Since its founding in 1775, the United States Postal Service (USPS) has been the “postman of the United States.” But as any businessman will soon ask, is this the best postman? In some ways, the USPS is like the ancestors of the United States, winning allegiance solely on its historicity. However, if you care about the hard facts of shipping, it’s time to give up patriotism and get into the numbers game. According to logistics software, USPS has a strong competitor in United Parcel Service (UPS). But to understand who offers the best shipping rates and why it helps to consider how each of them does business.
The shipping rates of the U.S. Postal Service are often referred to as “flat rates”. But this is not true. When delivering a package to your preferred post office in the United States, the price to ship will depend on the weight, size, and travel distance of the package. The “weight” of a package refers to the weight of the ruler, but the size of the package is used to determine the “dimensional weight” (DIM). DIM is calculated by adding the length and width of the package. The maximum dimensional weight allowed by the USPS is 130 inches and the maximum shell weight is 70 pounds.
Like the U.S. Postal Service handles the U.S. Parcel Service literally measures the weight and size of parcels. However, it has been approved by the USPS by allowing a maximum shell weight of 130 pounds and a maximum dimensional weight of 165 inches, and it also offers a discounted rate for heavier packaging. It is further different from USPS in that it will not change for acknowledgment of receipt. The debate about which carrier provides faster transport has become a nationwide event, supported by various statistics. But UPS does not charge for the confirmation of the delivery, this is the second point.
Another advantage of UPS shipping is that UPS shipping costs can be calculated online. The same is true for USPS shipping, but there is a significant difference: USPS does not offer free account billing online. This is the third point of support from UPS.
While it may sound like UPS is just a better parcel carrier, it isn’t, at least not if you think USPS is regulated by the government. The main impact of government regulation on companies is that companies do not have the same financial autonomy as non-regulated companies. In other words, government-regulated companies cannot offer you “unforgettable deals” or “the best prices ever” as a strategy to beat competitors. When a regulated business loses customers, it won’t slash prices drastically to win them. It raises interest rates to keep profits up.
If this seems stubborn, it is. However, due to the reputation of the USPS, the same is true. If you are looking for the best transport price for your business and want more data for analysis, using logistics software or consulting a logistics expert is the best choice. In addition to drawing price charts, logistics can also determine the fastest carrier to ship packages pertaining to your specific location