USPS Lowered Some Priority Mail Rates on May 1st – UPS Follows in Its Tracks?

Call it a May Day Miracle – some shipping costs actually went down for online sellers on May 1st. The USPS lowered the rates for sending Priority Mail packages through online shipping providers, including online marketplaces eBay, Amazon, Etsy. The lower rates went into effect for USPS Priority Mail zones 1-4 for packages weighing up to 6 pounds.

eBay informed sellers on May 2, 2023: “Sellers using eBay Labels will save even more on Priority Mail labels for packages up to 6 pounds in zones 1-4 effective immediately.”

Etsy informed its sellers on May 1, 2023 (scroll down): “Starting May 1, Etsy sellers will save an additional 8% on average when they purchase Priority Mail, Parcel Select, and Cubic Pricing labels on Etsy.* That’s on top of Etsy’s already-discounted retail rates.” (*Additional discount applies to Priority Mail zones 1-4, and weights of 1-5 pounds.)

Sellers also noticed changes on Amazon and PirateShip.

Online postage provider EasyPost had the most detailed announcement of the postal rate changes, including a chart that showed by how much the rates decreased for each zone and weight combination.

For example, according to the EasyPost chart, a package weighing 1 pound going to Zone 1 would cost 1.3% less than before the May price change, while a 6-pound package going to Zone 4 would cost 18% less.

EasyPost reported that USPS Priority Mail cubic rates and USPS Parcel Select Ground rates also decreased for users of its service.

The USPS May rate changes impact sellers purchasing shipping labels online.

Interestingly, the same week the Postal Service lowered rates for lighter packages going shorter distances, eBay announced UPS was making a similar change: “Effective May 7, 2023, you will see UPS® rates on eBay decrease as much as 18% for certain packages lighter in weight and moving across shorter distances, or increase up to 4% for heavier packages going to farther distances.”

Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). She is a member of the Online News Association (Sep 2005 - present) and Investigative Reporters and Editors (Mar 2006 - present). Follow her on Twitter at @ecommercebytes and send news tips to ina@ecommercebytes.com. See disclosure at EcommerceBytes.com/disclosure/.