You may want to be careful which companies you order gifts for this holiday season. According to the Wall Street Journal, UPS told its drivers to stop picking up packages from six retailers, including Nike and NewEgg. The companies in question appear to have reached the shipping company̵
As reported by the Wall Street Journal, the news comes to UPS Drivers via internal messages. Several drivers have confirmed the message and UPS itself does not deny the report. The memo states that drivers should stop picking up packages for Gap, LL Bean, Hot Topic, Nike, Macy’s, and Newegg without exception.
In a statement to CNBC, the shipping company explains that UPS has “specific capacity allocations” for its customers during the holiday season.
“We’ve worked with our major retail customers to make sure they know how much capacity is available to them,” said Glenn Zaccara, UPS media relations director. “When demand exceeds planned allocations, UPS” will work with our larger customers to ensure volume is picked up and delivered when more capacity becomes available in our network. “
Many retailers, including Amazon, Dell and Best Buy, started “Black Friday” well before Thanksgiving this year. The idea was to spread sales and encourage shoppers to make online purchases to avoid overcrowding in brick and mortar stores. Many shoppers have followed our advice to order gifts as soon as possible to avoid shipping delays this year.
While UPS does not confirm or deny that it cut off the six retailers from shipments, what it says seems to explain the situation. The company can only ship a limited number of packages; resources are finite. In order to maintain a level of “fairness” with retailers large and small, each has a maximum number of shipments it can request during the holiday season.
That should help the company say no to shipping packages to a smaller company because a larger retailer shipped too much for UPS. It appears that Gap, LL Bean, Hot Topic, Nike, Macy’s and Newegg are hitting UPS’s limits, and that could cause delays for the companies.
For now, it is not clear how quickly UPS will pick up packages for the company again. It’s safe to assume that the companies will turn to other options such as FedEx and DHL, but if sales are strong those companies could in turn be overwhelmed. If you were planning to order shoes directly from Nike, or computer parts from NewEgg, consider alternatives to get your gifts on time.
You may want to turn to another source or marketplace for your gifts or check what shipping options the companies offer during checkout. One thing is for sure, don’t delay ordering your presents online if you want to receive them for Christmas. And don’t wait to contact customer service either. Everything is taking longer this year.
via Wall Street Journal