AxleHire Releases In-Depth Historical Analysis Of Pricing Increases By Legacy Delivery Carriers

October 10, 2023

Setting itself apart from legacy delivery carriers, AxleHire confirms it will not be raising prices for the remainder of 2023 or adding peak season charges.

EMERYVILLE, CA,  October 10, 2023  —  AxleHire, an expedited, urban last-mile delivery provider, has analyzed and reported on historical and 2024 projected pricing increases for UPS, FedEx, USPS, OnTrac, AxleHire, and others. To coincide with the findings, AxleHire is proud to announce that it will not be increasing its pricing or adding Peak Season surcharges in 2023. 

The analysis provides e-Commerce brands with an easy guide to last-mile delivery pricing increases and surcharges throughout Peak Season 2023 and leading into 2024. The analysis dives into:

  • FedEx has made a habit of boosting rates by roughly 5% or more each year over the past 10 years, with increases generally exceeding annual consumer cost of living increases.
  • While UPS’ labor costs will increase immediately by an estimated 8%-9% post-Teamsters contract, UPS has also chosen a 5.9% general rate increase for 2024.
  • Regional carrier OnTrac is implementing peak season demand surcharges this holiday season of $1.35-$6.40 per package
  • Regional delivery providers can offer same- and next-day deliveries with rates comparable to national carrier ground rates and without all the added surcharges and exorbitant annual increases that drive up the delivery price for every parcel. 

“During the holiday peak season, additional demand surcharges increase as a shipper's volume increases,” said Raj Ramanan, CEO of AxleHire. “This might be the only competitive industry where customers are penalized for using more of a provider’s product. But not with AxleHire. Despite legacy delivery providers increasing rates and imposing peak season surcharges, AxleHire is not putting this burden on our customers.”

Read AxleHire's full analysis on pricing increases here: "Legacy Delivery Carriers to Increase Pricing Again for 2024.”

About AxleHire

AxleHire is an expedited, urban last-mile delivery service that helps brands meet and exceed customer expectations by providing a superior same- and next-day delivery experience. AxleHire leverages purpose-built technology and a gig driver fleet to drive transformative outcomes that catalyze customers’ brand growth. Logistics teams can now provide a differentiated delivery experience at a competitive cost, overcoming the limitations of legacy delivery providers. AxleHire operates in urban areas across the U.S., enabling high-volume shippers to consistently cater to the rising needs and expectations of their customers. For more information, please visit