UPS slaps shipping limits on Gap, Nike to manage e-commerce surge - Marketwatch
Delivery giant instructed drivers not to pick up some packages on Cyber Monday as pandemic fueled online shopping
United Parcel Service Inc. imposed shipping restrictions on some large retailers such as Gap Inc. and Nike Inc. this week, an early sign that the pandemic-fueled online shopping season is stretching delivery networks to their limits.
The delivery giant UPS on Cyber Monday notified drivers across the U.S. to stop picking up packages at six retailers, including L.L. Bean Inc., Hot Topic Inc., New Egg Inc. and Macy’s Inc, according to an internal message reviewed by The Wall Street Journal and confirmed by UPS workers in different regions. “No exceptions,” the message said.
The move comes during a holiday season when retailers are increasingly dependent on delivery companies to move online orders as store traffic plummets during the coronavirus pandemic, a dynamic that has shifted power significantly. UPS and rival FedEx Corp. have raised prices and promised to hold merchants to volume agreements.
Delivery giant instructed drivers not to pick up some packages on Cyber Monday as pandemic fueled online shopping
United Parcel Service Inc. imposed shipping restrictions on some large retailers such as Gap Inc. and Nike Inc. this week, an early sign that the pandemic-fueled online shopping season is stretching delivery networks to their limits.
The delivery giant UPS on Cyber Monday notified drivers across the U.S. to stop picking up packages at six retailers, including L.L. Bean Inc., Hot Topic Inc., New Egg Inc. and Macy’s Inc, according to an internal message reviewed by The Wall Street Journal and confirmed by UPS workers in different regions. “No exceptions,” the message said.
The move comes during a holiday season when retailers are increasingly dependent on delivery companies to move online orders as store traffic plummets during the coronavirus pandemic, a dynamic that has shifted power significantly. UPS and rival FedEx Corp. have raised prices and promised to hold merchants to volume agreements.
