Tag: USA

US Direct Mail Spending Forecast Sees 7.5% Icrease

Posted by | Dec 5, 2006 | |

It may be the Internet age, yet consumers should expect old-fashioned direct mail to keep clogging their mailboxes. Marketers’ spending on direct mail will swell 7.5% to USD64 billion next year after growing 8.5% this year, according to respected ad forecaster Robert Coen, who on Monday presented his industry-wide 2007 look-ahead at the annual media conference hosted by UBS. That means direct mail will continue to be one of the fastest-growing ad formats. “More and more mail advertising is being used … and all of this despite the fact that postal rates went up about 5%,” says Coen, forecasting director at media buying agency Universal McCann. Part of its allure, he says, is that it’s easy for marketers to track response rates compared with, for example, a 30-second TV ad. As for the ad spending outlook overall, both Coen and fellow ad forecaster Steve King, CEO of rival media-buying company ZenithOptimedia, say they expect U.S. spending growth to slow in 2007. Coen sees total ad spending next year rising 4.8% to USD298.8 billion. King forecasts 4.2% growth and a total of USD280.2 billion.

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DHL Express announces appointment of Keith Lovetro as Executive Vice President of Marketing for its U.S. operation

Posted by | Dec 4, 2006 | |

DHL Express today announced the appointment of Keith E. Lovetro, as Executive Vice President of Marketing for its U.S. operation. In his new role, Lovetro will be responsible for the company’s key marketing functions. Lovetro reports to Hans Hickler, Chief Executive Officer, DHL Express USA, and is a member of the Express U.S. Management Board.

“Keith is a seasoned industry veteran with the skills and in-depth knowledge of our industry that will be critical as we build on the momentum DHL Express has accomplished in the U.S.,” Hickler said. “Keith brings a strong track record of accomplishment to his new position and deep experience in development of sound go-to-market strategies that will serve us well in 2007 and beyond.”

Lovetro began working in the transportation industry in 1980 for C.F. Airfreight. He gained additional experience working at Emery Worldwide, Amdahl Computers and most recently spent 12 years in various positions of increasing responsibility at FedEx Freight West. Lovetro was most recently President and Chief Executive Officer of FedEx Freight West, based in San Jose, Calif. He received a Master of Business Administration degree from Santa Clara University and a Bachelor of Arts degree from the University of California at Davis.

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FedEx Ground to increase 2007 rates 4.9 percent

Posted by | Dec 4, 2006 | |

FedEx Corp. today announced that it will increase the standard list rates for FedEx Ground and FedEx Home Delivery by an average of 4.9 percent. The new rates and surcharge changes will be effective Jan. 1, 2007.
The announced increase is in addition to other changes to FedEx Express, FedEx Ground and FedEx Home Delivery surcharges. These changes include an adjustment to the fuel surcharge for FedEx Ground shipments which will be assessed on additional applicable transportation-related surcharges.
FedEx Corp. previously announced an increase to the net average shipping costs for FedEx Express by 3.5 percent, which is composed of a 5.5 percent average increase in standard list rates, offset by a 2.0 percent point reduction in its fuel surcharge. These rates are also effective Jan. 1, 2007 and apply to U.S. domestic and U.S. export packages and freight.
FedEx also previously announced a new dimensional weight system for oversized, large FedEx Ground shipments. If the dimensional weight is greater than the actual weight, dimensional weight will apply to FedEx Ground shipments that are three cubic feet (5,184 cubic inches) or greater. A FedEx Ground dimensional weight customer aid is available on fedex.com to assist customers. This will be effective Feb. 5, 2007. Complete details on the FedEx Ground and FedEx Home Delivery surcharge changes will be available at www.fedex.com on Dec. 8, 2006.

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Worldport Project’s Diversity Goal Again Set at High Level

Posted by | Dec 4, 2006 | |

When UPS opened its WorldportSM international air hub here in September 2002, it marked the culmination of the largest construction project in UPS’s history. It also produced a remarkable opportunity for Minority and Women Business Enterprise (MWBE) firms because of a commitment by UPS to involve them in the project.

Today, as UPS prepares to start a massive expansion of Worldport, the company once again has set a goal of awarding to minority and women contractors at least 20% of the USD250 million it expects to spend on general construction. That goal is in addition to UPS’s determination to involve minority and female firms in securing components from Original Equipment Manufacturers (OEM).

UPS set an identical goal for the original construction of Worldport, ultimately awarding USD98 million to minority and female firms. The new expansion project, which calls for the first phase to open in 2009, will be completed in 2010.

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UPS to increase air freight capacity

Posted by | Dec 1, 2006 | |

United Parcel Service Inc. expects to increase its air freight capacity and save millions of dollars in fuel costs, with new cockpit technology that makes pilots more aware of a plane’s surroundings, a UPS executive said.

The system called SafeRoute, developed by ACSS, a joint venture between defense companies L-3 Communications Holdings Inc. of the U.S. and Thales SA of France, allows pilots to cruise in to the landing strip reducing fuel burn, noise, and noxious emissions as well as increasing the frequency of arrivals.

The system gives pilots access to data created by a new generation of transponders that provide a continuous feed of information about an aircraft’s position. Current transponders, by contrast, provide that information only when it’s requested.

UPS, the world’s largest package delivery company, expects to be able to save initially USD3 million to USD4 million a year in fuel costs, by reducing unnecessary miles flown on landing approaches.

The company also expects to increase arrivals at its key Louisville hub, which is undergoing a USD1 billion expansion, to up to 57 landings an hour, about 10 more than currently, Lee said.

UPS is readying its fleet of Boeing planes for the system and expects to begin implementing on a full-scale in August.

UPS expects the initial introduction of the system to take three to five years.

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