Surviving 2020 presented a unique challenge for many. Making it to 2021 encompassed the primary goal for many in the transportation and shipping industry. As the new year arrived, the question became how to best prepare for what the shipping mode options and TMS solutions hold for the year ahead?
Parcel Rates Will Increase as E-Commerce Continues Growing
Normal fluctuations in rates hover around the 4-5% mark for the shipping industry. But 2021 stands poised to be anything but an average year for shipping mode rates. According to Transportation Insight, “Beyond the average increase on standard services, it is also important to recognize that surcharges, accessorials, new fees and tweaks to the carriers’ terms and conditions could require you to budget a 2021 cost increase closer to 8.5%. Capacity pressures created by exponential e-commerce growth during the pandemic and uncertainty about mid-year or peak surcharges for 2021 creates an environment of unknowns.” Watching and monitoring shipping rates and trends must remain a key focus in 2021.
Truckload Shipping Mode Rates Will Begin to Settle, Though They May Still Remain Somewhat Unpredictable
Ocean Freights Will Sway Based on the Continued Developments of the New COVID Variant
Airfreight Rates Will Continue to Fluctuate and Hinge Largely on COVID Distribution Across the Market
Mitigating the effects of these increases and fluctuations in shipping mode rates will require vital networking and cooperation across the supply chain. Coupled with a continued focus on the COVID pandemic and how responses are managed and monitored across the global supply chain network, logistics trends in 2021 will likely see airfreight rates vary throughout the year.