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Study: Merchants Unaware of Dim Weight Shipping Rates

Many merchants who ship online orders via FedEx and UPS ground are unaware of the significant changes to rates that took effect at the beginning of this year, according to Endicia.

The company, which helps businesses with USPS shipping, surveyed 700 businesses and found that 28% of online businesses hadn’t heard of dimensional weight pricing that will hit the rivals of the U.S. Postal Service.

Shipping larger, lightweight products will cost significantly more than it did in 2014, and Endicia said those businesses unaware of the changes “will probably only understand its impact once they see a price hike in their January 2015 invoice from FedEx or UPS.”

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Endicia¬†also found that 74% of the businesses they spoke to disagreed with dimensional weight pricing “because they believe it is expensive and unfair to businesses and shippers.”

While Endicia is far from unbiased, it’s interesting to note that of the 700 businesses they spoke to, 80% said they would use the U.S. Postal Service for their larger, lightweight packages.

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Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. Send news tips to ina@ecommercebytes.com.


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