If you’re an e-commerce seller or retailer who sells big products like sofas, tables, mattresses, and TVs, you might have noticed new surcharges from UPS when shipping these large items. UPS has started increasing their charges for Large Package Surcharges (LPS), plus increasing the Additional Handling Surcharge (AHS). Let’s take a closer look now at how these new surcharges charges work for sending large packages, so you’re ready to navigate the changes.
UPS’ New Large Package Surcharge
If you’re sending out XL packages, then you’re experiencing a larger surcharge on those shipments. The charge increases to $90 for Large Package Surcharges on shipments delivered to residential addresses. That increase represents a 12.5% increase over the previous $80 fee. The Large Package Surcharge only goes into effect when a package is greater than 96 inches in length, or the package measures greater than 130 inches in length plus overall girth.
UPS’ New Additional Handling Surcharge
If you ship heavy packages, then you’re already familiar with UPS’ Additional Handling Surcharge. What you may not know is just how quickly that fee has been skyrocketing. The Additional Handling Surcharge fee has just risen sharply to $19.00 from $12.00, which represents a 58% increase over the previous surcharge cost. That’s after the fee was just raised in December 2017 from $10.85.
If you’ve got all that down, there’s one more detail to be on the lookout for but it hasn’t been announced yet. Coming in Q4, UPS will add additional “peak” surcharges to packages delivered to residential address and deliveries of larger packages. Expect these additional rates to be in effect for the 2018 holiday season.
How ShipWorks Can Help
At ShipWorks, we’re doing everything we can to make it easy to accurately report the weight and dimensions of your shipments. With ShipWork’s detailed reporting, you can easily see exactly how much you are spending on shipping.
We know consumers are now much more comfortable buying mattresses and other large items like furniture and televisions online. We also know being able to successfully manage your relationships with major carriers like UPS, FedEx, USPS, and DHL is of paramount importance to retail and e-commerce businesses. As online sales for these large products continues to grow, it’s even more important to make sure you have the right tools to report, audit and control your shipping costs. By using ShipWorks, you’ll always be automatically updated with the latest carrier rate changes and new surcharges.