USPS vs UPS

Not sure which shipping service to use? There are several factors to consider, depending on your business needs.

Let’s start with cost since it’s usually the reason we choose a shipping service.

Cost: Is UPS or USPS Cheaper?

USPS costs less than UPS for shipments up to 12 ounces (oz). But UPS competes with its Ground Saver option (UPS SurePost).

UPS Ground Saver vs USPS Ground Advantage (UPS SurePost) Speed and Cost

UPS Ground Saver Delivery Speed: 5-7 business days

USPS Ground Advantage Delivery Speed: 5 days

Here are some common rates as of September 2023 going from East Coast (17313) to West Coast (90210) using ShipStation (rates should be similar with other shipping software such as EasyShip or Pirate Ship):

Prices in bold are cheaper. Rate differences are negligible for much over 1 lb.

Warning about UPS surcharges

The rates above may spike with UPS for various reasons. UPS Ground Saver rates increase 3x to 5x if not within the contiguous United States. Rural or remote addresses may see additional surcharges. Unlike UPS, USPS charges an equitable rate no matter how inaccessible the address.

Use USPS Ground Advantage for packages up to 12 oz and UPS Ground Saver for packages from 12 oz to 3 lbs if you’re not concerned about UPS pickups, slower delivery speed, or surcharges. Price differences are negligible over 3 lbs (assuming there are no UPS surcharges). If faster delivery speed is crucial, then stick with USPS Ground Advantage.

Pickup Service

USPS provides free pickups, unlike UPS. If you’re a small business with under 50 packages daily, it’s more time and cost effective to use USPS.

Customer Returns with USPS and UPS

If a customer changes their mind after shipment

USPS = Just RTS and in the Mailbox
Have the customer write ‘RTS’ on the package and leave it in their mailbox as long as the package is unopened. This return method is free but does not provide tracking. For tracked returns, or for opened packages, provide a new label for the customer.

UPS = Buy another Label and More
You or the customer must purchase a return label and schedule a pickup unless the customer is willing to go to their local UPS location.

Returns for opened packages

Customers can place USPS returns in their mailbox for pickup or take them to the post office. But there’s the extra step of creating and emailing a return label, unless your order platform does this for you. UPS offers a streamlined returns process that includes a pre-printed label with each shipment.

Reliability Comparison

Reliability is negligible between USPS and UPS Ground Saver (SurePost) as this UPS service uses USPS for last mile delivery. We’ll cover the reliability of each carrier’s overall shipping services.

UPS Reliability

UPS is known for its global logistics network, efficiency, tracking abilities, and on-time delivery rates. The company invests heavily in technology and infrastructure to optimize its operations. Customers, especially businesses, often choose UPS for its predictability. Its commitment to tracking accuracy is unmatched by USPS.

Is USPS Reliable

USPS Mail carriers may have difficulty delivering packages to unusual addresses like gated communities or new housing developments where the address information hasn’t been updated in their system. Also, during holidays, there can be substantial delays. Even during the normal season, staff shortages often arise that force carriers to cover additional routes, resulting in skipped deliveries. USPS tracking information is sometimes inaccurate. For example, packages may show delivered when they aren’t actually delivered until the following business day.

Reliability Conclusion

During severe weather or a pending carrier strike, USPS is the safer bet as they deliver rain or shine. Otherwise, the difference is negligible or depends on the address.

Package Tracking Comparison UPS vs USPS

First-Party Tracking Details and Granularity

Let’s compare tracking information provided on ups.com and usps.com.

Here are the tracking details of a UPS shipment when viewed on ups.com:

Here’s the tracking info for a USPS shipment:

USPS wins hands down.

Tracking System Reliability

USPS can be slow to resolve its website issues. It’s not uncommon for tracking and other services to be down for a few hours at a time.

Customer Service for USPS and UPS

UPS Customer Service

UPS has several support options. Their phone support is usually the best bet.

USPS Customer Service

Going to your local post office is best. Speaking to a live person using the public USPS support phone number is difficult or sometimes impossible.

Which Should You Choose?

This depends on your margins and your risk tolerance for losing packages and having to reship. If most of your products are light and cost under $20 per unit to produce, then saving $1 to $2 per shipment is huge. In this case, go with USPS and bolster reliability with late shipment alerts from ShipAware.

Increase USPS Reliability and Keep the Lower Cost

You can have the best of both worlds for packages up to 12 oz. Increase reliability and keep the lower cost of USPS by using a shipping notification service like ShipAware to send alerts when shipments are running behind your promised delivery schedule.

USPS Shipping Services

USPS Ground Advantage

• Most cost-effective option for packages under one pound.
• Delivery within 2-5 business days
• Includes tracking

Priority Mail

• A faster service for domestic deliveries.
• Delivery within 1-3 business days.

Priority Mail Express

• The fastest domestic service offered by USPS.
• Offers overnight delivery to most U.S. locations.

UPS Shipping Services (Domestic)

UPS Ground Saver (SurePost): UPS’s rebranded SurePost offering to compete with USPS Ground Advantage on price. 5 to 7 business days delivery speed.

UPS Ground: Delivery in 2 to 5 business days.

How to Further Reduce Shipping Costs

Poly Mailers or Recycled, Eco-Friendly Mailers

Discounted Shipping Rates with USPS and UPS

UPS provides negotiated rates once you hit a specific volume.

Compare Rates on Multiple Shipping Platforms

My wife and I use both ShipStation and Pirate Ship for our retail business.

Which is Best for International Shipping?

GlobalPost is the cheapest for lighter packages in our experience.

However, if you have to choose between USPS and UPS for international shipping, then use UPS as it usually has a better speed to cost ratio. Remember to include an invoice that shows item prices, especially for UPS international shipments, or UPS may hold the package in customs.

What’s the Difference Between UPS and USPS?

USPS (United States Postal Service):

• Nature and Ownership: USPS is a public entity.
• History: The roots of USPS date back to 1775.
• Mandate: It must provide mail services to all Americans, regardless of their location, at a standard price and quality.

UPS (United Parcel Service):

• Nature and Ownership: UPS is a private, for-profit corporation.
• History: Founded in 1907 as a messenger company in Seattle.
• Mandate: As a private company, UPS doesn’t have the same universal service obligation as USPS.