The U.S. Postal Service (USPS) has reached an agreement with transport consultancy ShipMatrix Inc. to provide high-volume parcel shippers with badly needed delivery capacity heading into a space-constrained peak holiday shipping cycle, ShipMatrix said Monday.
Under the initiative, which kicks off Monday, Warrendale, Pennsylvania-based ShipMatrix will connect its universe of large shippers and third-party logistics (3PL) providers to the USPS’ vast transportation infrastructure in an effort to assure capacity for all parcel users during the peak period. The program, called ShipMatrix First Class Parcel Service, will be available to e-commerce shippers using USPS’ door-to-door delivery products such as its First Class Parcel Service (FCPS) and Priority Mail, ShipMatrix said. USPS manages the entire delivery process for both products.
The new program will focus on small, lightweight parcels that can be placed inside mailboxes, where USPS has a monopoly. Satish Jindel, founder and CEO of ShipMatrix, has long advocated that USPS restrict its parcel deliveries to pieces weighing less than 5 pounds and are small enough to fit inside a mailbox. About two-thirds of all residential parcels fit that physical profile, according to ShipMatrix data.
Deliveries that require letter carriers to leave their vehicles to drop off larger parcels on a customer’s property are a waste of time and money, and are not the types of packages USPS should accept, Jindel has said.