UPS and Stamps.com Sign Agreement to Reduce Shipping Costs for Thousands of Online Merchants

UPS Delivery Person
UPS

Stamps.com and UPS have signed an agreement to offer discounted shipping to over 740,000 Stamps.com customers.

This agreement covers all Stamps.com customers, including merchants who use Stamps.com owned brands ShipStation, ShippingEasy, ShipWorks, and Endicia.

This agreement is part of a strategy by UPS to expand its services to leading ecommerce digital shipping platforms through the carrier’s UPS Digital Access Program.

The UPS Digital Access Program helps ecommerce platforms provide a comprehensive suite of order management, fulfillment, and delivery services to simplify logistics complexity.

“By embedding UPS natively into popular e-commerce platforms, merchants will get the breadth and reliability of UPS’s services to more than 220 countries and territories. More small and medium-sized businesses (SMBs) will now have access to UPS, helping them offer industry-leading delivery commitments and leveling the highly competitive e-commerce playing field.”

Kevin Warren, Chief Marketing Officer at UPS

First Major Step for Stamps.com Shift in Strategy

For Stamps.com, this agreement with UPS is an essential step in its strategy to become less dependant on the United States Postal Service.

Earlier this year, the company discontinued its exclusive partnership with USPS as it announced a significant shift for its future.

As the demands for faster delivery become important even for small and medium-sized online merchants competing with larger retailers such as Amazon and Walmart, Stamps.com had lost faith in the USPS to handle this demand.

With this new agreement, Stamps.com is following up with tangible progress to expand its relationships with other carriers to offer better and faster shipping services to its customers.

The stock price of Stamps.com surged 24 percent on the news of this new agreement as investors became more confident of the company’s forward strategy without an exclusive contract with USPS.

Are you a customer of one of the Stamps.com brands of shipping platforms? How do you view this change and the new agreement with UPS?

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