The service, which used to rely on the USPS before a breakup this year, posed challenges for UPS in Q2 due to higher-than-expected costs.
- UPS has “reengaged” with the U.S. Postal Service on a potential delivery arrangement for UPS Ground Saver, a service that once relied on the agency, CEO Carol Tomé said on an earnings call Tuesday.
- UPS Ground Saver, formerly known as UPS SurePost, is focused on providing low-cost shipping in exchange for slower delivery speeds. The offering used to frequently hand off millions of packages to the U.S. Postal Service before UPS this year opted to keep the volume in-house due to cost and reliability concerns.
- “There’s new leadership there, they have excess capacity, so we’re working through a number of different positions on Ground Saver,” Tomé said. “We don’t know the outcome of that yet, but we expect to know that hopefully in the quarter.”
