SurePost Contract Ends: How Will Package Delivery Be Affected?

On August 31, 2023, the ten-year contract between the United States Postal Service (USPS) and UPS for the SurePost package delivery service officially ended. SurePost was a popular option for businesses and consumers alike, as it provided a cost-effective and reliable way to ship packages. But with the contract expiring, the future of package delivery is now uncertain.

What is SurePost?

SurePost is a package delivery service that was offered by the USPS in partnership with UPS. Under this arrangement, the USPS would collect packages from shippers and then hand them off to UPS for final delivery. This allowed the USPS to offer a more affordable shipping option compared to its own Priority Mail service, while still providing the reliability and tracking capabilities of UPS.

Why Did the Contract End?

The USPS and UPS have not publicly disclosed the specific reasons for the termination of the SurePost contract. However, there are a few possible explanations. One possibility is that the USPS was dissatisfied with the terms of the contract, particularly in light of the rising costs of package delivery. Another possibility is that UPS was seeking to expand its own package delivery services and no longer saw the need for a partnership with the USPS.

How Will Package Delivery Be Affected?

The end of the SurePost contract will have a significant impact on package delivery in the United States. For businesses, the loss of SurePost will mean higher shipping costs. UPS is likely to increase its rates for packages that would have previously been shipped through SurePost, and the USPS will likely raise its own rates to offset the loss of revenue from SurePost. For consumers, the end of SurePost will mean fewer shipping options and potentially higher shipping costs.

In addition to the impact on shipping costs, the end of SurePost will also lead to changes in delivery times. UPS is a more efficient carrier than the USPS, so packages that were previously shipped through SurePost will likely take longer to arrive. This could be a major inconvenience for businesses that rely on fast and reliable shipping.

What Are the Alternatives to SurePost?

There are a number of alternative package delivery services that businesses and consumers can use instead of SurePost. These include:

• USPS Priority Mail is a more expensive option than SurePost, but it offers faster delivery times and more reliable tracking.
• UPS Ground is a more expensive option than SurePost, but it offers faster delivery times and more reliable tracking.
• FedEx Ground is a more expensive option than SurePost, but it offers faster delivery times and more reliable tracking.
• Regional carriers such as OnTrac and LaserShip offer lower rates than national carriers, but they may not be as reliable or offer as many tracking options.

Conclusion

The end of the SurePost contract will have a significant impact on package delivery in the United States. Businesses and consumers will need to find alternative shipping options, and they should expect to pay higher shipping costs. The impact on delivery times is less clear, but it is likely that packages will take longer to arrive. It remains to be seen how the USPS and UPS will respond to the end of the SurePost contract, but it is clear that the landscape of package delivery is changing.