The restrictions will take effect this week and run throughout the holiday season, the company said. Retailers were notified of their shipping capacity in tandem with the newly enforced limits.
UPS didn’t provide names of the retailers that would be affected by the new limits.
“Knowing the unique constraints the industry is facing this peak season, we worked with our carriers early on to collectively build a strategic plan of execution,” Gap said in a statement. “We have been very satisfied with the level of partnership and commitment we have received from our carrier base, and especially that of UPS, and expect that to continue through the holiday season.”
The shipping company is imposing the restrictions to ensure it can meet customers’ needs, including small and medium-sized businesses that have been hit hard by the pandemic. The shipping limits come as the pandemic has pushed more shoppers to buy online, especially for the holidays.
Cyber Monday sales also saw an upswing, bringing in $10.8 billion in sales, a 15% bump from the previous year. That made Cyber Monday the largest online shopping day in history, per Adobe Analytics.
UPS says it has agreed on strategies with some if its retail customers which include “shifting package volume away from the heaviest demand shipping days, fully utilizing weekend capacity, and aligning promotional strategies with capacity.”
UPS says it added 20 new facilities and 14 additional aircraft for the peak season. It also expanded its weekend operations and the speed of its ground delivery.
— CNN’s Jordan Valinksy contributed to this report.
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