Logistics costs will rise in 2022, how should e-commerce sellers respond?

In recent years, the impact of the epidemic on the world, e-commerce can be said to be developing rapidly. Everyone chooses to shop online at home and avoid going out as much as possible to avoid the risk of infection. With the trend of the pandemic, will the e-commerce market continue to grow in 2022?

FedEx recently announced that express, freight, ground, and most freight rates will increase by an average of 5.9%, effective January 3, 2022.
On the other side, UPS will increase shipping rates by an average of 4.9% from December 26, 2021

In the past eight years, FedEx and UPS have jointly raised freight rates many times, and the price increase has exceeded 4.9% for the first time. Compared with the past few years, the freight rate has increased by about 11%.
The representative of the logistics company said that the increase in freight is to better serve customer service, but it does not mean that the whole industry has not returned to normal due to the impact of the epidemic.
affected by the global supply chain crisis. At present, the global supply chain crisis is still continuing, there is a shortage of containers, and shipping companies have reduced routes. In order to avoid the impact caused by the extended delivery time, air freight is faster than sea freight.

So does the increase in shipping costs have an impact on e-commerce?
The answer is yes, the overall impact of the epidemic, the shortage of chips, the rise of materials, and the rise in prices. Many sellers face costs and have to increase prices.
It is expected that the shipping fee for packages within 1-2KG (most channels) will increase by 7% on average in the next few months, and the package within 3-4KG will increase by 6%. Packages in the 5-9KG and 10-13KG ranges will see more dramatic growth, 5.8%-5.7% respectively.

How to deal with e-commerce sellers?

Optimize logistics channels, consider multiple logistics companies, and compare cost estimates.
Reduce freight forwarding costs and try multiple shipping methods. The seller can prepare enough goods in advance, some of the goods are by sea, and the sea and air are properly combined, which can save the corresponding transportation time and transportation costs.
Sellers should also consider logistics costs when selecting products, and give priority to products with smaller volumes. In addition, the packaging of products can also be optimized to reduce packaging volume as much as possible.