FedEx is raising express shipping fees

surfn · Dec 3, 2007

FedEx announced today, they are raising their shipping rates for express and ground shipping starting January 7, 2008.

Express shipping is going up by 5% on all standard service packages.

All other special service fees are also going up (like requested signatures, insurance etc.).

http://www.fedex.com/us/rates2008/

turbois300 · Dec 3, 2007

Ouch....thats gonna hurt some folks.. I wonder if other carriers are going to follow suit?? I imagine stamps will be .50 before too long..

Zoanuts · Dec 3, 2007

They all are going up in the very near future. DHL is following soon and UPS already charges more than both of them so they will be along shortly.

shred5 · Dec 3, 2007

Prices have been going up since gas prices have been rising. Its called a fuel surcharge.

Dave

surfn · Dec 3, 2007

shred5 said:
Prices have been going up since gas prices have been rising. Its called a fuel surcharge.

Dave

via FedEx's website:

FedEx Express package and freight rates will increase an average of 6.9% for U.S. and U.S. export services. The fuel price at which surcharges begin will be adjusted effective January 7, 2008, resulting in a 2.0% overall fuel surcharge reduction and a net average rate increase of 4.9%.

shred5 · Dec 3, 2007

surfn said:
via FedEx's website:

Not sure what your point is?

Dave

Hypertek99 · Dec 3, 2007

I wonder if all the vendors are going to raise their shipping prices also???

Reef Goddess · Dec 4, 2007

Actually they raise their prices a little each year. Most of us that ship a lot get pretty heavy discounts so its not that big of a deal. I actually think USPS raising the price of stamps every year is more because I don't know if you get any discounts shipping with them.

What is more likely to drive up the cost of corals is freight charges on trans-ship orders, because those have definately gone up.

All the more reason to grow your own. ;]

EliteReefs · Dec 4, 2007

Reef Goddess said:
Actually they raise their prices a little each year. Most of us that ship a lot get pretty heavy discounts so its not that big of a deal. I actually think USPS raising the price of stamps every year is more because I don't know if you get any discounts shipping with them.

What is more likely to drive up the cost of corals is freight charges on trans-ship orders, because those have definately gone up.

All the more reason to grow your own. ;]

agreed. the only vendors that you will see raise prices are either the small time vendors or the ones that are just taking advantage of the situation. shipping is not nearly as much as some places would like you to think.

as fot the trans shipping thats a big problem IMO. AS this hobby is getting mroe and more popular the prices from the collectors has gone up by leaps and bounds. i still make a great profit amount but not even close to what i used to.

NapoliNewJersey · Dec 4, 2007

My sister works for FedEx freight ... She gets 75% off express shipping ... which means I get 75% off express shipping.

Azurel · Dec 4, 2007

Gas prices are not higher then they were last time the prices went up so to say the cost of gas has increased is causing the increase of shipping is a farce.

shred5 · Dec 4, 2007

Azurel said:
Gas prices are not higher then they were last time the prices went up so to say the cost of gas has increased is causing the increase of shipping is a farce.

Gas surcharges came into effect several years ago and before that they were never there. So in effect they are a way of raising prices. They are now tacked onto everything including airline tickets. If they want to sneak a cost increase through now all they have to do is raise the surcharge. And gas price are much higher than they were at the same time last year. Gas prices are now higher than they were last year, they may not be higher than they were this summer though. Gas prices have seasonal changes and they are typically lower at this time of the year and start to rise toward the beggining of summer. Fact is a surcharge is a price increase and did not exist several years ago.. what ticks my off the most is they are nto quoted in the price but are tacked on like a tax. Call ups or fed ex and ask how much it is to ship a package and then show up and find out the cost is higher or look up the price of a airline ticket..

Dave

Azurel · Dec 4, 2007

I know, the last time they said they were raising prices because of gas was when it hit $3 a gallon. Well the "surcharge" never came back down and gas is at $3 a gallon still and to say the cost of gas is the reason is a farce, it doesn't cost any more then it did the last time there were price increases. Gas has been within a $.50 point range for the last year and a half, what they are doing is getting ahead of the possible increase of gas because the price per gallon is a lagging indicator. It takes the price of gas longer to adjust then the price per barrel. Kinda funny how the price per barrel has gone up another $15-$20 and the price gas has not increased anymore then what it was. So they are just getting ahead of the game in case the per gallon price goes up from here.

reefboy · Dec 4, 2007

Actualy there all raising prices im going to have to raise our prices first of the year on our shipping.

Reef Goddess · Dec 4, 2007

The only thing I may have to raise prices on is my cooler boxes, because my supplier raised those $1 more. sigh...

twon8 · Dec 4, 2007

Azurel said:
I know, the last time they said they were raising prices because of gas was when it hit $3 a gallon. Well the "surcharge" never came back down and gas is at $3 a gallon still and to say the cost of gas is the reason is a farce, it doesn't cost any more then it did the last time there were price increases. Gas has been within a $.50 point range for the last year and a half, what they are doing is getting ahead of the possible increase of gas because the price per gallon is a lagging indicator. It takes the price of gas longer to adjust then the price per barrel. Kinda funny how the price per barrel has gone up another $15-$20 and the price gas has not increased anymore then what it was. So they are just getting ahead of the game in case the per gallon price goes up from here.

while the cost of gas may be the same, oil has gone up about a large percentage, and that is the factor pointed to. you have to figure in jet fuel, plastics, gas and the effect these have on shipping.

Azurel · Dec 4, 2007

What does that have to do with a carrier shipping my product? The fact that oil is $92 a barrel and the fact that gas per gallon is relatively the same don't equate to an increase in a "fuel surcharge". Now if they come out and said that cost across the board have gone up in supplies etc....That is one thing but to say that the cost of gas is the reason is non-sense. I can understand with oil going up and that influencing the price of petroleum products other then fuel I can agree to that no problem..... I guess if you look at it like with FedEx they are dropping the Fuel surcharge a few percent and making it up on supply and delivery cost.......

J. Montgomery · Dec 4, 2007

They just don't want to say, "The economy is in a slump and we're getting less business so we're increasing the cost to you in order to compensate. Thank you for choosing FedEx and have a nice day."