COVID-19 has stimulated an increase in residential deliveries across the U.S. As a result, FedEx is experiencing extremely high demand and increased operating costs. Therefore, you will see a rate increase on FedEx One Rate pricing effective November 2, 2020.
The new FedEx One Rate 2020 price increase base rates will increase. However, the percentage-off discounts specified in your pricing agreement will apply to these new base rates.
How much is the increase?
FedEx Pak 2nd Day is one of our most common packages. The cost for Zone 2 will go from $20.95 to $23.75, this is a 13.4% increase. Zone 4 Paks will go from $22.10 to $25.08. Similarly, this is a 13.5% increase. Conversely, if you are using Zone 2 Express Saver, the increase will be 17.8%. This is a huge increase in shipping costs for shippers.
What is FedEx One Rate?
FedEx One Rate is a flat-rate shipping pricing option that more large-volume shippers are exploring. It was introduced in 2013 for qualifying FedEx domestic shipments in FedEx packaging. Particularly, FedEx One Rate pricing is an alternative to FedEx standard rates.
What FedEx services are available with one rate pricing?
- First Overnight (8 or 8:30 a.m.)
- Priority Overnight (10:30 a.m.)
- Standard Overnight (3 p.m.)
- 2 Day (4:30 p.m.)
- 2 Day A.M. (10:30 a.m.)
- Express Saver (4:30 p.m.)
Simplified pricing – Three zones pricing tier
- Local: Zone 2 -Shipments traveling 0 to 150 miles in the U.S.
- Regional: Zone 3 to 4 – Shipments traveling 151 to 600 miles in the U.S.
- National: Zone 5 to 8:
- Shipments moving 601 miles or more in the U.S.
- Shipments from the U.S./Hawaii to Alaska.
- Shipments from the U.S./Alaska to Hawaii.
- Shipments from Alaska and Hawaii to the contiguous U.S.
- Lastly, FedEx Express intra-Alaska shipments
What other fees could I be charged for with one rate?
- In addition to the FedEx One Rate 2020 price increase, this service is subject to other charges including:
- On-call pickup.
- Saturday delivery.
- Signature options.
- Declared value.
- Address corrections.
- Account corrections.
FedEx One Rate 2020 price increase effect on your business
Many Refund Retriever clients use FedEx One Rate. This FedEx One Rate 2020 price increase is going to have a huge impact on everyone. Some clients have completely moved over to this service. Therefore, if you have questions about this increase reach out to us.