![]() Most read the headlines, or the email from their carrier rep, and think all their rates are increasing at 5.9%. Meanwhile, Ground and Two-Day services fall in line with the GRI. Because FedEx is one of only two national carriers, these are the services that distinguish them from the competition and thus have rates that can accelerate at higher clips. ![]() In the next chart, you can clearly see FedEx is more aggressive on Priority Overnight and Standard Overnight services, with increases ranging from 1-2 points higher than the GRI. Yearly minimum charge increases can have a dramatic impact on your shipping costs. For example, even if you have a 100% discount, you would pay $10.10 for a ground shipment in 2023, or $10.70 in 2024, without negotiating minimum concessions. ![]() The floor price gives additional protection to FedEx from any discounts it has already conceded. For shippers with existing discounts, the minimum charge or floor price operates hand in hand with the rate increase. ![]()
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