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FedEx and UPS dimensional weight size, shipping and rate discussion


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On another note, with oil at around 50 USD a barrel now, I wonder how long it will take them to update their fuel surcharge rates.

I'm sure they are in no rush to alter there fees, they do a good job keeping them buried in the invoices so the average person doesn't see them.

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On another note, with oil at around 50 USD a barrel now, I wonder how long it will take them to update their fuel surcharge rates.

They will probably only update once the oil price raises again - and once again increase the fees because of that.

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  • 2 weeks later...

The price change can be drastic. A 10124 TH from the East Coast to the midwest use to cost me $14.23. It's now $25.22. ...and this includes my biz discount or the price would be $30.01.

I'm hoping that buyers will begin just wanting the bricks, sealed bags, etc... forget about the Lego box!

By the way, here's two of many recent news articles.

http://www.cnbc.com/id/102310088

http://www.insidermonkey.com/blog/rate-hike-may-trigger-fedex-fdx-united-parcel-service-ups-diaspora-337282/

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The price change can be drastic. A 10124 TH from the East Coast to the midwest use to cost me $14.23. It's now $25.22. ...and this includes my biz discount or the price would be $30.01.

I'm hoping that buyers will begin just wanting the bricks, sealed bags, etc... forget about the Lego box!

By the way, here's two of many recent news articles.

http://www.cnbc.com/id/102310088

http://www.insidermonkey.com/blog/rate-hike-may-trigger-fedex-fdx-united-parcel-service-ups-diaspora-337282/

I am hoping that it affects their business enough that they change the rates downwards a bit. USPS simply doesn't do that good of job shipping packages even with their bloated salaries.
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I am hoping that it affects their business enough that they change the rates downwards a bit. USPS simply doesn't do that good of job shipping packages even with their bloated salaries.

How much business can FedEx and ups lose from little guys like us? I'm sure it hasn't affected the commercial clients at all. My thinking is that they are trying to subsidize commercial accounts with the increase in retail costs. That way they can keep the large business coming

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I just shipped my first package of the year and my shipping fees went up 40% with UPS because of the dimensional rate. Mind you I already pack every Lego set in a box as tight as possible, about 1-2" of free space on each side. No more UPS this year, just USPS Parcel Select for bigger sets.

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What stinks is that while before FedEx was, besides UPS, the cheapest for large sets, and you could simply print and slap-on the label at home, drop it off and be done, now the cheapest rate for some large sets seems to be USPS standard post - and people do request that. The problem with that is that I cannot print the label online. Instead I have to go to the actual post office, with their weird opening hours, stand in the ever-present line, just to get the package over the counter and pay the postage. No easy print-slap-pickup like for first class, not even just drop-off.

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You can still create Parcel Select Nonpresort (2-9 days) shipping labels online through your PayPal account at the following link:

 

 https://www.paypal.com/us/cgi-bin/webscr?cmd=_ship-now

 

Also works for First Class Mail Parcels and Media Mail.

Thanks, I didn't notice that before. I mostly used the USPS website directly, where this isn't an option. Concerning pickup I guess while they will not allow a scheduled pickup without any first class package there, they will likely pick it up on their regular rounds (but for a large set you might want to be present). Makes it a lot easier again. :)

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Have you guys not been charged dimensional shipping rates through UPS or Fedex prior to this year?  There have been quite a few items in the past that I shipped by UPS Ground that were charged based on the dimensional weight even though the actual weight came in much lower.  

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Have you guys not been charged dimensional shipping rates through UPS or Fedex prior to this year?  There have been quite a few items in the past that I shipped by UPS Ground that were charged based on the dimensional weight even though the actual weight came in much lower.  

 

Prior to this year, the dimensional weight rates were not applied to packages that had a total cubic size ( L x W x **** ) of less that 5,184 inches so all the 24x20x6 boxes that you would use for most large sets were not affected.

 

Now that dimensional weight rates apply for all sizes, you are seeing all those 8 lb 24x20x6 boxes getting charged 18 lb rates because of the box size.

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Prior to this year, the dimensional weight rates were not applied to packages that had a total cubic size ( L x W x **** ) of less that 5,184 inches so all the 24x20x6 boxes that you would use for most large sets were not affected.

 

Now that dimensional weight rates apply for all sizes, you are seeing all those 8 lb 24x20x6 boxes getting charged 18 lb rates because of the box size.

For comparison, "dimensional weight rates" come into effect with USPS when you exceed 84 inches length + girth (L + 2W + 2H). So, 24x20x6 does not get hit when sent by USPS.

 

Balloon rate (20-lb) gets charged with USPS when you exceed 84 inches and are at 108 inches or below

Oversize rate gets charged with USPS when you exceed 108 inches.

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Ebay calculator for UPS is horrible in my experience.  They never include "fuel", "delivery area", or "extended area" surcharges so that I can charge actual shipping costs to my buyers.  I always have to add on a handling fee for everyone to try to keep from losing money on shipping.

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This is a big win for Amazon / FBA sellers.   3rd party sellers / ebay sellers will drop selling a lot of larger products becasue of the low margins and double UPS shipping rates for the dimensional rate factored in.  

 

Using an example as a bedding / comforter set

 

I sell these bedding sets regularly for $40.  There light but bulky and at 8-10lbs shipping usually runs about $8-10.  Now its doubled to $20.

 

At that point after fees I'll just wholesale them locally for $20 still make my $10 and avoid the hassle of an online transaction and giving half the sale to shipping.

 

Enough of these instances happen and that means less listings available and they will go to Amazon who offers free shipping and same price or a little higher.

 

Its not a huge issue for normal sized items but anything that gets the dimensional ding will certainly be re-evaluated by a seller to see if it's worth selling that product anymore.

 

Just another change in the ever changing online business.  They will lose sales eventually though as if you can send it priority mail to a close / nearby state for half the price of UPS it will backfire on them to an extent.  Of course the doubled revenue from people not knowing might make up for that.  Could be less work for for the same revenue in that case which they will be happy with.

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Perfect example right here.

 

just shipped a comforter, a sheet set and a router LOL to one person in Indiana.  18x18x12 box  14lbs

 

Priority mail through ebay is $7.70 with a 49% discount

 

UPS with my ground discount which is not much on ground at all is $21.51 with the 3.50 dimensional charge added on (it was $18.80 and had the remote destination charge)

 

So almost triple to go UPS.  

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