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<h1 style="margin-bottom:var(--wp--custom--spacing--medium, 6rem);" class="alignwide wp-block-post-title">Carriers Navigate New Levels of Efficiencies, Optimization, and Expansion Preparing for Peak Season and Beyond</h1>

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<h2 class="wp-block-heading">Industry<strong> </strong>Outlook</h2>

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<p><strong>Parcel and LTL carriers alike are seeking new levels of efficiencies, optimization, and expansion to overcome increasing E-Commerce demand and rising capacity constraints – both of which are highly anticipated to continue into 2021.</strong></p>

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<p>Carrier earnings remain positive, though it’s clear network and technology investments are needed to provide capacity support to shippers of all sizes. General rate increases, COVID-19-related and peak season surcharges, as well as longer term contracts seem to be viable strategies for carriers to manage capacity commitments and spikes. Shippers willing and able to work collaboratively/creatively with carriers to avoid overwhelming carrier networks throughout peak season may find themselves rewarded.</p>

<p><strong>Though no specific shipper strategy has arisen this month, many of the previous strategies remain applicable, including:</strong></p>

<p>carrier diversification as a means to fortify capacity throughout peak season (or beyond), as well as the reimagining of Last Mile Delivery via In-Store and/or Curb-Side Pick Up, and planning/communicating marketing-coordinated sales earlier during peak season (vs. the holiday week).</p>

<h2 class="wp-block-heading">Parcel Carrier News</h2>

<p><strong>FedEx announces very positive Q1 2021 YOY earnings per share. While recognizing the growth from E-Commerce due to COVID-19, the carrier noted the importance of working collaboratively and creatively with large shippers to help overcome and smooth out capacity/demand constraints, while also protecting recovering small and medium shippers. Due to the unpredictability of COVID-19, FedEx is notably not sharing a 2021 earnings forecast.</strong></p>

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<p><strong>UPS continues to pursue mantra, “better not bigger,” with laser-focus on reducing expenses and network optimization via new employee buyout and expansion plans. Carrier also welcomed new eBay partnership, as E-Commerce giant begins shifting volume away from USPS, and expanded outreach to small and medium shippers through a new solution from child company, Ware2Go.</strong></p>

<p><strong>General Rate Increases</strong></p>

<h3 class="wp-block-heading">LTL Carrier News</h3>

<h2 class="wp-block-heading">Shipping Industry Trends</h2>

<p><strong>DHL Logistics Trend Radar Report</strong></p>

<p><strong>The Amazon Effect</strong></p>

<p><strong>Fuel Trends</strong>: <strong>Though supply remains, a decrease in global demand lowers the price of fuel amidst continuing COVID-19 uncertainty.</strong></p>

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Carriers Navigate New Levels of Efficiencies, Optimization, and Expansion Preparing for Peak Season and Beyond

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