(GMA) — It may not be too early to start planning your holiday shopping; several mail carriers across the country announcing shipping price increases heading your way in the coming months.
FedEx, UPS and the United States Postal Service (USPS) all announced temporary peak surcharges and fees coming later in the fall that will affect the upcoming holiday season.
FedEx announced a $1.50 per piece price hike for ground economy packages, while the USPS announced between a $0.25 and $5 price hike, depending on the product and its weight. These surcharges are taking effect between October and January of next year.
The increase in prices comes a year and a half after the pandemic started, leaving mail carriers to deal with labor shortages and increased demand due to online shopping.
Chief Research Officer of H Squared Research Hitha Herzog said, “The real challenge comes from how the products are getting to the stores. So, while the CEO of Target can say they have two billion dollars worth of inventory coming to the stores, no one is addressing how that product is getting to the stores. There aren’t enough truck drivers…cargo trains…so it becomes a logistics issue.”
These new delivery surcharges are adding pressure to retailers across the country as they must decide whether to absorb these price hikes or pass them on to the consumer.
The best way to beat the shipping trouble this holiday season is to buy early and plan ahead.
Remember, lots of sales are ahead with Labor Day around the corner. It might not be a bad idea to use that time to check a few people off your shopping list if there are any deals on their wish list.