A Business Owner's Guide to Strategic Shipping with UPS Canada
Published on September 27, 2023
As e-commerce continues to flourish, understanding the nuances of shipping with major carriers like UPS Canada is essential for any business owner.
In the Buster Fetcher Shipping Report, we analyzed an astounding 1,823,443 packages sent and delivered by Canada Post, UPS, FedEx, and Purolator during the second quarter of 2023. Today, we are eager to share our insights about UPS Canada.
As a global leader, UPS handles an average of 24.7 million packages daily, boasting a global revenue of $69.4 billion in 2020 on a volume of 6.3 billion packages and documents.
In this guide, we will delve into our analysis of UPS Canada's shipping trends and provide you with strategic insights to optimize your shipping processes. Let’s begin!
How Long Does UPS Take To Deliver a Package?
Shipping times are a crucial factor for businesses, as timely deliveries can significantly impact customer satisfaction.
With the right choice of shipping service, businesses can optimize their delivery times and ensure that their customers receive their packages promptly.
In Canada, there are several options for parcel delivery, with Canada Post being the leading service provider. According to a 2020 survey, 24% of all parcels in Canada were shipped through Canada Post, followed by UPS with a 15% share.
Despite being the second most popular service, UPS offers a variety of shipping options that cater to different delivery time requirements.
Let's take a closer look at the delivery times of two of UPS's most commonly used shipping services: UPS Standard and UPS Express Saver.
How long does UPS Standard shipping take?
UPS Standard is one of the popular choices for shipping with UPS in Canada.
Here's a detailed breakdown of the delivery times:
- Average Delivery Time: On average, packages sent via UPS Standard reach their destination in 1.58 days across Canada.
- Delivery Times by Province: Ontario enjoys the quickest deliveries with an average of just 0.94 days. Conversely, Newfoundland sees the longest delivery times at 3.26 days. British Columbia is not far behind, with packages taking an average of 3.15 days to arrive. In comparison, this service is 221% slower when shipping to British Columbia than to Ontario, and 157% slower than the national average.
How fast is UPS Express Saver?
For those looking for a faster delivery option, UPS Express Saver offers a quicker alternative.
- Average Delivery Time: Packages shipped via UPS Express Saver are typically delivered within 1.13 days, making it 45% faster than UPS Standard.
- Delivery Times by Province: Ontario sees slightly faster delivery times than the national average, with packages arriving in an average of 1.08 days. British Columbia, on the other hand, lags behind with an average delivery time of 1.23 days. This is 15% slower than Ontario and 10% slower than the national average. However, when compared to UPS Standard, where shipping to British Columbia is 221% slower than Ontario and 157% slower than the national average, the difference becomes less significant.
Navigating Long-Distance Shipping with UPS Canada
Canada's expansive geography, covering an area of 9.98 million square kilometers, can pose significant challenges to timely and efficient shipping, especially for long-distance shipments.
UPS, with its vast network and capabilities, provides a robust solution for businesses navigating these geographical challenges in Canada.
In our analysis of long-distance shipping with UPS, we found that the average distances covered varied significantly by province:
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British Columbia: UPS stands out as the champion of long-distance shipping from British Columbia, with packages traveling an impressive average of 2,408.89 km. This beats other major carriers from the same province, such as:
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FedEx with an average of 1,967.48 km
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Canada Post with an average of 1,479.49 km
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Purolator with an average of 1,067.70 km
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Alberta: Shipping from Alberta, UPS covers an average shipping distance of 1,316.42 km, coming in second place.
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Manitoba: For packages originating in Manitoba, UPS ships at an average distance of 1,190.39 km.
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Quebec: Packages sent from Quebec, UPS covers an average distance of 1,162.51 km.
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Ontario: UPS shipments from Ontario travel an average distance of 1,006.75 km.
These latter three provinces - Manitoba, Quebec, and Ontario - hover close to the national average distance covered by UPS across Canada, which stands at 1,122.43 km.
What This Means for Businesses
Businesses operating in provinces with longer average shipping distances can capitalize on UPS's extensive network and capabilities to ensure timely and efficient deliveries, regardless of the geographical challenges they face.
Understanding Exceptions with UPS: Insights by Province
Understanding exceptions in the shipping process is crucial for businesses aiming to optimize their logistics and provide reliable deliveries to customers.
An exception occurs when there's a deviation from the standard shipping and delivery process, and it may result in a delay or change in the package's delivery status.
Given that exceptions can impact a business's efficiency and customer satisfaction, it's essential to select a carrier with a low exception rate.
Why Exceptions Matter
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Delayed Deliveries: According to a report, 85% of customers would refrain from shopping with a business after experiencing a late delivery.
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Customer Satisfaction: A survey found that delivery time influences 87% of online shoppers’ buying decisions, considering the speed of delivery as an important factor.
Common Reasons for Exceptions
Exceptions can occur for various reasons, including incorrect or incomplete address details, customs delays, adverse weather conditions, or operational issues at the carrier's facility.
Being aware of these factors can prepare you to take proactive measures to minimize exceptions, such as providing accurate address details and monitoring potential weather disruptions.
Percentage of Exceptions by UPS Across Provinces
Below is the breakdown of the percentage of packages affected by exceptions for UPS in different provinces:
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Manitoba: 26.63%
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British Columbia: 17.99%
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Alberta: 15.11%
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Ontario: 11.04%
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Canada (National Average): 9.6%
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Quebec: 7%
For context, on a national level, Canada Post has the highest exception rate at 19.40%, followed by Purolator at 14.83%, and FedEx at 11.33%. UPS, with a national exception rate of 9.6%, offers a more reliable alternative for businesses seeking fewer exceptions.
Businesses should consider these insights when selecting a carrier, as exceptions can impact their operations and customer satisfaction. Choosing a carrier with a low exception rate can help businesses can provide more reliable deliveries and enhance their customer experience.
Strategic Shipping with UPS Canada: Final Thoughts
When it comes to shipping, having a reliable and efficient carrier is crucial for businesses of all sizes.
UPS Canada is one of the leading parcel delivery providers in the country, and understanding its delivery times, distances covered, and exceptions is key for businesses seeking to optimize their shipping strategies.
The insights and data presented in our report will empower businesses to make smarter shipping decisions and minimize disruptions to their operations.
Don't miss out on the opportunity to further improve your shipping operations. Download The Buster Fetcher Shipping Report today to gain a deeper understanding of the shipping landscape in Canada and discover valuable insights to optimize your shipping strategy!
References
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Market share of the leading parcel shipping providers in Canada in 2020 | Statista
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The Last Mile Mandate: Key insights from a U.S. consumer survey
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