Surprise! Holiday packages move on time

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According to data from ShipMatrix, a software provider that works with parcel shippers, all delivery of packages through the UPS, FedEx and US Postal Service moves with 100% time efficiency. It’s a pleasant surprise for those who expect all three services to be well-prepared for the holidays.

“If you act at the peak, it’s huge,” said Satish Jindal, head of Shipmatrix. “I was expecting [the performance rate] Must be in the mid-90s. “

Jindel attributes better results than expected to three factors.

“One [that] Carriers added capacity, “he said.” Second, more consumers are buying in stores this year than last. Going to the store helps to get the goods going rather than going home. Third, people got a lot of exposure about supply chain challenges by having ships sitting outside ports. Many did not want to risk delay, so they pre-ordered or shopped. “

In a survey conducted for UPS earlier this year, 91% of consumers said they planned to finish their holiday shopping a week before Christmas, compared to 81% last year. 60% of consumers aim to finish shopping two weeks before the holiday, up from 52% in 2020, while 25% said they plan to finish their list before Black Friday.

Jindel said all three major delivery services have made large investments in increased capacity over the past 12 months.

One year ago, all three were hit by a sharp rise in export volumes FedEx (FDX)For example, it said its 2020 deliveries were 24% higher than the 2019 volume. This put the shipment size beyond the capabilities of the services and extended them to the point of breaking down their systems.
UPS (UPS) It added 2 million square feet of automation facilities, as well as equipment to process 130,000 more parcels per hour than it could handle last year. The Postal Service said it had added 13 million square feet of space in more than 100 locations, including more than 50 connections, and installed 112 new package sorting machines.
All three delivery services have brought in tens of thousands of seasonal workers, employing more permanent and full-time staff despite labor shortages.

This year Jindel said that overall exports would be much lower than by 2021 perhaps the lowest single-digit increase in the industry as a whole. But increased efficiency will make handling that size much smoother.

Even so, owning one is still beyond the reach of the average holidaymaker.

Some items are not yet in stock and you will not be able to start the trip to buyers’ homes or nearby stores during the holidays.

But Jindel said the data shows that shipping companies are hitting the promised delivery time. However, it is better not to wait to order or send gifts. The Postal Service recommends that non-express packages be delivered by this Wednesday and that first class packages weighing less than one pound be delivered by Christmas by this Friday.

All three carriers report that their delivery networks are running smoothly, all of which report increased package volumes.

In the supply chain dream the glimmers of hope are revealed

The Postal Service said it expects to deliver between 850 million and 950 million packages between Thanksgiving and Christmas this year. This gives the USPS the opportunity to surpass the record 925 million parcels delivered during the 2020 vacation, and will certainly top the 810 million packages of service provided during the pre-epidemic holiday season of 2019.

UPS said it was forecasting a volume increase from last year’s record level, although it has not yet provided specification. In the first nine months of this year the daily domestic package volume in UPS increased by 2% from 2020, increasing by 15% from the first nine months of 2019.

FedEx expects to handle 100,000 more packages this holiday season than it did in 2019.

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