UPS Authorized Shipping Outlet questions

Discussion in 'UPS Discussions' started by cyon, Sep 1, 2013.

  1. cyon

    cyon New Member

    Hi everyone,

    So I am thinking of opening package / mail receiving parcel business. Now my questions are:

    1. Do I HAVE to become an authorized shipping outlet for UPS to accept delivery of any UPS packages?
    2. This business will also accept packages from other couriers (ie. FedEx, DHL), will this pose a problem?
    3. Can UPS blacklist my location and misdirect / redirect all packages going to this location to hold for pickup or return to sender?

    The location I'm planning to open at has 5 other parcel receiving locations and the word on the street (from the realtors) is that UPS will not issue any more authorized shipping outlets in that area, which would lead me to questions 1 and 3.

    Any help, feedback is appreciated!!

    Thanks.
     
  2. browned_out

    browned_out Member

    Sounds like UPS would not allow a UPS Store to open at your location, I think in your situation, you could open an account with UPS to pick up any packages that you want to ship. UPS cannot black list you for deliveries, if you have P.O. Boxs or clients that want there packages sent to your location we would deliver them to you.
     
  3. cachsux

    cachsux Wah

    I would be more concerned about being the 5th shipping store in the area unless you're in a big city.
     
  4. Funfact

    Funfact Well-Known Member

    Why don't you contact UPS and get the real answers. I wouldn't think UPS would care they are going to be making money whether you or someone else are the authorized shipping outlet. The problem you need to research before you put up the money would be is there a need for another shipping outlet ???

    Wanting to open a shipping outlet that you speak of and there being enough business for one are two totally different things especially when the prices that each one can charge for the same services are pretty much identically.
     
  5. cyon

    cyon New Member

    I've tried calling them. Twice actually. They told me Business development will contact me by the end of next business day. And both attempts were last week and I never received a call of any sort. I'll have to call again and see the respective party to speak to.

    Is there a need? Not necessarily, but I do think I can do it better and redirect business from existing locations.

    One thing I worry is the delivery blacklist if UPS does not approve us for being an authorized outlet due to saturation or whatever reason they want to give me, they would refuse to deliver to our location.
     
  6. cyon

    cyon New Member

    So I take it that regardless of the outcome of me being an authorized shipping outlet or not. If I have the customers permission to accept a package for them, UPS would not attempt to blacklist my location for any sorts of delivery?

    Is there a system in place or a superior perhaps that can black list your delivery location? (ie. prevent from delivering anything there)
     
  7. worldwide

    worldwide Active Member


    How close is the closest The UPS Store location to where you want to open up? I can't imagine granting "authorized" status if there is a The UPS Store location nearby (by their definition). How close is the nearest Fedex Office? They probably would not want you too close either.

    You also are competing with two UPS Authorized Resellers - WWE and Unishippers.

    Seems like a tough way an earn a buck. Best wishes whichever you decide.
     
  8. Funfact

    Funfact Well-Known Member

    Keep calling the squeaky wheel gets the most grease.
     
  9. Funfact

    Funfact Well-Known Member

    UPS won't blacklist for receiving any packages if they are addressed to your address or prevent you from getting a shipping number and ship packages out. The problem your going to have is being able to charge your customer enough above and beyond what UPS is going to charge you to ship a specific item depending on weight, size, and delivery destination and still have customers and stay open.

    Your also going to have a problem with liability.
     
  10. FSGimp

    FSGimp New Member

    Yeah, business development should definitely be contacting you, at least with a yes/no if they're able to open up the possibility for you to be an ASO... Assuming yes, with previous things mentioned such as price and liability, typically you'll be given an aso account where your costs are lower than what a standard walk-in would pay, depending on volume you might bring will determine the contract the sales rep writes up. Plus most I understand get a benefit payment in return based on volume thresholds. At least some I've worked billing for did.

    As far as liability, as long as the end of day is signed for tracers and its not a return label that has no scans (hello T-Mobile returns labels... usually they never give their customer the right label/tracking number) the claim gets paid for lost packages. Damages are so long as you follow the guidelines for the contents, they're paid. Plus anything with the default declared value of $100 is waived and instapaid (unless there's a common pattern going, then claims may not be paid, but A/E's can still push through a service recovery with the right approval).
     
  11. cyon

    cyon New Member

    There are no UPS Stores in the area, not within 15mi at least. Neither is there a Kinkos, or FedEx Office.

    Interesting idea, maybe I'll get in touch with WWE and Unishippers and see what they say / can offer. Thanks!
     
  12. cyon

    cyon New Member

    I'm not too worried about the shipping issue, more so the parcel receiving bit. If I can clarify that, then I'm golden.

    I'll definitely have to call them some more and get somebody from the business development team to give me a heads up.
     
  13. cyon

    cyon New Member

    is ASO the same as a UPS shipping account? Because I do already have a shipping account (for another business) that has a discount applied to it whenever we ship things out. Because I thought ASO is completely different, being able to process packages and ship via UPS, accept prepaid UPS packages for shipping, etc... I wouldn't able to do those if I'm not an "authorized" shipping outlet no?

    In either case, whether I'm granted authorized status or flat out rejected, would I still be able to receive delivery of UPS packages?
     
  14. Monkey Butt

    Monkey Butt You can call me Chappy Staff Member

    Yes you can receive packages and I would suggest having the business name your name and the contact name the person actually receiving the package.

    No ... the recognition as an ASO (Authorized Shipping Outlet) is by UPS and usually provides some flexibilities and tiered discounts and advertising collateral.

    The key here is Authorized in the ASO - many stores do this but never bother to get ASO status.

    Google "UPS ASO Program"

    ​Check out:
    How to Become an Authorized Shipping Outlet for UPS: 10 Steps

    Check out here on UPS.com:
    UPS: Authorized Shipping Outlets
     
  15. SnakePlissken

    SnakePlissken Member

    I turned in a sales lead because I had a shipping business want to be a strictly UPS location, but I was told that they were too close to an Office Depot (about a mile or so away) and therefore wouldn't allow them to be an "authorized" shipper. So they now have a Fed-Ex banner out front for all the world to see. This shipper was also in close proximity of a USPS annex location. There is no UPS Store in my town either.

    However, in the city in which I work my route, a UPS Store opened within walking distance of an already established Office Depot authorized shipping location.

    I was like WTF? So I quit submitting sales leads from then on.

    So I would just call UPS and find out straight from the horse's mouth as it were-- because the answer could be anything under the sun it seems.
     
  16. BrownSuit

    BrownSuit Active Member

    1. Somebody mentioned 15 miles, it is not simply from an existing UPS Store, but any other Authorized Shipping Outlet. Check out UPS.com under locations. There are additional requirements, but this is the one that stops most.
    2. For an Authorized Shipping Outlet, it would not, for a UPS Store it would
    3. If you are not an Authorized Shipping Outlet or an Authorized Reseller of UPS's Products and Services, UPS can cancel your account and take legal action against you for operating. If you do not qualify, I would not recommend wasting your time. Beyond issues that some might seem complex (claims and liability) there is also an issue should somebody bring in a package with a substance that you are not legally able to ship or cannot ship without contracts (drugs, alcohol, tobacco, hazmat), but even more legally dangerous is when somebody asks you to ship a package to an international destination with contents that are illegal for import into that country. There is also a 'Known Shipper' issue with the TSA if you are processing packages for somebody else without appropriate approvals, imagine if somebody ships a bomb or just as bad - improperly package lithium batteries.

    Take some time and research what similar business owners are experiencing. There is a perception out there that this is a big profit center, it is NOT. I would find another business venture, like a Pizza or Fast Food Franchise.
     
  17. Call 1800. GO FEDEX!
     
  18. BrownSuit

    BrownSuit Active Member

    While on the phone, be sure to ask how the FedEx Office operating company is doing within FedEx Corporation. FedEx has taken write-down after write-down on their own packaging model. As I said in my earlier post, this is NOT a profit-center. If there were some magical formula by which people could open up pack and ship stores and make millions of money, there would be a UPS Store and FedEx Office on every corner. FedEx tried a similar model long before they acquired Kinkos. IT DID NOT WORK. There is a reason that UPS Stores are franchises and not a wholly owned subsidiary of UPS.
     
  19. cyon

    cyon New Member

    Now assuming I don't quality to be a Authorized Shipping Outlet with UPS, however, I do qualify to be an Authorized Ship Center with FedEx, I would then be able to accept packages and ship only via FedEx. This doesn't conflict with just parcel or package receiving from any couriers (ie. DHL, FedEx, UPS, USPS) correct?
     
  20. cyon

    cyon New Member

    Would anyone happen to know the direct line to business developments at UPS?