New UPS Hyperlocal promises metro next-day delivery - ShipRx
Blog / UPS introduces Hyperlocal service for next day delivery
2 minutes read

UPS introduces Hyperlocal service for next day delivery

For shippers with points of distribution close to their customers, UPS just launched a new service that may benefit your bottom line— just in time for peak season. Last month, UPS quietly rolled out Hyperlocal, a new product leveraging regional fulfillment centers to facilitate same-day delivery within a metropolitan service area. 

In this blog post, we’ll tell you what we know about UPS’s Hyperlocal service, why they’ve launched now, and how you can secure refunds when your shipments aren’t delivered on time.

What do we know about the new UPS Hyperlocal service?

In truth, UPS has not shared much information about Hyperlocal. In late October, UPS Chief Executive Officer Carol Tomé briefly announced the new initiative on the carrier’s Q3 2023 earnings call.

She explained that as they harness “data to deliver more agile and targeted products that meet our customers’ needs,” they launched “Hyperlocal, which leverages the footprint of our US facilities, to provide select customers with a fast next-day delivery option, within a metro area. Hyperlocal enables us to capture new profitable B2C and B2B volume, and was launched in October as a new service offering.”

Why did UPS launch Hyperlocal now?

After a rocky third quarter, UPS reported an overall decrease in consolidated revenue of 12.8% from last year’s figures. However, Tomé noted an uptick in average daily volume (ADV) at the end of September after ratifying the Teamsters contract. Between new customers and client win-backs worth 600,000 ADV, innovations and service offerings are part of UPS’s strategy to win back 100% of its 1.5 million diverted ADV and continue to grow.

UPS has even more delivery-related information now that 92% of packages delivered to residential addresses globally include photo proof of delivery, making now an ideal time to launch a new product like Hyperlocal. The carrier intends to capture B2C and B2B volume by utilizing its 1,000 US facilities and innovative technology to compete with Amazon’s same-day delivery through regionalized fulfillment.

What should you do if your fast deliveries don’t arrive on time?

Whether using Hyperlocal or another UPS shipping service, you expect your shipments to arrive on time. UPS offers service guarantees on some deliveries, including UPS Next Day Air, UPS Next Day Air Saver, and UPS Next Day Air Early when shipping domestically.

But there’s a catch. While UPS and FedEx have the technology to monitor their shipments, refunds aren’t issued automatically, leaving billions of dollars’ worth of refunds in carriers’ pockets.

ShipRx’s parcel audit service identifies service failures and incorrect charges, resolves disputes with your carrier, and creates a seamless process for FedEx and UPS to credit your refunds onto your invoice.

Our team has facilitated millions in hard-dollar savings and value to our clients through our insight and expertise. Get in touch with us today for a free savings analysis and find out what our current clients already know—the ShipRx team has a 100% success rate for clients, and you could be our next success story!


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