carriers help companies reduce costs.

We provide in-depth analysis of shipping data for shippers. It helps them understand the impact of annual GRIs announced by shipping carriers. Audintel monitors the performance of shipping carriers and evaluates non-transportation expenses. Our cloud-based shipping solutions cut shipping costs and deliver faster.

Final thoughts

Businesses are seeking cost-effective methods to ship lightweight packages. Small parcel shipping is less expensive than freight shipping, but there is more pressure for swift deliveries. Shippers need accurate strategies to manage parcel shipping in a competitive environment. With increasing competition among regional and local businesses, reduced shipping costs boost productivity.

Businesses can control their shipping expenses with intelligent Parcel Spend solutions. Additionally, negotiating expertly with parcel carriers can reduce shipping costs. Audintel uses Analytics tools, which provide real-time visibility of the entire shipping process. Small parcel delivery processes are handled efficiently, thus providing customer satisfaction. Small parcel shipping is made easy with the help of Audintel’s intelligent shipping solutions. You can learn more about shipping optimization and cutting costs from our team at Audintel. Interested parties can visit  the Audintel website or contact us at +1 (619) 354 8539 for our small parcel auditing services.

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Receive refunds quickly with Small Parcel Audit Services

by BlogSpend Management

The US e-commerce parcel delivery market reportedly will grow to USD 160.07 billion by 2032. There is increasing demand for speedy delivery services from small parcel delivery companies. For example, the United States Postal Service (USPS) small parcel delivery is economical, especially for last-mile deliveries. However, it has recently faced international shipping disruptions in many countries due to conflicts, winter weather, and local delivery issues. 

So, what if the small parcels arrive late? What do you do if there are shipping invoice errors? Who do you turn to when faced with late deliveries of packages? We hope it is your small parcel audit service provider. If not, you face the uphill task of asking for refunds from small parcel delivery companies.

This article deals with the small parcel audit services and audit points provided by Audintel. Further, we also mention how the small parcel audits recover refunds for clients.

Small parcel audit services

Small parcel auditing services help businesses overcome manual, time-consuming refund claims. The monitoring and tracking of a parcel shipment by each shipper is possible with automatic parcel auditing software. Shippers receive refunds from small parcel delivery companies for inaccurate fees, late deliveries, etc. In addition, small parcel audit services help recover money for their clients by identifying shipping mistakes.

Small parcel auditors provide options for switching small parcel carriers to shippers. Businesses can benefit by choosing a fast, cost-effective small parcel delivery company. Shippers can choose small parcel carriers that are affordable and don’t have hidden charges. The small parcel delivery companies include major players like UPS, FedEx, and USPS. DHL Express, Sendle, OnTrac, etc., are the other small parcel delivery companies.

Small parcel audits review billing inaccuracies, overcharges, and service failures by small parcel carriers. Further, they help to keep shipping costs under control and optimize shipping spend.

Types of Small Parcel Audits

The types of small parcel audits include manual audits, parcel audit software, and parcel audit services.

Manual audits are time-consuming and laborious, requiring employees to examine each invoice by hand.

Parcel audit software automates the manual auditing process. However,  training and optimum use of the software are essential to get positive results.

Parcel audit services are outsourcing of small parcel audits. It avoids the hassle of learning parcel audit software by companies. It provides shipping strategies and ways to obtain refunds from small parcel carriers.

Small Parcel Audit services: audit points identified by Audintel

In this section, we explore the different audit points that impact businesses. In addition, these audits help in getting refunds from small parcel carriers. Audintel identifies various audit points that need periodic checks. These audit points are categorized further into three types of audits.

1. Service Audits

These audits are for deficiencies in services provided by the shipping carriers. The below audit points target the service deficiencies of small parcel carriers:

  • Late Delivery Ground
  • Late Delivery Air
  • Late Delivery International

Shippers receive refunds for late deliveries by small parcel carriers by ground or air. It can be for domestic or international shipments. Small parcel auditing services inform shippers about the delays in package deliveries.

  • Voids

Small parcel carriers generate labels for all packages. Sometimes, these packages may not be shipped. However, the shippers eventually pay for the non-deliveries. Audintel tracks such non-delivery shipments for refunds.

  • Duplicate Invoices

Small parcel delivery companies generate invoices twice for the same shipment. Audintel identifies the duplicate invoices and requests refunds from them.

  • Duplicate Tracking Number

Parcel carriers give duplicate tracking numbers by mistake. Audintel monitors duplicate tracking numbers.

  • Lost Claims

Audintel makes claims for refunds to the small parcel carriers for lost packages.

  • Damage Claims

Packages damaged during transit are subject to claims. On behalf of the client, Audintel claims declared value or insurance for the damaged packages.

  • Saturday Pick-Up and Delivery Validation

Small parcel carriers pick up packages on Saturday. They charge extra for Saturday pick-ups and deliveries. Audintel validates such shipments. If there are mistakes made, we claim refunds for clients.

2. Invoice Audits

Invoice errors are a part of small parcel audit services. Here are some audit points that monitor inaccurate invoices:

  • Incorrect Rate

Small parcel carriers publish shipping rates every year. During carrier contract negotiations, both parties decide the charges for each package shipped. However, the small parcel carriers may bill excess to the negotiated rate. It leads to billing with inaccurate rates. Audintel audits the shipping rates levied by the shipping carriers and requests refunds where necessary.

  • Incorrect Discount

During contract negotiations, shippers and small parcel shipping carriers decide on discounts based on the shipping needs. Audintel identifies errors in providing the correct discounts by small parcel carriers, leading to refunds.

  • Incorrect Accessorial

Audintel requests refunds for shippers if accessorial fees, like fuel surcharges, are incorrect.

  • Commercial/Residential Adjustments

Small parcel carriers may charge small parcel delivery to commercial establishments at residential location prices. So, small parcel audit services by Audintel recognize the mistakes made by shipping carriers and request refunds.

  • Address Corrections Air or Ground

Packages requiring air or ground shipping do not necessarily need address corrections. However, Audintel requests refunds when shippers face wrong charges for address corrections.

  • Delivery Area Surcharge (DAS)

Shipping carriers charge businesses a surcharge if the delivery area of the small parcel is in a remote location. Audintel requests refunds when the DAS is inaccurate.

  • Hundredweight Shipments

Small parcel carriers provide discounts for multiple shipments going to one location. Audintel advises opting for alternative suggestions by small parcel carriers to save money.

  • DAS Extended

Small parcel carriers may charge extra for shipments with delivery areas beyond the remote locations. Audintel verifies whether the small parcel shipment is in the delivery area beyond the distant location. It requests refunds for discrepancies.

  • DAS Rural

This surcharge is for rural areas. Small parcel auditors verify the surcharge for accuracy.

  • Contract Negotiations

During carrier contract negotiations with the small parcel carriers, there are discussions on shipping rates and other surcharges. Audintel has an expert team to help shippers in carrier contract negotiations.

  • International Import and Export

Small parcel delivery internationally attracts duties and taxes. Audintel audits the shipments to ensure shippers do not pay extra taxes.

  • Incorrectly Billed Collect Shipments

Audintel checks if the shipments paid by third parties are correct.

  • Weight Accuracy

Small parcel audit services help shippers pay the exact amount for parcel weights. For example, a package that weighs 10 pounds may be charged incorrectly as a 15-pound package.

  • Additional Handling Charges

The Audintel team audits the shipments to verify if the shippers pay extra for handling packages.

  • Fuel Surcharge

Audintel verifies the validity of the fuel surcharge.

  • Hazmat Materials

Packages with hazardous materials have higher prices. Audintel audits the shipping invoices for the correct calculation of the shipment.

3. Compliance Audits

Audits conducted by third parties are compliance audits. It is to check if the shippers and small parcel carriers are following the negotiated terms of the contract agreement. The following audit points are integral to the compliance audits:

  • Contract Rate and Tier Audits

Audintel helps shippers with their contract agreements with small parcel carriers to get the best deal. We have expert negotiators who have in-depth knowledge of carrier contracts.

  • Contract Negotiations

Our negotiating team ensures that the shippers’ contract agreements with parcel carriers are correct and there are no discrepancies.

  • Invalid Account Number Usage

Small parcel auditors identify packages having invalid account numbers.

  • Incorrect billed 3rd Party Shipments using the client account number.

Audintel identifies incorrect third-party account numbers that do not exist. It notifies shipping carriers of incorrect billing of third-party shipments.

  • Special Contract Consideration

Audintel notifies shippers of any mistakes made in the contract negotiations.

Small parcel audit services by Audintel: refunds and savings.

Audintel requests refunds from small parcel carriers for mistakes made by them. We ensure our clients receive money in the accounts from  FedEx, UPS, and other small parcel carriers. As a small parcel auditor, Audintel ensures that its services do not end with just providing software solutions. We also ensure refunds for our customers. We help our clients save money by negotiating discounts with shipping carriers.

Final Remarks

Small parcel audit services help businesses request refunds for mistakes of small parcel carriers. Several eligible refunds are unclaimed by shippers. With the help of small parcel audit services, companies can claim refunds and save money. Audintel experts help shippers cut shipping costs with data insights. We help shippers choose the small parcel delivery company that serves their business needs.  Reach out to us for a demo and benefit from our state-of-the-art services. Contact us at +1 (619) 354 8539 or visit our Audintel website to know more about us.

How to lower shipping costs

How to reduce shipping costs credibly with a rise in revenue?

by BlogSpend Management

Shipping carriers have diverted trade from the Red Sea in the past few weeks. Ocean freight is taking longer routes around Africa to avoid the threat of violence in the Middle East area. Shipping parcels and freight to different places is becoming expensive. And so, shipping costs are rising for many businesses globally.

Furthermore, the shipping rates imposed by different parcel carriers like UPS and FedEx will increase in 2024. Companies have the challenge of reducing shipping costs efficiently. In addition, it is necessary to build back some profit margins for e-commerce businesses.

Calculating and understanding shipping costs is confusing for many shippers. So, we have compiled ways to reduce shipping costs in this blog. Our earlier blogs on shipping costs are also helpful. Check our blogs on shipping costs related to shipping reports, data analytics, and more.

Initially, let’s start with the concept of Shipping costs.

Shipping costs

These are the expenses involved in sending packages from warehouses to customers. Packaging, transportation expenses, labor, carrier fees, etc., form part of the shipping costs. In addition, fuel charges, taxes, shipping services, and distance contribute to shipping costs. Moreover, businesses have to find the shipping carrier that suits their needs. The cost of shipping can lead to customers abandoning their carts.

Businesses can cut down shipping costs by adopting cost-effective strategies.  Further, shippers can improve their profit margins by following reliable ways to reduce shipping expenses.

Efficient and reliable ways to reduce shipping costs

Many factors cause a rise in shipping costs. Understanding them is essential in lowering shipping expenses. Below are a few ways to reduce shipping costs and boost profits.

  • Make packaging lighter and smaller.

Packaging is an integral factor in reducing shipping costs. Shippers can optimize packaging using efficient, lightweight packing materials like corrugated cardboard, EPS foam, PET plastic, etc. Lightweight packaging helps reduce storage costs and the weight of the shipments. In addition, recyclable materials and customized packaging can save money for businesses.

By using small boxes and mailers, shippers can reduce transportation costs. Small packages occupy less space, allowing companies to ship more packages quickly. For instance, using poly bags or mailers for shipping clothes is feasible. Sustainable and durable packaging can improve businesses’ operational efficiency. Low package weights can minimize shipping costs considerably.

  • Keep DIM Weights in check.

Dimensions of parcels can make a difference in shipping expenses. Dimensional (or DIM) weights can determine the shipping costs. DIM weights are calculated based on the space occupied by a package rather than its actual weight. For instance, an irregular box containing balloons will cost more than a compact box of books. Space-consuming packages cost more.

Shippers can keep DIM weights in check by opting for small and compact packaging materials. In addition packaging efficiently and using sustainable options helps the environment. Some companies can also partner with third-party Logistics (3PL) for managing DIM weights.

  • Utilize packaging provided by shipping carriers.

Another way of reducing shipping costs involves the use of packaging provided by shipping carriers. Companies that use their packaging might face additional charges. For instance, shippers pay more if the box size exceeds the shipping carriers’ regulations.

Parcel carriers like UPS and FedEx have their branded logo on their boxes. The advantage of using carrier packaging is shippers don’t need to calculate their DIM weights. Moreover, shipping carriers give special rates or services for using their packaging.

Shippers can look for discounted supplies to decrease shipping costs. Shipping carriers like UPS offer discounts or free supplies to small businesses. Packaging materials like bubble wraps, poly mailers, etc, can be purchased in bulk. Many companies offer discounts for buying supplies in bulk. Discounted supplies will help small business owners to boost their profits.

  • Consolidate orders wherever possible

Businesses can consolidate orders in a single shipment if many items go to the same address. Shippers save money if they don’t have to pay for multiple packages. Consolidating orders improves the customer experience and reduces the need for returns. It helps in reducing shipping costs and minimizes package waste.

  • Opt for PrePaid Shipping

Shippers can purchase numerous prepaid shipping labels from shipping carriers. Prepaid shipping labels contain the required information with a barcode. It helps businesses ship packages at no additional cost. It is ideal for packages with the same weight to be shipped out often. Businesses get discounts from shipping carriers like UPS and FedEx for using their printing services. It is a way of reducing shipping costs for shippers and boosting profits.

  • Reduce shipping distances

Shipping fees increase with further distances. Shipping carriers impose a fuel surcharge if the package has to go a longer distance. In addition, parcel carriers charge more for handling the packages. Shipping packages internationally attract custom fees. Shippers need to reduce the shipping distance of their packages to save money.

Businesses can choose warehouse locations closer to customers so that the shipping charges decrease. Further, shippers can partner with fulfillment centers in each shipping zone to reduce shipping distance. These steps will help reduce shipping costs and boost profits.

  • Negotiate with several shipping carriers.

Companies need not stick with a single shipping carrier for their shipping needs. Several shipping carriers offer different prices for various services. Higher shipping volumes attract lower shipping fees. Hybrid services by UPS and FedEx use local post offices for last-mile delivery. It reduces shipping expenses for shippers. Further, smaller regional carriers offer discounts or value-added services for some locations.

Shippers can negotiate with the shipping carriers to lower shipping rates. Shipping companies offer discounts to businesses even with low shipping volumes. Competitive shipping rates provided by shipping carriers help shippers. Building relationships with the shipping carriers helps shippers reduce fees. And so businesses can reduce shipping costs and increase their profit margin.

  • Use third-party insurance

During shipping, there are chances of untoward events affecting the cargo. Businesses need to insure their products to prevent any damage or loss. For example, valuable goods like precious stones and musical instruments require insurance. Shipping carriers offer their insurance as part of the service or as a stand-alone charge.

Shipping insurance of shipping carriers can often cause a dent in a business’s profit margins. Third-party insurance companies offer cheaper rates than these shipping carriers. So, shippers can use third-party insurance to save on shipping costs.

  • Minimum purchase amount for free shipping

Shippers should set a minimum purchase amount when offering customers free shipping. Businesses can set the rate for those orders that are profitable to them and are highly purchased by customers. Payment will be for orders which don’t meet the free shipping threshold. The concept of free shipping encourages customers to buy more and avail of free shipping. Shippers can reduce shipping costs and increase their profits by this method.

As discussed above, there are many methods to reduce shipping costs.

Here are some tips for small businesses to reduce shipping costs

  • Automate shipping processes

By implementing advanced technology, small business owners can reduce shipping costs. Software solutions can automate shipping processes, give real-time tracking data, and speed up order processing. Further, data analytics helps avoid excess inventory expenses and forecasts shipping volumes. Audintel has state-of-the-art technology to help small business owners streamline their processes.

  • Customer-friendly approach

Regular assessment of data helps shippers offer shipping incentives to customers. Providing customers with real-time tracking information reduces inquiries. Further, any shipment delay notification to customers brings in a level of transparency. Small business owners can also offer loyalty programs that reward repeat customers. It can increase profit margins for shippers.

  • Partner with 3PL

A 3PL partner can lower shipping costs for small business owners. They can negotiate lower shipping rates with shipping carriers due to their shipping volumes. Further, small business owners can separate their inventory across different warehouses across the US. It helps to reduce labor costs and shipping errors.

The bottom line

Whether you are a small or large business owner, reducing shipping costs is vital. The methods described above help businesses save money and garner profits. Audintel aids its clients in managing their shipping costs and increasing their profits. Our team of experts can optimize your shipping operations seamlessly.

If you need help understanding shipping costs, contact us at +1 (619) 354 8539. Further, you can visit our Audintel website.

UPS Shipping Invoice Audit

UPS shipping invoice audit: why use a third-party auditor?

by BlogSpend Management

Companies shipping large volumes of parcels during the holiday season don’t have time for parcel audits. In addition, it is hard to oversee mistakes and overcharges made by shipping carriers like UPS and FedEx. So, many companies are moving towards automated audit solutions to save time and resources. This article will discuss the need for auditing UPS shipping invoices. Also, we will highlight the benefits of using a third-party auditor.

But first, we need to understand-

UPS audit-what is it?

UPS offers businesses various incentives for shipping parcels through their company. Shippers also enter into contracts with UPS for their different shipping services. However, checking each UPS shipping invoice for incorrect surcharges and late deliveries is tedious. A UPS audit thoroughly examines each UPS shipping invoice for potential errors. It helps shippers claim refunds from UPS and understand their shipping spend.

UPS shipping invoices

The contents of UPS shipping invoices require information like

  • Shippers’ name and contact address, contact number
  • Shipment details like a tracking number, shipment ID, date of shipping, invoice number, purchase order, etc.
  • Recipient’s name and contact address, contact number
  • Quantity of goods
  • Description of goods
  • Value of goods
  • Declaration statement

Further, shippers provide information about the discount, insurance, total weight, and the total number of packages. For further details, check UPS site. UPS will charge the shipper more if inaccurate and incomplete shipment information is on the shipping document. UPS has the right to audit any package to check its weight and dimensions. If there are any discrepancies, UPS will charge more to the shippers.

Need for audits of UPS shipping invoices

Parcel and freight auditing gives shippers better insights into their shipping needs. Companies can renegotiate better shipping rates with UPS based on the shipping data. An audit of UPS shipping invoices will unravel duplicate charges and other overlooked errors. UPS audits are to be quick and accurate as the window for recovering UPS refunds is time-bound. Companies can recover refunds for UPS late deliveries within fifteen days from the date of shipment. Audits retrieve money owed to companies from shipping carriers like UPS.

Benefits of parcel auditing

The growth of small parcel shipping has caused a rise in small parcel costs. With the demand for faster parcel deliveries, shippers deal with monitoring surcharges and shipping rates. As part of cost-saving strategies, companies are cutting down on excess packaging of goods. In addition, they are investing in parcel auditing services for a detailed understanding of their shipping spend.

How a third-party auditor helps companies reduce their transportation spend?

Parcel audit services by third-party auditors conduct audits on UPS shipping invoices. Their proprietary parcel audit software runs a complete audit checklist on UPS shipping invoices. The refund process is automated, and the refund amount gets credited to the shippers’ accounts directly. The auditor accesses all the shipping data and provides in-depth reports to the shippers on their shipping expenses. Some of the audit checklists of UPS shipping invoices include

  • Late deliveries
  • Lost packages
  • Duplicate Billing
  • Address correction charges
  • Residential charges
  • Incorrect Dimensional weight charges
  • Missed discounts as specified in service contracts and many more

Third-party auditors provide customized reports to companies regarding their UPS shipping invoices. It allows shippers to renegotiate with UPS regarding certain services and reduce their transportation spend.

Parcel invoice audit software

Many parcel auditors have specialized AI-driven UPS invoice audit software. The AI platform automatically audits UPS invoices every week and uncovers any hidden errors instantly. Further, the data analytics reveals UPS late delivery refunds uncompensated and other billing errors. The real-time shipping data helps shippers improve their delivery efficiency and recover lost profits. In addition, effective parcel audit software guides shippers in addressing last-mile delivery issues and optimizes shipping methods.

Partner with us for the Audintel advantage

It is difficult understanding the complexities of UPS shipping rates, surcharges, and refund processes. Audintel has experts who have worked with shipping carriers like UPS and FedEx and have a thorough knowledge of these charges. We have an AI-powered platform that automatically checks UPS shipping invoices. Line-auditing of every invoice ensures that shippers recover their shipping costs. In addition, we have a team that pursues the billing mistakes with UPS so that clients do not lose even a single dollar due to unfair billing. Our customized shipping reports provide insights into shipping data. It also provides visibility of any hidden surcharges levied by UPS after the delivery of packages. By partnering with Audintel, shippers can cut shipping costs by making smarter shipping decisions.

Final thoughts

Parcel auditing is a time-consuming process. Companies do not have the time or the resources to manually audit shipping invoices. So, auditing UPS shipping invoices for individual packages is a big task, especially for a company shipping large volumes of parcels. Outsourcing parcel auditing to experts like Audintel helps companies claim refunds for UPS late deliveries. In addition, parcel audits provide greater visibility to shippers to reduce their shipping expenses. For more information about Audintel and our services, contact us at +1 (619) 354 8539 or visit our Audintel website.

Shipping Refunds

Efficient parcel auditing services save more with refunds

by BlogSpend Management

Shipping services will be at their peak in the upcoming holiday season. Businesses need to track whether their packages reach on time to their customers. Due to the heavy rush, there will be a delay in shipments.

Many shippers are unaware of recovering refunds from carriers for late deliveries. With the help of parcel audit services, shippers realize the errors made by carriers during shipment. This blog explores parcel audit services recovering refunds from shipping carriers. In addition, learn more about billing overcharges.

Parcel audit services and shipping refunds

Parcel audit services check and verify invoices from different shipping carriers worldwide. They conduct a comprehensive audit to ensure an accurate assessment of each shipment. Shippers face service failures from their chosen parcel carriers. For example, shipping carriers give duplicate invoices to shippers for a single package. Sometimes errors are made by shippers that directly impact shipments. For instance, the wrong address shipping label on the parcel is the cause for a delay in shipments. Mistakes made by carriers or shippers harm customer service. Parcel auditing is essential for shippers to recover refunds to avoid negative customer feedback.

Shipping refunds

An audit team addresses service failures of shipping carriers. Refund requests are sent to the shipping carriers immediately for quick resolution. Further, companies shipping large volumes of shipments have contracts with shipping carriers. The contracts entitle shippers to money-back guarantees from parcel carriers for late deliveries and other service charges. However, requesting refunds from shipping carriers is a complicated process. Each shipment has to be checked and verified to claim a refund from the parcel carrier. Most companies end up paying carriers for promised services that are unfulfilled. Outsourcing parcel audit services help companies receive refunds for late deliveries, overcharges, etc.

What are the kinds of refunds identified by Parcel auditing?

Parcel audits recover shipping refunds for companies and improve their operational efficiencies. Parcel auditing identifies refunds caused due to

  • Duplicate invoicing- More than one invoice with different parameters like invoice date and amount for the same parcel.
  • Billing overcharges- Unforeseen charges are added to the invoice when there is a delay in shipment due to an incorrect shipping label on parcels.
  • Late deliveries- Packages delivered late due to carriers’ network disruptions or other reasons are eligible for a refund.
  • Lost and damaged deliveries- Packages lost or damaged during transit are eligible for a refund.
  • Invalid surcharges- Parcel carriers charge shippers additional fees for the wrong dimensional weight of packages, errors in addresses, incorrect delivery areas, and improper fuel surcharges.

Companies find it an uphill task to dispute the additional fees levied by carriers. Manual auditing is time-consuming and requires resources. Reliable parcel audit services can help companies in challenging charges and getting refunds. In addition, it can help companies simplify the refund process.

Refund process

Shippers are eligible for refunds for service failures and incorrect invoicing by shipping carriers. The refund process for a shipment begins with a request to the concerned shipping carrier. Further, filing a refund claim must be within fifteen days of the quoted delivery date on the invoice. Shipping carriers like FedEx and UPS have dedicated channels for claiming refunds. In addition, UPS and FedEx promise on-time delivery of packages in their contracts with shippers. So,  shippers are eligible for a refund for late deliveries from UPS and FedEx (discussed in detail in our earlier blogs). Getting a refund for late deliveries is time-consuming, but outsourcing parcel audit services makes life simpler for companies.

Role of parcel audit services

Efficient parcel auditing services take care of identifying service failures and incorrect surcharges. Further, automated parcel auditing services recover refunds for carrier inefficiencies. Finally, refunds are directly transferred into the companies’ accounts effortlessly. In addition, audit companies aid companies in parcel contract negotiations, so they do not miss the money-back guarantees for late deliveries from shipping carriers. Parcel auditors maximize revenue for companies with their shipment tracking tools and state-of-the-art software.

Audintel’s parcel auditing services to recover your refunds

Receiving refunds from UPS, FedEx, and DHL is easier said than done. A team of parcel auditors at Audintel recover refunds for late deliveries, incorrect invoices, invalid surcharges, and more. Our intuitive software easily tracks shipments and identifies service failures instantly. Audintel Technology Development and Customer Service Call Center effectively request refunds from shipping carriers for service failures. We don’t just rely on automated software, but our dedicated and experienced team at the Call Center follow-up with the shipping carriers for quick refunds. Our clients can expect the most reliable parcel audit services from Audintel. Choose Audintel for recovering refunds instantly without hassles.

Summary

In the current economic situation companies need to spend less and save more. So, recovering refunds with the help of efficient parcel audit services is the best way forward. Companies need parcel audit services that understand their shipping costs and save undue expenses. Audintel fits the bill for businesses looking to increase their operational efficiencies. Receive refunds directly into your accounts with Audintel’s services. Contact us for more details about our services at +1 (619) 354 8539 or visit our Audintel website.

UPS Peak Surcharges

Know all about the latest updates on UPS Peak Surcharges

by BlogSpend Management

E-commerce orders increase in the holiday season due to high demand from customers. Ideally, the peak season for shipping is the holiday season beginning in early November each year. However, UPS has decided to continue its Peak or Demand Surcharges on packages “till further notice” in 2022. The increase in surcharges may be due to rising inflation and gas prices.

However, UPS has not cited a particular reason for the rise but mentioned increased demand for shipping services on its website. This article explores the UPS Peak or Demand surcharges with new changes in 2022. In addition, we will discuss how UPS surcharges affect businesses.

What is UPS Peak Surcharge?

The holiday season in the United States typically starts in early November and ends in January. Many customers do their holiday shopping late, resulting in high demand for shipping packages at the last minute. Shipping carriers consider the holiday season as the peak season. They charge extra fees along with the base cost of shipping. UPS names these surcharges as UPS Peak or Demand surcharges. So, UPS charges more for the additional handling of packages and oversize packages. Further, UPS levies a delivery surcharge for international or remote area shipments.

UPS Peak Surcharges-what’s new in 2022

Since 2020, UPS has had peak or demand surcharge fees throughout the year rather than just during the traditional holiday season. But, from May 2022, the peak surcharges have risen sharply for shipments from and to the United States. The calculation of the shipping rates is per pound based on the billable weight of the shipment. The surcharges are subject to dynamic changes. As of September 9, 2022, update on the UPS website, we have observed the following surcharge fluctuation. These surcharges are:

  • Set at $3.50 per package for additional handling and $40 per package for Large parcels. This fees will apply till October 1, 2022. Further, expenses are increasing to $6.50 per package for additional handling, $70 per package for Large parcels, and $400 per package for Over Maximum Limit packages after October 2, 2022, until January 14, 2023.
  • Set at thirty cents per package for domestic UPS Ground Residential and UPS SurePost packages (valid till October 29, 2022). In addition, these peak surcharges is applicable to shippers who have shipped more than 25,000 packages in any week after February 2020. The fees are regardless of the shippers’ shipment volumes for any services.

From October 30, 2022, to January 14, 2023, businesses can expect a significant UPS peak surcharge in the following services: UPS Sure Post, UPS Ground Residential, UPS Next Day Air Residential, and other UPS Air Residential. The fees are applied weekly to each package. It applies to packages exceeding 105% of a shipper’s average weekly volume (“Baseline” volume) within each service level. (Click here for more details).

UPS Peak Surcharges (applicable from January 16, 2022, till further notice) for UPS Standard shipments from Canada to the U.S. is $0.30 per package and UPS Trade Direct® shipments from the U.S. to Canada are $0.42 Canadian Dollars (CAD) per package.

UPS Peak or Demand Surcharges for various Worldwide services

UPS has levied UPS Peak or Demand surcharges for other services too. These services are for international shipments to and from the United States with different delivery times. There is an increase in fees from May 22, 2022, by UPS with no definite end date. The international services include:

UPS Worldwide Express and UPS Worldwide Express Plus: These services involve delivering packages to destinations worldwide in 2-5 days. Shippers get guaranteed on-time delivery of their packages with in-house customs clearance.

UPS Worldwide Saver: This service uses air transport and guarantees delivery by the end of a business day. Shippers choose UPS Worldwide Saver for fast deliveries and last-minute delivery of goods.

UPS Worldwide Expedited: Small and lightweight parcels are delivered internationally within 2-5 business days. It is a guaranteed service by UPS that sends packages to destinations worldwide at a lower shipping rate.

UPS Worldwide Express Freight: This service provides guaranteed, faster, palletized shipments in more shipping lanes. It is in use when shippers want to send products in an emergency. It takes 1-2 business days for package delivery. In 2022, UPS peak surcharges are increased two-fold for shipments using this service based on the weight of the shipment.

UPS SurePost: It is an economical service of UPS, wherein the last-mile delivery is by the U.S. Postal service (USPS). Shippers use this service for non-urgent, business-to-customer needs of low value. It is ideal for packages less than 10 lbs.

Note: please see the details on the UPS official U.S. website for the precise calculation of UPS peak surcharges.

Suggestions to minimise UPS Peak Surcharges

Shippers can follow some parameters like keeping the weight of packages less than 70 lbs to cut down on shipping expenses. In addition, companies can maintain the dimensions of parcels to acceptable levels. Further, using the United States Postal Service (USPS) helps to reduce peak prices and get assurance of pick of packages. On the other hand, shippers can minimize UPS Peak Surcharges with cost-saving advice from partners such as Audintel. We help shippers get discounted shipping rates and negotiate surcharges with shipping carriers. Our team analyses shippers’ data and provides insights into saving money for businesses. UPS Peak or Demand surcharges are dealt with by the team of Audintel effectively.

Final thoughts

Rising shipping costs due to surcharges levied by shipping carriers are changing the way you ship today. Keeping track of Peak surcharges, shipping rates of shipping carriers and on-time delivery of packages seems overwhelming for shippers. Audintel helps companies understand the complexity of the shipping carriers’  fees and surcharges. We simplify the shipping process for your company. If you have questions regarding our services, contact us on +1 (619) 354 8539 or visit our Audintel website.

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Shipping trends of 2022 that redefine the way we ship

by BlogSpend Management

The supply chain industry has faced many challenges in 2020 and 2021. This year appears to be difficult for small and mid-sized businesses. In addition to the pandemic resurgence in some countries, the Ukraine conflict has posed many challenges.

Shipping costs have risen as FedEx has hiked its peak surcharges for international parcel and freight shipments. Many areas of the shipping industry have also seen disruptions. This article will explore the shipping trends of 2022, focusing on small packages.

Shipping trends of 2022

Online buying has put tremendous pressure on the supply chain industry. E-commerce customers are expecting faster delivery and returns of items. Small and mid-sized businesses are looking for opportunities to mitigate late parcel deliveries. With this in mind, here are ten shipping trends of 2022 that will change the way we ship parcels.

  • A rise in shipping costs

Parcel carriers have hiked annual general rate increases (GRI) and surcharges leading to a rise in the shipping costs. Unprecedented consumer demand for same-day delivery has led to increased shipping volumes. In addition, inflation is surging upward due to supply chain issues. Shippers need to evaluate the services they need to spend on to offset the rise in shipping costs. Further, businesses are advised not to change their parcel carriers or renegotiate their carrier contracts. It is because parcel carriers offer less attractive terms than their existing agreements.

  • Congestion at warehouses, port terminals

Due to the pandemic restrictions in countries, the waiting time to load and unload goods has risen. As a result, there is congestion at warehouses and port terminals, causing shipment delays. There is a backlog that is hampering shipping operations. Opening new fulfillment centers or physical stores in heavily populated areas brings products closer to the public. It allows shippers to provide quick parcel shipping to their customers.

  • Digitalization

The pandemic caused a shortage of professional workers such as logistic operators. Digitalization of shipping processes like warehouse operations is improving supply chain efficiency. Shippers can avoid several manual steps during order fulfillment by using shipping software solutions. Digital solutions are reducing shipping costs and enhancing shipping processes.

  • Personalized delivery experience

Customer experience is essential for recurring shipping business engagement. It is necessary to provide a personalized delivery experience with reliable, on-time delivery of packages. Clear and transparent communication regarding delivery and tracking of parcels helps customers. Further, adopting new technology to limit package theft and enhance the delivery process are other factors to increase customer satisfaction.

  • Sustainability

An increasing number of consumers are trying to reduce the carbon footprint of parcel deliveries. Re-cyclable biodegradable material is in use for packaging and shipping goods. Further, shippers use ground services to reduce overall transportation routes. Shipping businesses keep sustainability in mind by using eco-friendly boxes and mailers. Parcel carriers are using electric vehicles for shipping parcels to customers. Moreover, shipping carriers meet environmental, social, and governance (ESG) standards by using electric-powered delivery vehicles.

  • Optimization of supply chain management

The “just-in-time” supply chain has become unpopular during the pandemic time. Shippers have shifted to holding a large buffer stock for any surges in demand and a decrease in the supply of goods. Shippers are examing their logistics and inventory data to optimize supply chain management. Inventory and e-commerce data help shippers optimize their shipping processes while reducing shipping costs.

  • Last-mile innovation

Last-mile delivery of packages is an integral part of customer satisfaction for businesses. Shortage of drivers can cause a delay in last-mile deliveries of parcels. Innovation in the form of robotics, drone, and self-driven vehicles will prevent poor last-mile delivery experiences. Some shipping businesses are already using drones to drop off medicines. However, using a drone for parcel delivery is difficult for communities. They require special permission to receive such deliveries. Big Data, Artificial Intelligence, and Machine Learning have the potential to make logistic processes more simple.

  • Reverse logistics

A drawback to the increase in online shipping is the rise in returned packages. Shipping businesses have to pay for the returns processing fee with the increased shipping rates of parcel carriers. It eats into the profit margins of shipping companies. As a result, some big businesses offer refunds and keep the product in the customer’s hands. Alternatively, some shipping companies are mitigating returns costs with a multi-carrier strategy. Therefore, shippers use artificial intelligence to calculate whether it is economical to process a return.

  • Local pop-up e-commerce distribution centers

Shipping companies respond to local shipping demands by operating local pop-up distribution centers. Shipping parcels from long distances costs more. Lessening the delivery time by renting out warehouses allows customers to receive orders sooner. Expect gig economy carriers to rise in 2022. Shippers are planning to use the services of gig economy carriers to deliver packages within a few hours to customers.

Partnering with parcel shipping audit company

2022 will be a challenging year for shipping businesses. But, partnering with the right parcel shipping audit company can save money for businesses. In addition to negotiating the best shipping rates, Audintel helps businesses receive discounts for services from parcel carriers. Audintel helps shippers analyze their shipping data for inaccuracies, accessorial charges, refunds, etc.

Finally, the Shipping industry has to change with the times. What was popular two years back is not feasible now. Shippers have to make critical decisions and adapt to the ever-changing consumer demands. Data-driven innovation will have an impact on package deliveries in 2022. Partnering with Audintel will be beneficial for shipping businesses. You can reach us for further discussions or you can call us at +1 (619) 354 8539. Further, you can also learn about our services on Audintel website.

shipping zones

UPS, FedEx shipping zones: an easy guide on shipping zones

by BlogSpend Management

Saving on shipping expenses is essential for e-commerce businesses. But, it gets confusing figuring out the shipping rates of different parcel carriers? UPS and FedEx have different shipping rates based on various factors, including shipping zones. Hence, knowing about zones is equally vital for businesses. In this blog, we will discuss the shipping zones of UPS and FedEx and their significance.

So, what are shipping zones?

Shipping zones are the geographical areas for the delivery of packages. The zones consist of a set of zip codes. Shipping zones give the distance a parcel takes from its origin to its destination. The zones are not universal or fixed. The zones vary according to the type of service and the weight of packages. In addition, each parcel carrier has different shipping zones. There are eight domestic shipping zones for the 48 US mainland states. A ninth shipping zone is for the US territories beyond the mainland.

Significance of zones

Free and fast shipping are essential for today’s customers. For this reason, keeping a tab on shipping rates is necessary. Shipping zones help in determining the shipping rates of parcels. In addition to the weight of packages, the dimensions also affect the shipping rates. Further, the cost and time of delivery of packages are vital factors in calculating shipping prices. For example, a parcel to be delivered in the same Zone (Zone 2) will take less time, less fuel, and will cost less when compared to a higher zone (Zone 8). Higher shipping zones cost more for size-able packages.

FedEx shipping Zones

Every year FedEx publishes its service guide with updated shipping rates by zone and weight. Shippers need to enter the package’s destination zip code to calculate the shipping rate. The standard FedEx zones start from zone 1: 0-50 miles till zone 8: More than 1801 miles. FedEx zones are available for both domestic and international shipments. Also, FedEx Express services deliver parcels fast, which is beneficial for businesses promising quick delivery. Further, FedEx offers negotiated rates for shippers with high-volume packages.

UPS shipping Zones

Shippers can understand the UPS shipping zone by entering the destination zip code on the UPS website. In addition, shippers can download the zone chart table. It gives information about shipments starting with the first three digits of the recipient’s zip code. For instance, the destination zip code which starts from 004 is Zone 2 for UPS ground services, and Zone 302 for UPS 3 Day Select service. Further, shippers can calculate the shipping rates by learning about UPS shipping zones.

Advantages of understanding Shipping Zones

Shippers benefit by learning about zones. As a consequence, they can strategize by:

  • Lowering Shipping costs

Shippers can reduce the transit time of products by partnering with third-party logistics companies. When shippers’ products are spread over many fulfillment centers closer to customers, it will keep shippers from paying high prices. Alternatively, shippers can reduce shipping costs with a single fulfillment center in a location where there are many customers.

  • Offering free shipping services

Shipping businesses offer customers free shipping if the parcel delivery is in the same zone or the next one. If the parcel is of a specific weight, shippers can give free shipping to customers.

  • Zone Skipping strategy

Additionally, shippers use zone skipping strategy to move the parcels near customers or the destination. Businesses can store their products in selective warehouses in some zones. Then, they can deliver the shipments to customers as and when required. For instance, FedEx Ground Economy uses the United States Postal Service (USPS) for the final-mile delivery of parcels. It helps in reducing the shipping costs.

  • Ability to choose the best parcel carrier

Shippers can choose a reliable parcel carrier to deliver their parcels by understanding the different zones. UPS and FedEx have different shipping rates for different shipping zones. Based on the services adopted by customers, shipping businesses can choose which parcel carrier delivers the parcels quickly and efficiently.

Audintel advises its clients regarding UPS and FedEx shipping rates. We understand the complexities of UPS and FedEx shipping zones. When shipping packages, our experts help clients choose the type of service and provide tools like rate calculator to compare between carriers. Audintel helps clients in negotiating agreements with parcel carriers.

The bottom line

UPS and FedEx shipping zones vary from each other in terms of service, weight, dimensions of packages, etc. But, this knowledge is necessary for shippers when negotiating with parcel carriers. Shippers can negotiate for discounts and other incentives by understanding the intricacies of zones. And so, if you are a shipper looking to deliver goods at fast speed and low costs, read on about UPS and FedEx shipping zones. For further clarification, you can call us at +1 (619) 354 8539 or contact us by clicking here. In addition, you can visit the Audintel website.

UPS and FedEx shipments

Our top ten reasons for delays in UPS and FedEx shipments

by BlogSpend Management

Online shopping has both been a boon and a bane for retailers. There is a rising demand for on-time delivery of goods in a day. Shippers and parcel carriers are racing against time to meet customers’ expectations. But even so, UPS and FedEx shipments are delivered late.

Delayed shipments negatively impact customer experience, thus causing loss of revenue. Why are UPS and FedEx shipments delayed? In this blog, let us study the top ten reasons for shipping delays.

Top ten reasons for delays in UPS and FedEx shipments

There are many reasons for UPS and FedEx shipping delays. FedEx and UPS shipping locations play a vital role in delayed shipments. In addition, UPS and FedEx delivery times vary depending on the service chosen by shippers. So, selecting the correct parcel carrier is essential for order fulfillment. Listed below are the top ten reasons:

Weather-related delays

Bad weather conditions are one of the causes of shipment delays. Inclement weather, such as blizzards, tornadoes, rainstorms, etc., makes it difficult for FedEx and UPS drivers to make deliveries on time. These delays are not eligible for a money-back guarantee by UPS/FedEx. Shippers need to inform their customers in advance of weather-related delays to show commitment to customers.

Disasters

UPS and FedEx shipment delays are due to natural and human disasters. Recently, pandemics, wars, social and political unrest, famine, floods, fires caused many shipping delays. Restrictions on the movement of goods and people have adverse effects on transportation. Hence, the delay in UPS and FedEx shipments.

Wrong documents

Several documents accompany UPS and FedEx packages. A delivery exception occurs when a parcel’s label is wrong. A commercial invoice containing the items expected by the customer is to be a part of the package. Improper documents need to be rectified, thus delaying the shipments.

Illegal or Hazardous materials in a package

UPS and FedEx label some goods as prohibited and restricted items. These goods include:

  • Alcoholic beverages
  • Ammunition
  • Firearms and weapons
  • Live animals
  • Precious metals
  • Fresh food and more

The entire list of prohibited and restricted items is available at UPS and FedEx sites. Shippers need to provide a declaration regarding the goods before they can be delivered. As a result, delivery delays occur.

Missing custom clearance documents

It is necessary to have custom clearance documents for international UPS and FedEx shipments. The documents include a commercial invoice, certificate of Origin, North American Free Trade Agreement Certificate of Origin, Electronic export information, and shipping label. The package is held at a customs facility or the carrier’s distribution facility when any documents are missing.

Incorrect address

Packages need correct addresses for on-time delivery. Wrong addresses on packages cause delays in FedEx and UPS shipments. For instance, customers having several delivery addresses may give the wrong address to shippers. Or shippers’ systems may enter the incorrect address for the package. Further, a delivery executive may deliver the parcel to the wrong apartment by misreading the label. Whatever may be the reason, the parcel carrier has to pick up the package from the incorrect address and deliver it to the correct address, thus causing a delay.

Holiday surge

Thanks giving, Christmas, or any National Holiday benefits businesses. However, due to the increase in shipping volumes, customers are advised to shop early. Ideally, parcel carriers offer holiday deadline dates, so customers get their packages in time. But, holiday shipments may overwhelm parcel carriers’ capacities, thus causing delays.

Unavailability of the recipient for package

For package delivery, FedEx requires a recipient’s signature to deliver parcels. Sometimes, at the time of delivery of packages, recipients are unavailable at the address. But, if the recipient is a business, and a parcel arrives outside business hours, FedEx attempts delivery another day. Failed delivery attempts by parcel carriers are the reason for the return of shipments by parcel carriers.

Poor performance of shipping carriers

Shipping carriers may suspect illegal items in packages and therefore delay shipments. Further, UPS and FedEx have different delivery times and schedules for various packages. Alternatively, prioritized parcels may get preference over others. Shipping carriers’ performance is poorly rated even if a package arrives late at a fulfillment center. All these factors cause delays in shipment.

 Staff shortage

UPS and FedEx face labor shortages for many reasons, including pay and benefits. For the past two years, shipping carriers finding it difficult to retain employees. It is mainly due to people opting for working from home and not wanting the stress of blue-collar jobs. Thus, causing an impact on UPS and FedEx delivery times.

How to prevent UPS and FedEx delivery delays?

Shippers need to address the areas where the delays are occurring. Our tips for preventing UPS and FedEx shipping delays include:

  • Cross-checking shipping information for incorrect addresses and shipping labels
  • Open communication with customers regarding delays due to bad weather and disasters
  • Automating the custom clearance documents and other necessary documents
  • Order in advance to beat the holiday surge

Partnering with Audintel helps shipping businesses keep track of each shipment. Our clients benefit immensely from our customized dashboards and shipping reports. Shippers receive refunds for delayed shipments from parcel carriers with ease. Audintel‘s team helps shipping businesses to negotiate good carrier contracts and save money.

Conclusion

Delivering packages on time is easier said than done. There are lots of variables involved when UPS and FedEx deliver packages. Our top ten reasons for delays in shipments and ways to prevent delays give a brief insight regarding delayed shipments. However, keeping track of delivery expectations is best left in the hands of experts, like Audintel. We help shipping businesses deal with UPS and FedEx shipping delays. Still unsure about what to do in case of shipping delays, call us at +1 (619) 354 8539 or contact us by clicking here or visiting the Audintel website.

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What can you expect in the new year from FedEx and UPS General Rate Increase?

by BlogSpend Management

FedEx and UPS issue General Rate Increases(GRI) every year. Businesses have to prepare for rising shipping costs based on their shipping profile. Keeping this in mind, we would like to study the General Rate Increases (GRI) of these two premium parcel carriers for 2022. We will also look at the increase in surcharges and other additional charges of the two shipping carriers.

This article will help shippers understand the price changes in 2022 and choose the parcel carrier according to their needs.

Highlights of General Rate Increase 2022

General Rate Increase (GRI) gives shippers an estimate of the rise in base shipping rates. Depending on the contract negotiations with the parcel carriers, the impact on the shipments for shippers will vary. In addition, accessorial charges also increase every year. The shipping costs vary based on factors, such as distance/zone, dimensional weights, and more. So, our team at Audintel has identified three key highlights from the GRIs of 2022. Further, this comparison is for the United States domestic shipping rates and surcharges only.

A General Rate Increase at the service level

FedEx and UPS offer competitive rates for the domestic US shipping market. However, there appears to be a marked rise in the shipping rates, as seen in the below charts.

List rates of UPS and FedEx

The charts (Fig. 1 and Fig. 2) are for list rates, mainly focusing on 1-pound packages in zone 2. There are eight zones for US domestic shipping zones based on distance. As the distance increases, so do the shipping costs. The shipping list rates are calculated based on the weight of the packages and the shipping destinations. In this chart, UPS and FedEx Ground services show a ~6.8% increase in rates from 2021. Incidentally, parcels with a dimensional weight of more than 150 pounds appear to have a low rate increase.

UPS Rates 2022

Fig. 1: UPS 1lb daily rates  for services in Zone 102(Next Day Air), Zone 242 (2nd Day Air AM), Zone 202 (2nd Day Air), Zone 2(Ground) for destination ZIP codes starting with 004-005

FedEx Rates 2022

Fig. 2: FedEx 1lb rates  for services in Zone 2

Minimum charge reductions as seen for UPS and FedEx

A discount for low-weight packages is possible with minimum charge reductions. It is known as “Minimum Net Charge” by UPS and “Minimum Package charge” by FedEx. Both parcel carriers, UPS and FedEx, offer minimum charges to their customers. Shippers having a large volume of shipments can negotiate for minimum charge reduction in their carrier agreements.

UPS Minimum charges

Fig. 3: UPS Minimum charges for packages

FedEx Minimum Charges

Fig. 4: FedEx Minimum charges for packages

Thus, negotiating for minimum charges with parcel carriers is vital for shippers. Our experts in Audintel help businesses negotiate minimum costs in their contracts. Contact us for further information on UPS and FedEx minimum charges.

Accessorial fees and surcharges

With the General Rate Increase announced each year, accessorial fees and surcharges increase annually. We see an increase in some vital surcharges, such as Additional Handling Charges, Delivery Area Surcharges (DAS), and Residential Surcharges. The impact of these surcharges affects the bottom line of shippers. In the case of UPS, an immense change in 2022 is the addition of Remote Area Surcharges for the lower 48 states. It is known as “US48 Remote Area Surcharge”. Earlier, the Remote Area Surcharge was for some zip codes in Alaska and Hawaii.

UPS Surcharges 2022

Fig. 5: UPS Surcharges

Fig. 5 of UPS surcharges indicates an increase in shipping prices zone-wise. In addition, it appears the introduction of Remote Area Surcharge for additional zip codes in the US will affect the profits of some businesses.

FedEx Surcharges 2022

Fig. 6: FedEx Surcharges

For FedEx surcharges, our observation is that the Additional Handling Surcharge for zone 2 is less than the charges of 2021. Further, the oversize charges for zone 2 are less than the amount charged in 2021. This information is vital for businesses sending oversize parcels to zone 2. It is good news for shippers sending packages for short distances.

As seen in the above charts, the surcharge increase is due to Additional Handling Charges of packages. In addition, Large Package surcharges (UPS) and Oversize packages (FedEx) indicate the rise in price due to the size of the parcels.

Worried about rising shipping charges – let Audintel help you

Our intuitive audit platform provides innovative solutions to businesses. Audintel addresses the challenges faced by shippers. Our team aids shippers in reducing the impact of the steep GRIs, announced by shipping carriers. We help businesses to

  • negotiate better deals
  • receive discounts for services, surcharges
  • choose the best-quality services of alternate, low-cost parcel carriers

Audintel supports shippers in reducing the shipping charges announced by shipping carriers with our contract negotiations services.

Closing Remarks

Choosing the ideal shipping carrier is difficult. In addition, different shipping carriers have various shipping pricing models that may confuse the shippers. Audintel’s team aids businesses to have a clear idea about the carrier agreements they are signing with the parcel carriers. Our aim is that shippers save money and garner profits simultaneously. So, learn about the impact of GRIs affecting your parcel delivery from Audintel. Reach out to our team at info@audintel.com or by visiting the Audintel website or call us at +1 (619) 354 8539.