Fedex 2012 rate change announcement
November 18th, 2011UPS announces 2012 rares and fee increases
November 18th, 2011FedEx to raise prices in its freight unit
August 14th, 2011FedEx to contest FAA fine
July 12th, 2011DHL Reported Dropping China Domestic Delivery
July 6th, 2011Sounds like the USA all over again
But
They blamed 2 big transport companies there. In China they blame the thousands of competitors.
http://www.joc.com/international-air/dhl-express-reported-dropping-china-domestic-delivery
As we go to the 2nd half of the year
July 6th, 2011I’m thinking the parcel carriers will increase the minimum charge far more than the general annual increase that will be announced, because so many shipments with shippers with discounts can be targeted for significant additional revenue. I also suspect the waiver on the dimensional for packages less than 3 cubic feet will be modified to something less or totally eliminated. This too is a nuance that can being the carriers substantial revenue gains.
I suspect with the USPS facing difficulties and under 1 lb. Standard Parcels being under water from a cost coverage perspective, that the USPS will be forcing up these prices and opening a window for for the private carriers to take the pricing elevator up a few floors.
Last years change in the divisor for dimensional calculation was a revenue windfall for the parcel carriers and next year the investors will want some sort of repeat performance or as history has shown the stock price will be punished. If the economy does not show some sort of improvement then the carriers will be forced to move the needle using tariff and rule changes. I may be all wet but pretend for a moment that you are the CEO of FedEx or UPS and are a publically traded company and answerable to shareholders who expect earnings growth. How better to improve earnings than to extract more money from handling the exact same shipment. No additional work, and more yeild.
We shall see what surprises come our way begining in September or so with the air price increase announcements for 2012.
It’s never too late to start thinking about your budget for next year.
More on the opportunity with Regional Carriers
July 6th, 2011http://multichannelmerchant.com/opsandfulfillment/advisor/regional-parcel-carriers-benefits-0316/?cid=nl_of_advisor
Important info on Regional Carriers
July 6th, 2011http://www.supplychainbrain.com/content/nc/logisticstransportation/expresssmall-shipments/single-article-page/article/optimized-parcel-management-through-regional-carriers/
Can this be DHL USA Redux?
June 21st, 2011http://www.thelocal.de/national/20110621-35789.html