Takeaway: Holiday Shipping
FedEx® will not be applying additional holiday residential surcharges this season but there will be surcharges on packages that are oversized or require additional handling.
Takeaway: 2020 Rate Change
FedEx® has announced an average rate increase in 2020 of 4.9% for FedEx Ground and FedEx Home Delivery®, and a 5.9% increase for FedEx Freight.
FedEx announced on September 16 that it will not be applying additional holiday residential surcharges. This is great news for e-commerce shippers, and this will mark the third year in a row that FedEx has waived these peak season charges. However, be aware of large, oversized packages because FedEx will be applying surcharges to these! Below, we’ve broken out the three main holiday surcharges shippers should be aware of going into this upcoming season. They apply from October 21, 2019 to January 5, 2020.
FedEx also announced its General Rate Increases for 2020. Effective January 6, 2020, FedEx Express, FedEx Ground and FedEx Home Delivery shipping rates will increase by an average of 4.9%, and FedEx Freight will increase rates by an average of 5.9%. This is not surprising, since this is the same average rate increase the FedEx implemented last year.
Depending on the type of shipper you are you may see increases more or less than the average 4.9%. Our Neopost team will break down more key takeaways from the rate change over the upcoming weeks. Below are some changes your business should be aware of:
FedEx is implementing an increase in fees and surcharges starting January 20, 2020, which are going up much faster than the regular year-over-year parcel rates. If you are a shipper sending large or heavy items pay close attention. (Or stay signed up for our NeoNews newsletter and we'll keep you in the loop).
The top FedEx surcharges that are changing:
As rate change season begins it is important to understand the major changes to each carrier’s rates and surcharges, and how they will affect your business. This is never easy, but Neopost has your back. Let us do the heavy lifting and help you get the right workflow, tech, and information to manage your shipping process and budget this holiday season and beyond. If you are more of a DIY-er we’ve compiled some tips below for preparing for holiday shipping.
Neopost is here to help! Creating a budget and getting prepared amidst changing rates and increasing surcharges isn’t easy. Many shipping veterans and newbies find complex shipping rates and ever-changing shipping tech hard to manage. Give our shipping experts a call 855.405.5087 and get your shipping process on track for success!