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4/3/23 Monday Parcel News Update

by Grayson Gilbert

Apr 3, 2023

2 min read

1. Pitney Bowes Parcel Shipping Index Diagnoses Trends

2022 saw parcel shipping volumes normalize closer to pre-pandemic levels. Pitney Bowes’ recently released Parcel Shipping Index outlines the extent of volume declines, and how different carriers are faring.

Key points include:

  • Despite volumes dropping, carrier revenues increased
  • FedEx saw greatest volume decline
  • Amazon cut into UPS’ market share
  • UPS adjusted to a lessened partnership with Amazon, their largest customer
  • Regional carriers saw strong growth

Article from Max Garland, Supply Chain Dive

 

2. GLS Introduces Reduced Pricing for Short-Haul Parcel Shipments

Western regional carrier GLS is introducing a new pricing system designed to save shippers money on short-range shipments. The new system introduces pricing tiers for Zone 0, which they define as super short-haul in dense urban areas, and Zone 1.

According to the carrier, the short-distance and density-focused pricing will offer shippers rates that are more custom-tailored than those from major carriers. Steve Bergen, President of GLS’ U.S. operations, said the carrier is “using technology and analytics to drive pricing that aligns directly with the needs of a customer. By doing this, a shipper pays only for the true resources they need instead of subsidizing a giant network of other customers’ parcels.”

Article from Mark Solomon, FreightWaves

 

3. LSO Offering Customers More Capacity Amid UPS Strike Fears

As shippers keep a close eye on the UPS/Teamsters negotiations, Lone Star Overnight (LSO) is allowing existing customers to increase volume thresholds by up to 30%. Shippers hoping to take advantage of the offer must transition the volume to LSO by the end of May, in order to prevent any negative service impacts.

LSO has delivery coverage in the Southwest and Central U.S., and is working to establish a hub in Chicago this year.

Article from Max Garland, Supply Chain Dive

Grayson Gilbert

Grayson is the Marketing Specialist at Sifted. He leads our earned media efforts, podcast production, and review generation, all the while tracking industry news for our team and clients. His media relations skills have landed Sifted’s thought leaders in top publications like FreightWaves, Supply Chain Dive, PARCEL Magazine, and Yahoo! Finance. Connect with Grayson on LinkedIn here.
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