UPS is going to charge more to ship stuff during the busy holiday season, which means your online shopping might end up costing a little more.
The shipping company announced these new peak charges Monday, which include extra per-package fees during a few weeks in November and December for anything that's being shipped to a residential home.
– From Nov. 19-Dec. 2, UPS will add a 27-cent charge on all ground packages sent to homes – so that includes anything shipped around Black Friday (Nov. 24 this year) and Cyber Monday (Nov. 27 this year).
– From Dec. 17-Dec. 23, UPS will charge 27 cents more for each ground package; 81 cents more for anything shipped next-day air; and 97 cents more for two- or three-day delivery.
These extra costs could go to you
Obviously, if you ship things via UPS over the holidays, you'll have to pay more. But it also might cost you more when it comes to shopping online.
Some retailers, including Amazon, Macy's and Walmart, rely on UPS to ship packages, The Wall Street Journal reports. So when you order something online during these peak times, it'll cost those retailers more money to ship your purchase.
It's not yet clear what retailers plan to do, but they could decide to raise what they charge customers for shipping, NPR says. Or, the Wall Street Journal explains, retailers may try to avoid UPS' new charges by having their big holiday sales outside of the peak times listed above.
Free shipping tends to be pretty important to online shippers.
A UPS study released in 2016 found 73 percent of people surveyed said free shipping is the most important factor in customer satisfaction. Although, half of shoppers said they would pay a premium for faster shipping for birthdays and other holidays.
GoMN has reached out to a few retailers for comment about what they may do, but hasn't heard back.
Why is UPS raising its prices?
On a typical day, UPS handles 19 million packages. During the peak holiday season, that jumps to more than 30 million daily, UPS says.
Dealing with that many more packages comes with some added expenses, like hiring more employees and paying premium rates for more air and truck cargo space. To help offset some of those costs, UPS decided to add these surcharges.
In addition to the per-package fees, UPS is also charging more for large packages and ones that come in over maximum limits. For details on those charges, click here.