Peak season

Postal Service announces holiday delivery preparations

USPS postal service delivery truck

It’s almost the most wonderful time of the year again, at least for consumers. For shippers and carriers, it’s a different story.

If you asked 10 logistics professionals when peak shipping season is, you would likely get 10 different answers. Some will claim it lasts from August to November; others will argue it begins in the spring; still others will contend it’s become a year-round affair. But regardless of which definition they use, shippers can expect a sharp increase in parcel volume to...

https://www.freightwaves.com/news/postal-service-announces-holiday-delivery-preparations

Carriers weigh in on peak season and contract rates

A Werner tractor-trailer on the highway

Heads of trucking companies remain constructive on peak season and contractual rates all the while acknowledging the macroeconomic environment has clearly slowed over the last several weeks. After nearly two years of operating in peak-like conditions every day, management teams appear to be embracing the opportunity to operate in a more normalized freight environment.

The spot truckload market has loosened significantly since the spring. Many drivers made the leap to operating under their own...

https://www.freightwaves.com/news/carriers-weigh-in-on-peak-season-and-contract-rates

Carriers Unveil Blanking Programmes To Prop Up Rates

Some 8.8% of capacity is due to be pulled from the Asia to Europe market by ocean carriers over the next 12 weeks. CMA CGM has announced it will blank five sailings in the period surrounding China’s Golden Week, removing close to 100,000 teu from the Asia to Europe trades, reports The Loadstar.

National holiday

The carrier’s French Asia Line (FAL) services 1, 2, 5, 7 and 8 have been pulled for the seven-day national holiday running from 1-7 October.

It gave no reason for the move, but one source...

https://mfame.guru/carriers-unveil-blanking-programmes-to-prop-up-rates/

ACI Logistix increasing capacity for peak 2022

Between school and holiday shopping, October through December is historically peak season for shipping. Businesses large and small should begin preparations now to anticipate the unique challenges of peak season.

The key is to start planning as early as possible.

Many successful shippers and winning brands are already well into peak planning, carrier diversification strategies and bottleneck mitigation, and are turning to qualified and successful partners to ship their products successfully...

https://www.freightwaves.com/news/aci-logistix-increasing-capacity-for-peak-2022

UPS fires on all cylinders in Q4 and 2021, sending shares soaring

The price of UPS Inc. shares rocketed at the start of Tuesday trading and never looked back after the company reported what may have been the strongest financial results in its 115-year history.

Near Tuesday’s market close, UPS (NYSE: UPS) shares rose nearly $29.50 a share to $231.64, a gain of nearly 14.6% on the session. Shares took off after the Atlanta-based company posted fourth-quarter results that left even analysts’ best-case estimates in the dust. UPS’ momentum is so strong that it...

https://www.freightwaves.com/news/ups-fires-on-all-cylinders-in-q4-2021-sending-shares-soaring

Holiday truckload demand stronger than in 2020

Chart of the Week: Outbound Tender Volume Index – USA SONAR: OTVI.USA

After underperforming 2020 over Thanksgiving, the Outbound Tender Volume Index (OTVI) that measures the amount of electronic requests for truckload capacity shippers send to carriers has been averaging over 10% higher than the previous year since Dec. 22. This trend is a sign that shippers still have plenty of freight to move heading into the new year. 

The OTVI is an index with a base value of 10,000 based on the tender...

https://www.freightwaves.com/news/holiday-truckload-demand-stronger-than-in-2020

Last-mile logistics tech helps carriers, brokers cope with peak season

This year has been taxing for companies across the logistics industry. Rates have reached historic highs, capacity has consistently been strained and companies have been working in peak season conditions throughout the entirety of 2021. Equipment and labor shortages have made all these challenges more pronounced. These headwinds have only been exacerbated by the traditional retail peak season surge.  

With holiday shopping in full swing, shippers are struggling to afford surging rates and meet...

https://www.freightwaves.com/news/last-mile-logistics-tech-helps-carriers-brokers-cope-with-peak-season

Postal Service may lack resources to meet peak delivery needs — OIG report

The U.S. Postal Service may not have all the resources in place to handle what is expected to be another deluge of peak-season packages, according to a recent investigation by the agency’s Office of Inspector General (OIG).

The report, published Nov. 19, found that as of late October, the Postal Service had leased 40 of the 70 temporary annexes that it expects to be up and running to process holiday packages. In addition, the Postal Service had yet to install all 89 package-sorting machines at...

https://www.freightwaves.com/news/postal-service-may-lack-resources-to-meet-peak-delivery-needs-oig-report

Peak season analysis and strategy

Shippers continue to face pandemic-related headwinds as they enter the 2021 peak season. Severely strained capacity and elevated rates have created a challenging environment for shippers, in part, due to the increased level of spending and ongoing consumer shift toward e-commerce. Carrier network imbalances and capacity fragmentation have made the capacity available less accessible. While these trends existed before COVID-19, the pandemic only accelerated these challenges and behavior changes.

Wi...

https://www.freightwaves.com/news/peak-season-analysis-and-strategy

Pitney Bowes announces 5.9% e-commerce rate increase, hiring plans

Global shipping and mailing company Pitney Bowes has announced it will apply a 5.9% general rate increase for e-commerce services, effective Jan. 2, 2022.

The company also said it has made investments to gear up for what is expected to be a record-shattering e-commerce shipping season with more capacity, automation and workforce expansions.

Pitney Bowes (NYSE: PBI) said it planned to add “thousands of seasonal warehouse associates and drivers.” It didn’t announce a specific number. The company...

https://www.freightwaves.com/news/pitney-bowes-announces-59-e-commerce-rate-increase-hiring-plans

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