5 Ridiculously Easy Ways to Reduce Your Shipping Costs

December 1, 2025 at 11:23 AMJen Deming

In a time where managing business operating expenses is extra important, one of the first places you should look is reducing shipping costs. But analyzing your small package shipping for areas of improvement can be a time-intensive, detail-oriented process. Not everyone has the time to audit invoices and compare rates. For those who want to get the job done quickly and easily, you’re in luck: there are five quick small pack hacks that smart shippers can easily implement to help reduce costs. 

  1. Obtain discounts with carriers
    Lots of shippers don’t realize that the pricing structure you are currently using with your carrier may be negotiable, and there are different types of discounts that your account may receive. FedEx and UPS often offer discounts for new accounts when created online, but shippers beware: these discounts are usually temporary, and your pricing may fluctuate based on terms and conditions. You may lose the discounts entirely if you aren’t meeting shipping minimums and your pricing is subject to change at any time. 

    The more you ship, the better the discounts you’re likely to receive directly from FedEx or UPS. However, even if you have a lower shipping volume, there are still ways for you to obtain discounts. If your business belongs to a trade association or a local chamber, you may have access to discounted rates through your membership. PartnerShip manages over 130 association shipping programs that offer FedEx discounts. If you’re a member of an industry group, look into your member benefits or reach out to our team to find out if you’re eligible.

  2. Take advantage of free packaging

    The packaging and supplies you need to properly contain your shipments are important, but can be costly. However that doesn’t mean you should skimp on new materials or reuse old packaging – doing so can compromise the integrity of your shipment and increase the risk of damage. The good news is, some carriers offer free shipping supplies to help ensure your package is secure. Both UPS and FedEx offer free packaging supplies for customers that you can order online and have delivered, free of charge. With free envelopes, packing tubes, boxes, and poly bags, you can be sure your small package shipment will travel safely to its final destination, all while creating some space in your shipping budget.

  3. Make the most of Multiweight and Hundredweight options

    From insurance plans to your cable bill, everyone knows you can save money from bundling. That same principal can also apply to your shipping. Both FedEx and UPS offer options for customers who are shipping multiple packages to the same location that can help you save money versus the rates you would pay if they’re considered individual packages. For businesses shipping frequently to the same locations, FedEx multiweight pricing is an efficient and cost-effective service option.

    There is a catch for shippers interested in these options — it isn’t available to just any business. FedEx Multiweight must be negotiated into your contract, or offered as a part of comprehensive shipping program, like the association programs managed by PartnerShip.

  4. Avoid dimensional weight pricing

    To combat the increase in bulky packages entering their systems, FedEx and UPS have implemented dimensional (DIM) weight pricing. With DIM weight pricing, cost is calculated based on package volume, rather than weight. The higher the volume, the more space it takes up in delivery vehicles, which means there is less room for other packages. If a package isn’t particularly heavy but is taking up a lot of space, that’s costly for the carriers. 

    After calculating your DIM weight, measure the result against your package’s actual weight; the greater of the two will become your billable weight. The best way that you can offset volume-based pricing is to take a hard look at your current packaging procedures. Unused space is a cost-conscious shipper’s worst enemy, so don’t use a package that’s oversized for the product inside and consolidate your orders when possible to ensure you’re not wasting space.

  5. Take control of inbound shipping

    Another way to save on small package shipping is by taking control of your inbound shipping procedures. It’s common practice for many businesses to allow their inbound small package orders to be arranged by the vendor. But often times that leads to higher order costs for you. By instructing your vendor to ship through your account, you can reduce your costs through a few simple steps:

    • Review your vendor invoices to determine whether you have access to better pricing through your FedEx/UPS account vs. your vendor’s account.
    • Create routing instructions that include clear directions on which carrier, account, and service to use for your shipments. 
    • Ensure vendor compliance by providing your routing instructions to your vendors and regularly reviewing your invoices for accurate pricing.

Working with a third-party logistics provider can help make this process even easier. At PartnerShip, we can assist with pricing negotiations, create and send vendor routing instructions, and review billing for vendor compliance.

While taking an in-depth look at how to minimize operating expenses can be time-consuming, these small package hacks give you a few quick ways to ship smarter. For more ways to save, PartnerShip can help.

Your Essential Guide to the 2026 FedEx and UPS Rate Increases

November 7, 2025 at 11:23 AMLeah Palnik
The essential guide to the 2026 FedEx and UPS Rate Increases

Shipping in 2026 is about to get more expensive. FedEx and UPS are both increasing their rates by an average of 5.9%. But don’t let that number fool you — your actual costs will likely climb even higher. With UPS leading the charge on December 22, and FedEx following two weeks later, these increases will have a significant impact for shippers. The real challenge lies in the hidden complexities behind the changes. It’s essential to understand them so you know how your costs will be affected and what you can do about it.

Here's your guide to the FedEx and UPS rate increases for 2026. Jump to:

A look back at the FedEx and UPS GRIs 

FedEx and UPS have a long history of mirroring each other’s pricing. They typically announce the same general rate increase (GRI) and have very similar pricing strategies. Bottom line, the published rates aren’t a major differentiator between the two carriers.

This marks the third consecutive year that both carriers have announced an average increase of 5.9% — a level first introduced in 2022 after several years of 4.9% hikes. In 2023, rates climbed even higher to 6.9%, coinciding with a surge in shipping demand fueled by pandemic-driven e-commerce growth. The return to a 5.9% increase in 2024, 2025, and now 2026 shows that while demand has stabilized, the carriers continue to adjust pricing to offset expenses and network investments. 

Some important quick facts about the new FedEx and UPS rates:

  • The new FedEx rates take effect on January 5, 2026, while the UPS rates take effect two weeks earlier on December 22, 2025. Notably, UPS is raising its rates sooner, capturing more shipments moving through the end of peak season. 
  • The 5.9% average doesn’t take surcharges into account — many of which are increasing by more than 5.9%. When you are reviewing your shipping costs, its essential to budget for increases to surcharges as well.
  • How much your costs actually go up in 2026 will be closer to 8-12% and will depend on several different factors. The services you use, the surcharges applied, your shipment dimensions and weight, and how far your shipments are traveling all have an effect. 

Important changes for 2026

So you already understand that FedEx and UPS rates are going up in the new year. What does that look like exactly? First, you'll want to review the released service guide previews: 

If all of those numbers, tables, and fine print have you overwhelmed, you're not alone. But there are some key takeaways:

  • The minimum charge for both carriers is increasing from $11.32 to $11.99. If you have discounts on your account, this heads-up is for you. Even if your discount would bring you to a base rate that's lower, you're stuck paying the minimum of $11.99 instead.   
  • UPS is changing the list of zip codes for the Delivery Area Surcharge, following the mid-year adjustment FedEx made to its list in June. Depending on where you’re shipping, you could get hit with a Delivery Area Surcharge on a shipment that it didn’t apply to in the past. On top of that, UPS will be changing the list of zip codes aligned to certain zones. This means that your shipments could be rated based on a more expensive zone. It’s changes like these that can make budgeting for your annual cost increase very challenging.
  • The surcharges for Additional Handling and Oversized/Large Packages will now apply to more shipments than before, thanks to changes to the criteria. Starting in January, these fees will be triggered not just by length and girth, but now also by cubic volume. The shape and volume of your package, rather than just its longest sides, will now determine if you get hit with these surcharges.
  • Fees for larger, more difficult-to-move packages continue to rise to hefty prices. These fees are already very costly, and in 2026 they're rising higher than the announced average. A fee for an oversized, large package could cost you up to $331 - an increase of over 8%.   
  • Many other common surcharges are increasing by more than the 5.9% GRI, including Delivery Area and Residential surcharges.
    Common FedEx and UPS Surcharges

How the FedEx and UPS rate changes will affect your costs in 2026

You can’t take the announcement of a 5.9% increase at face value, unfortunately. You’ll need to determine which services you use the most, how far your shipments travel on average, and how much of your invoice charges can be attributed to fees.

Most shippers will see their costs go up over the announced 5.9% average. With that in mind, let’s look at a few factors that could put you at risk for higher-than-average cost increases:

  • If you’re shipping larger packages or your packages require special handling. For the past several years, FedEx and UPS have been raising these fees at an alarming rate. And in 2026 these fees will apply to more shipments than before. Any shipment they can’t run through their normal systems costs them more time and money, and these fees are a way to discourage those types of shipments from entering their networks.
  • If you’re an e-commerce business. The cost of delivering packages directly to consumers continues to rise at rates that are higher than the average. Between high increases on two-day Express/Air services and increases to residential surcharges, e-commerce businesses will continue to get squeezed.   
  • If you ship a lot of low-density packages. This is no different than the past several years but is important nonetheless. The pricing structure that FedEx and UPS have in place dissuades larger, lighter shipments. The carriers prefer denser packages that take up less space because they’re able to fit more packages on their delivery vehicles. If your package dimensions cause your shipment to be rated at a higher weight due to dimensional (DIM) weight pricing, your cost increase could be compounded. 

What you can do to mitigate the effects of the FedEx and UPS rate increases

  • Right-size your packaging. While FedEx and UPS rates are based on weight, that’s not actually the whole story. If your dimensional weight is higher than the actual weight, your package will be rated using the dimensional weight - meaning you’ll be paying more. This makes any excess space within your package extra costly. Focus on packaging that allows space for the items you’re shipping and the necessary cushioning and nothing more.
  • DIM Weight Calculation
  • Consider opening or using a new distribution center. Shipments with the longest distance to travel cost you the most in general. Getting closer to your customers could be a great strategy for keeping those costs down.
  • Evaluate the services you’re using. Ground services are the more economical option, and often the transit times are comparable to what you can get with some Express/Air services. Where you can, utilize Ground services to save on your costs.
  • Take advantage of the discounts available to you. PartnerShip offers extremely competitive parcel rates that help businesses reduce shipping costs by an average of 20%. Request a quick rate comparison to see how your current pricing stacks up and where you can start saving.

Wrapping your head around all of the changes for 2026 FedEx and UPS rates can be challenging. But, using this guide to understand what's behind the announced average and published service guides is a good first step. Use this information to properly budget for the new year and set up any mitigation tactics that work best for your business.   

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2025 Year-End Planning for Your FedEx and UPS Shipments: Surcharges, Deadlines, and Rate Increases

October 16, 2025 at 4:19 AMBryan Pruett
2021 Year-End Planning for Your FedEx and UPS Shipments

The end of the year is often hectic for many businesses, with 2025 proving no different. As you navigate the holiday season and prepare for the year ahead, you’ll want to heed our warnings for your FedEx and UPS parcel shipments.


Ship early

We can’t stress this enough! The closer we get to Christmas, the higher the demand on carrier networks. While major disruptions aren’t expected, the seasonal surge in shipments and subsequent strain on carrier networks can still lead to delays. Being proactive and shipping early gives you extra time and flexibility if things slow down. This is especially important for time-sensitive packages that need to be delivered by Christmas. Regardless of who you ship with, the holiday season can be unpredictable; plan ahead and build in some buffer time to help ensure your packages reach their destinations on schedule.


Review holiday shipping deadlines

For retailers, this is especially important. As customers place their orders for holiday gifts, they’ll want to know that they’ll receive them before the big day. FedEx and UPS have released their shipping deadlines, so make sure to review them and plan accordingly. That way, you’ll be able to manage expectations appropriately and keep your customers happy.


Peak season surcharges

Both FedEx and UPS are applying demand surcharges for the 2025 seasonal shipping surge. These fees add extra costs to packages, especially hitting residential deliveries and oversized packages the hardest during peak weeks. 


The first wave of demand surcharges runs from late September through the end of November. They range from $0.40 to $2.20 for residential deliveries and select ground and expedited services.


All of the demand surcharges then increase the week of Thanksgiving through the week of Christmas. The surcharges for standard-sized shipments range from $0.60 to $3.55 during this time. On top of that, if your package is considered oversized or requires additional handling, you can expect to pay up to an additional $545. 


For the final wave, the surcharges mirror those accessed at the beginning of peak season and last until January 17th for UPS and 18th for FedEx.


One important thing to note is that throughout the entire peak season, many of these additional fees adjust weekly or even increase based on your account’s shipping volume. To avoid surprises, review the published information and factor these seasonal adjustments into your budgets.


Prepare for the 2026 rate increases

Don’t forget that after you make it through the holiday season, your FedEx and UPS rates will be going up. Both carriers have announced another average 5.9% rate hike for 2026.   


It’s tempting to take that announced average and budget for your costs to go up by that much, but unfortunately, it’s not that simple. How much your rates will go up in the new year will largely depend on which services you use, your package characteristics, and where you’re shipping to/from. That 5.9% general rate increase (GRI) also doesn’t account for surcharges, which can drive up your costs even more. As always, plan ahead, ship early, and stay educated.


Ensure you’re getting the best rates

With parcel rates and surcharges continuing to rise, managing your shipping costs is more important than ever. PartnerShip offers industry-leading discounts that help businesses stay competitive and protect their bottom line. Our team makes it easy to uncover savings opportunities and simplify your shipping process. Request a free rate comparison today to see just how much you can save with PartnerShip.

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Parcel vs Freight: What Works Best for You?

June 16, 2025 at 11:33 AMJen Deming
ParcelvsFreight.png

The differences between parcel shipping and less-than-truckload (LTL) freight shipping can be difficult to identify, at least on the surface. If you're not using either service regularly, it can be challenging to know which shipping option you really need. But, there are some definite factors that make a difference to a shipper's experience, like transit times, pricing structure, and security risk. Knowing more about the key differences of parcel vs freight shipping can help determine which makes the most sense for your shipment.

Risk and security

Packaging and handling practices can vary between parcel vs freight shipping, affecting your freight's risk of damage. Typically, parcel shipments are smaller, individually boxed shipments that move separately within the carrier system. Most are under 70 lbs., but they are accepted up to 150 lbs. Freight loads are larger and most often consist of multiple boxes or items collected onto a pallet, or within strapped-together crates, and ship together as a group. Both types of shipments have packaging requirements that include protective material inside the container to help prevent damage. Because freight shipments often use shrink wrap or other binding material to keep boxes together, loss is minimized. 

Because of their smaller size, parcel shipments can be easily handled and are generally auto-sorted through the carrier conveyor system. They are then taken to a regional location and transferred through multiple stops and service terminals until final delivery. Because of all the handling, combined with the smaller size of loose parcels, there is an increased risk for lost or misrouted boxes. Freight shipping also includes loading and transfer at multiple stops, but it's less frequent than parcel services. Fewer stops means less loading, but because the pallets may need to be moved with a forklift, there is a risk of damage associated with handling that shippers must keep in mind.

Driver service level

A key point to keep in mind when considering parcel vs freight shipping is the truck driver's level of involvement when it comes to handling the shipment. Parcel shipments moved by common carriers such as FedEx or UPS are loaded, unloaded, and delivered by hand. A shipper is responsible for proper packaging and labeling, and a receiver must check the shipment carton count and for damages. But generally, a driver will take care of handling, including front door pick-up or inside delivery. 

Freight shipping is an entirely different story. The driver only moves your freight from pick-up to destination; it is up to the shipper and consignee to have a team ready for the loading and unloading of the freight. This means the driver will not assist. Driver assistance can be requested, but because it is considered a special service, expect to pay extra. Additionally, accessorials such as inside delivery or limited access locations may incur other fees on top of regular shipping charges. 

Pricing and cost efficiency

One of the most significant differences in parcel vs freight shipping relates to how pricing is calculated. Freight pricing is determined by several variables, including distance traveled, fuel cost, weight, additional services, and the classification of the shipment. Lane pricing is set by carriers and certain routes across the country can be more competitively priced than others depending on the volume of industry or location type. For example, shipping off-mainland or to a densely congested city's downtown area can be pricey. Depending on your product type, or the density of your shipment, the freight class can either increase or decrease. Lastly, carriers tend to have different levels of liability coverage, depending on freight class, in the event of damage claims on a shipment. Freight class is an extremely important factor for freight shippers as it pertains to cost.

Parcel pricing can also be complicated. The shape, weight, and size of a package all affect the cost, in addition to the type of service requested. Shorter, expedited transit times cost more than standard ground shipping options. Additionally, dimensional (DIM) weight pricing has become popular with common carriers. Dimensional weight bases price on the package volume in relation to its actual weight. The practice was implemented in an effort to minimize awkwardly-sized shipments that waste space in a carrier's truck. It's important to properly calculate your dimensional weight so that you can accurately predict the cost of your shipment.

Knowing the differences of parcel vs freight shipping can help you make the right choice in service and save you in shipping costs. If you're shipping larger, heavier items, or can combine multiple shipments into a single load, using an LTL freight service is right for you. If you're shipping smaller, single boxes and want faster door to door service, parcel shipping is the better option.

Understanding how pricing is calculated for both, and what you can expect your shipment to encounter during transit, will help you ship smarter. If you're still unsure which would make the most sense for your business, call 800-599-2902 or contact us today.

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A Practical Guide to Parcel Shipping Rates

June 1, 2025 at 10:44 AMLeah Palnik
A Practical Guide to Parcel Shipping Rates

The ever-rising cost of parcel shipping is a hot topic. FedEx and UPS raise their rates regularly and find clever, new ways to recoup costs. The changes aren’t always clear and can catch shippers by surprise. However, if you have a solid understanding of what determines small package rates and what to look out for, you’ll be in a good position to manage your costs.

How parcel shipping rates are determined

  • Weight. No surprise here, but how much your shipment weighs plays a large part in how much it will cost to ship. If you take a look at the service guides for UPS and FedEx, you’ll notice that the heavier the package, the higher the rate.
  • Dimensions. You can’t look at just the weight alone. In fact, your package dimensions could cause your shipment to be rated at a higher weight, thanks to what is known as dimensional (DIM) weight pricing. Carriers use this to ensure you’re paying for the space that your shipment takes up in their delivery vehicles. Larger packages take up more room, leaving less space for other deliveries. To avoid this increase in your parcel shipping costs, it’s imperative that you’re efficient with your packaging.
  • Service. If you need your shipment to get to its destination sooner rather than later, you’re going to pay for it. Air services that offer delivery overnight or next day will cost you the most. In comparison, if you can plan for some extra time, using a ground service will save you.
  • Distance. Your origin and destination ZIP codes play a big part in determining your rate. The farther your shipment needs to travel, the more you’ll pay. This is based on groups of ZIP codes that parcel carriers refer to as zones.
  • Fuel. This is a tricky one to put your finger on because both UPS and FedEx will make adjustments on a weekly basis based on information published by the U.S. Energy Information Administration (EIA). The surcharge is a percentage and applies to the base rate, as well as a number of accessorial charges.
  • Surcharges. Based on your shipment’s characteristics, you can be hit with additional fees known as accessorials or surcharges. These fees are assessed for things like residential deliveries, additional handling, and oversized dimensions. The best thing you can do is educate yourself on the common fees so you can budget for the unavoidable ones or make some changes to avoid the ones you can.
  • Discounts. Not every account is created equal. You may be able to secure discounts directly with your carrier if you have significant shipping volume. For everyone else, you can get discounts by working with a third-party like PartnerShip.

The history of FedEx and UPS rate changes
At the end of every year, FedEx and UPS both announce a general rate increase (GRI). In recent history, it has been an average increase of 4.9%-6.9%. However, that is only an average – meaning that some rates will actually increase by more or less based on service and package characteristics. Throughout the year, keep track of the type of parcel shipments you process – the services you’re using, the weight and dimensions, and zip codes. That way you’ll be able to focus on determining the rate increases that will affect you the most when the time comes. This information can be overwhelming to go through, so get help where you can. PartnerShip publishes a guide to the rate increases every year that can be a great resource for when you’re planning your budget.

Changes to parcel shipping costs to look out for
It’s hard to predict exactly what changes FedEx and UPS will make to their rates, but it’s important to note that they don’t leave them untouched outside of the GRI. In fact, in recent years they have been making more changes throughout the year. These changes tend to affect surcharges rather than the base rates. Not only how much they’ll cost you, but also how they’re defined. For instance, FedEx and UPS lowered the weight threshold for the Additional Handling fee. That means that more packages will get dinged with that surcharge. Obviously this isn’t a rate increase, but it’s a way that your costs could increase.

FedEx and UPS also make changes based on long-term industry trends, seasonal demand, or unforeseen changes in the market. When their networks are strained the most, FedEx and UPS are bound to react. For example, during past peak holiday seasons when online orders are known to be at an all-time high, the carriers instituted a surcharge for residential shipments. And notably, during the COVID-19 pandemic, FedEx and UPS instituted a temporary surcharge on international shipments due to air cargo capacity being limited.

The bottom line on parcel shipping
Understanding all of the factors that make up your parcel rates is the first step to uncovering opportunities to cut your costs. Along with having that solid foundation of knowledge, keep a good record of your parcel shipments and their details so you can accurately forecast your needs and make adjustments. Lastly, stay on top of the latest updates from FedEx and UPS by reviewing their published changes and signing up for service alerts.

You don’t have to navigate these changes alone. PartnerShip provides resources to help you make sense of parcel shipping rates and can help you cut your costs. Thanks to our unique alliance with FedEx, we’re able to provide your business with industry-leading discounts. Save at least 40% off FedEx Express and at least 25% off FedEx Ground when you enroll in our FedEx Advantage program

How to Save on Shipping While Reducing Packaging Waste

April 20, 2025 at 11:22 AMJen Deming
Packaging Waste Blog

We love shopping online. Nothing beats the convenience of delivery, variety of product options, and satisfaction of adding things to a virtual cart and clicking ‘buy now’. Unfortunately, the perks of ecommerce do have a flipside - the environmental impact of shipment packaging waste. Ecommerce shipping actually has about four times as many touch-points as regular retail. This means more packing and unpacking individual orders to customers – leading to even more packaging waste. Savvy e-retailers are minimizing their environmental impact by using eco-friendly shipping tactics and by using less wasteful packaging procedures. Even better, reducing your shipment packaging waste is a sustainable practice that is both eco-friendly and a smart way to lower shipping costs, through these three easy tips.

Online order touchpoint graphicTip 1: Reduce the amount of your packaging 

If you’re a shrewd retailer, you know that your choice of packaging can protect your product, prevent damage, and enhance the value of your brand through the unboxing experience. But not every product ordered online needs to be shipped within layer upon layer of branded boxes and plastic packaging. Taking a “less is more” approach can help balance both cost and structural integrity, in addition to lowering packaging waste. 

Box versus mailer graphic

When you’re considering what types of shipment packaging to use, retailers have a ton of options. Packaging materials include paper, plastic, or chipboard boxes, foil or poly envelopes, bubble mailers, jute, vinyl, or cotton bags, and many other options. Dunnage, or the internal “protective” material inside the shipment can be Styrofoam, cardboard, kraft paper, soft or rigid plastics, and bubble wrap. Each option has its own cost, key benefit, and impact on the environment. Research what types of shipment packaging make the most sense to adequately protect your product, and then eliminate the use of unnecessary extra materials. Always keep in mind that you can reduce your initial cost and environmental impact by choosing simple, but effective shipment packaging that makes sense for your product and consumer.

Tip 2: Reduce the weight and dimensions of your shipment 

It’s clear that wasteful packaging procedures can drive up initial costs, but keep in mind that any unnecessary materials can also affect your shipment rates due to weight and density. Your parcel rate is determined in large part by region, distance traveled, and weight. Heavy shipments put more strain on trucks and utilize more fuel when hauling loads. As a result, carriers will charge you more for added weight.Trucking C02 emissions graphic

Another factor that can affect your shipment cost is dimensional weight. DIM weight pricing is used by carriers to offset the cost of moving large and bulky shipments in their network. This pricing strategy focuses not just on the actual weight, but also the amount of space your shipment takes up. Your DIM weight is determined by the dimensions of your shipment. If the calculated DIM weight is higher than the actual weight, your shipment will be rated on that.

Elaborate packaging with multiple components inside runs the risk of wasted interior space, so making sure that you right-size your package is important. Ensure that there is no empty space within your shipping box after the product and protective materials are added in. Reducing wasted space within your shipment can lower your final bill, and greatly reduces packaging waste that can be harmful to the environment. 

Tip 3: Encourage your customer to use your packaging for returns 

With more people preferring to shop online, the need for convenient returns options increases. Being intentional in how you approach your returns can help lower reverse logistics costs while remaining environmentally conscious.

Every online shopper knows that preparing to ship a return can be a pain.  No one loves rummaging through a garage of broken-down boxes hoping to find one adequate for use. It’s not as simple as grabbing an empty box - the package must be structurally sound and free of pre-existing labels to avoid hiccups on the road. 

Do your customers (and yourself) a favor, and make this process even easier by utilizing return-ready packaging for your orders, including resealable boxes, envelopes, and mailers.  Include pre-printed shipping labels with return addresses and packing slips to help make the process even simpler. By providing return-ready packaging, you’re ensuring that the package is right-sized for pre-paid shipping labels and services. As a retailer, you’re taking steps to avoid possible damages or loss by providing packaging options that securely protect your product while in transit. 

In short, by providing return-ready packaging, you’re taking back control of return shipments by managing several variables that may lead to costly surprises and packaging waste. 

Reducing packaging waste benefits everyone

Retailers have a unique opportunity to improve the eco-footprint left by their businesses. Environmentally friendly shipping practices can help lower emissions on the road, reduce packaging waste headed for landfills, and lower costs. To further improve your environmental impact, consider working with a sustainably minded shipping provider, like PartnerShip. We elect to work with carriers that prioritize energy efficiency in trucks and facilities, minimize air-pollution, and offer transparency through data about fuel usage and impact. 


Your No-Nonsense Guide to Dimensional Weight Pricing

June 28, 2024 at 11:23 AMLeah Palnik

If you regularly ship with UPS or FedEx, you’ve likely encountered dimensional (DIM) weight pricing whether you realized it or not. Essentially it’s a way for the carriers to charge you more for larger, but lighter, packages. And if you’re not careful, it can drive up your costs significantly.

What is dimensional weight pricing?
Dimensional weight pricing is a way to rate your packages based on density in relation to weight. What that means is that instead of rating your package purely based on its actual weight, it also takes into account how much space your package takes up on the carriers’ delivery vehicles.

How do you calculate dimensional weight pricing?
Luckily for you, we have a DIM weight calculator you can use. But if you’re curious about the formula behind it, it’s fairly simple. Start by calculating the cubic size of your package – multiply length by width by height. Then take that total and divide it by 139, which is the dimensional divisor determined by FedEx and UPS. If the resulting DIM weight is higher than your actual weight, the DIM weight becomes the weight you’ll be rated on – otherwise known as your billable weight.

DIM Weight Calculation

Let’s look at a couple simple examples. If you have a 12x12x12 box, the dimensional weight will be 12 lbs. So if you’re shipping 15 lbs. of books, your package will be rated based on the actual weight of 15 lbs. But if you’re shipping 5 lbs. of ping pong balls, your package will be rated based on the DIM weight of 12 lbs. since it’s the higher weight.

Why is dimensional weight pricing used?
UPS and FedEx want to discourage shippers from using unnecessarily large packaging, and there is one main reason for this. The larger your package is, the more space it occupies on their planes and trucks. This in turn, leaves less room for other packages. UPS and FedEx make more money and work far more efficiently if they’re able to fill up their delivery vehicles with more packages.

The history of dimensional weight pricing
Once upon a time, not all shipments were subject to DIM weight pricing. The DIM factor that FedEx and UPS use has also changed over time – and not in a way that’s favorable to shippers. While the DIM weight formula and shipment qualifications have remained steady for a few years now, there’s no guarantee that it’ll stay that way. Let this be a lesson on how important it is to stay alert on any announced changes from both carriers.

How do you avoid overpaying due to dimensional weight pricing?
The most important thing you should be doing to avoid DIM weight pricing is right-sizing your packaging. You need to consider both the size of the item you’re shipping and also how fragile it is. Items that are at a greater risk of damage will need more cushioning, which will take up more space. Try to find packaging that allows enough room for the needed cushioning, but no more. The smaller you can make your package, while still keeping your item safe, the better.

There are a few resources available that you can use to find the right packaging for the items you’re shipping. UPS has guidelines and tips on its website. FedEx also has a number of packaging guides based on the type of item you’re shipping. But beyond that, FedEx even has a Packaging Lab where you can send your packaging in for durability testing or request a design consultation to improve the efficiency of your packaging. Many of the services are free if you have an account.

Keeping your small package costs low
While ensuring you have efficient packaging to avoid DIM weight pricing is one way to help reduce your shipping costs, another is securing discounts with the carriers. That can be difficult for small and medium-sized businesses to negotiate on their own. However, when you work with PartnerShip you can access savings that are typically reserved for high-volume shippers. Enroll today to sign up for FedEx discounts.

DIM Weight Infographic

Navigating the Potential UPS Strike: How to Protect Your Supply Chain

May 25, 2023 at 2:09 PMLeah Palnik
Navigating the Potential UPS Strike: How to Protect Your Supply Chain

In today's interconnected business landscape, small businesses heavily rely on efficient and reliable shipping services to maintain their supply chains and meet customer demands. With the potential UPS strike looming, it is crucial for small businesses to understand the implications and take proactive measures to safeguard their operations. In this article, we’ll delve into the details of the potential UPS strike, why small businesses should care, and provide actionable steps to protect their supply chains during this uncertain period.

Understanding the UPS Strike

Negotiations between UPS and the Teamsters, the union representing UPS employees, are ongoing and have reached a critical point. While it is uncertain whether a strike will occur, it is essential for small businesses to be prepared for such a scenario. The Teamsters and UPS have until August 1 to reach an agreement. The impact of a UPS strike can be significant, disrupting supply chains and causing delays in deliveries, which can have far-reaching consequences for businesses of all sizes.

Implications for Small Businesses:

  • Disrupted Operations: Small businesses heavily reliant on UPS services may face disruptions in their day-to-day operations, such as delays in receiving inventory, shipping products to customers, and meeting delivery deadlines. This can lead to dissatisfied customers, decreased revenue, and potential damage to the brand reputation.

  • Increased Costs: In the event of a UPS strike, small businesses might be forced to seek alternative shipping solutions, which could come at a higher price. Exploring other shipping carrier options and securing competitive pricing now will be a necessary lifeline.

  • Supply Chain Bottlenecks: A UPS strike can cause a ripple effect throughout the entire supply chain. Suppliers, manufacturers, and distributors relying on UPS may experience delays in receiving raw materials or components, leading to production slowdowns and potential stock shortages. Small businesses need to proactively address these bottlenecks to mitigate the impact on their operations.

Protecting Your Supply Chain:

  • Diversify Shipping Partners: Small businesses should consider partnering with alternative shipping providers such as FedEx, DHL, or regional carriers. Research and negotiate discounted rates with these providers well in advance, ensuring they can handle the business's shipping volume during a UPS strike.

  • Plan Ahead: Developing contingency plans and forecasting potential disruptions is crucial. Small businesses should communicate with suppliers, manufacturers, and customers, informing them of potential delays and seeking alternative arrangements if necessary. Implementing buffer inventory or safety stock can help mitigate supply chain disruptions during this period.

  • Explore Local Sourcing: In case of a UPS strike, small businesses can explore local sourcing options for raw materials or components. This reduces the reliance on long-distance shipping and minimizes the impact of any potential disruptions in the transportation network.

  • Optimize Inventory Management: Efficient inventory management becomes paramount during uncertain times. Small businesses should analyze their inventory levels, streamline their procurement processes, and leverage technology solutions to track and manage inventory in real-time. This ensures the availability of essential products and reduces the risk of stockouts during a UPS strike.

  • Communicate with Customers: Proactive and transparent communication with customers is crucial during periods of disruption. Small businesses should keep customers informed about potential delays, set realistic expectations, and provide updates throughout the process. Customer loyalty can be maintained by offering alternative shipping options or discounts during this challenging period.

  • Control Your Costs: One effective way for small businesses to safeguard their supply chains and keep costs under control during a potential UPS strike is by exploring discounted shipping options. PartnerShip works with over 130 associations to provide members with substantial discounts on FedEx services through the FedEx Advantage program. By signing up for the program, businesses can mitigate the financial impact of a UPS strike while maintaining reliable shipping services. These discounts can help offset any potential increase in shipping costs and ensure that businesses can continue to fulfill orders and meet customer expectations without compromising their bottom line. Contact our team to find out if you qualify for the FedEx discounts and how to get started.

From Disruption to Resilience

While the potential UPS strike poses challenges for small businesses, it also presents an opportunity to reassess and strengthen their supply chain strategies. By diversifying shipping partners, planning ahead, exploring local sourcing options, optimizing inventory management, and maintaining open communication with customers, small businesses can navigate through potential disruptions and emerge stronger. Being prepared for contingencies ensures business continuity and safeguards the customer experience, even during challenging times.

Forget Boxes: When to Use Poly Mailer Packaging

April 5, 2023 at 3:04 PMJen Deming
When to use poly mailer packaging

If you’re a retailer, you probably know that there is a wide variety of packaging options available to ship your customer orders. In addition to traditional options like boxes, poly mailers are quickly becoming the preferred choice of many shippers. With perks like low supply costs and quick assembly, poly mailers sound like a rock star solution, but how can you be sure they are right for you? Looking at some very specific scenarios can help determine when to use a poly mailer.

Scenario 1 - When you need assembly to be fast and efficient

No one wants to waste time packaging shipments - and poly mailers are a great option when you want to streamline your shipping process. Unlike boxes, which require assembly, tape, and internal elements like foam core, poly mailers are ready to use right off the shelf. Once you select which mailer style to use, all you need to do is insert the item, seal the mailer, and add the shipping label. 

An added bonus is that poly mailers can streamline and simplify storage for your packing materials. They take up less space, which means you can store more of them in your warehouse. If you have limited storage space, and a smaller team to manage your shipping, these efficiencies can be a lifesaver. 

Scenario 2 - When you want to keep shipping supplies costs low

Keeping shipping supplies on hand can get pricey, especially if you need to order custom-sized items like boxes for packaging. If you’re looking to save money on supplies, poly mailers are a great option. They are typically less expensive than boxes -  on average they cost $0.25 a mailer compared to $1.25 for a box of a similar size. For extra protection, you can find bubble mailers, which have padding built in. Bubble mailers don't require additional packing materials like Styrofoam peanuts, so you're saving some money there. All types of mailers are able to be purchased in bulk, which helps with cost savings.

Another perk you get with poly mailers is that if your supplies unexpectedly run low they are easy to find at places like office supply or grocery stores. While it’s always best to keep an appropriate amount of packaging on hand, if you’re in a pinch, finding more won’t be difficult or break the bank. These factors all add up to significant savings over time, especially if you ship a moderate to high volume of products.

Scenario 3 - If you want to avoid high DIM weight charges

As many retailers know, small package carriers use dimensional weight (DIM weight) pricing to calculate shipping costs. Carriers do not like to waste space on their trucks, so shipping large, lightweight packages is a no-no. These bulky packages will cost you, and this is a significant expense that quickly adds up for many retailers. A smart way to offset these high costs is to make sure you are minimizing wasted space, and that’s where poly mailers come in. 

Poly mailers are small, thin, and flexible - they can be folded and resized to best fit the product inside. These small, dense packages allow for greater efficiency for the carrier, and will cost you less in the long run. 

Scenario 4 - When you want a specific type of protection

Poly mailers are economical and convenient, but they are not suitable for all types of products. If you’re shipping fragile items, or those too large and heavy to fit securely in a mailer, you may need to use a different type of packaging. 

When to use poly mailer packaging

Poly mailers are ideal for soft goods like clothing, bedding, purses and backpacks, and some accessories like belts or scarves and knit hats. Padded mailers that offer additional lightweight protection are great for books and printed materials, DVD and blu ray discs,  some jewelry, cosmetics and skincare items, and select types of home goods like flatware.

If you’re shipping the right items that are not easily damaged, poly mailers can offer excellent protection. They are made from durable materials that can withstand normal handling during shipping. They are tear resistant, and also offer dirt and weather protection that is ideal for small items going to residential mailboxes.

Scenario 5 - When eco-friendly shipping is important

Finally, if you’re committed to eco-friendly shipping practices, poly mailers can be a great option for your business. They are often made from fully compostable or recyclable materials. You can often drop off poly mailers at the same places that would recycle plastic bags and containers. Poly mailers are also generally lightweight compared to boxes, which is more energy efficient for carriers.

How to recycle poly mailers graphic

Most significantly, poly mailers are often completely reusable. Many options have a secondary adhesive strip that allows them to be used for return shipping of orders, or even reused by the consumer for other shipping purposes. Even those without a second strip can be folded over at the opening and secured with tape - their durable material can withstand multiple journeys through a shipping network. These factors combined make poly mailers a great choice for retailers who want to reduce their environmental impact by reducing packaging waste.

Poly mailers are a great option for retailers - when it’s the right product

Poly mailers are a versatile and cost-effective option for small package shipping, and work very well for many ecommerce retailers. They can help streamline your order fulfillment process, enforce brand awareness, and help avoid high DIM weight costs. You may be able to save even more on your small package shipping if you belong to an association or chamber that works with PartnerShip. Contact our team to find out what options are available to your business.

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Time-Saving Shipping Tips Any Small Business Can Try

March 1, 2023 at 11:54 AMJen Deming

If you're a small-business owner, you know that shipping your products can be a time-consuming and frustrating task. When you have limited resources and staff, every wasted second counts. But it's time to take action - there are ways to make small package shipping easier, and faster, for you and your business.