The Increased Cost of Freight

As hard as we have tried to avoid it, we can no longer leave our freight costs the same as they have been for the last 10 years. We have not increased our freight charges since we opened in 1998.

We know that you are aware that the cost of everything is increasing, but the largest increase by far is that of fuel. Not just any fuel, but especially the diesel fuel that moves virtually every thing within this country at one time or another. You don’t hear much about diesel, because most of us drive vehicles that burn gasoline. But the current average diesel price in the United States as of January 7, 2008 is $3.38 per gallon versus gasoline at an average of $3.11 per gallon.

The price of diesel affects all other prices. All those tractor-trailer rigs that you see on the highway are transporting groceries, clothing, auto parts, and ink, virtually everything to the stores from which you purchase them. Also when you order items on line, at some point during the trip to your home or business, a diesel-burning vehicle will transport them.

We have held off on an increase as long as we could, much longer than most of our competition. The increases are minimal. Our new shipping prices are as follows:

• Standard Shipping (5 to 7 business days), $4.95
• Expedited Shipping (2 to 4 business days), $7.95
• Second Business Day (Commercial address required), $15.95
• Overnight (Commercial address required), $18.95
  

I wish we had the answer to this dilemma. Some say bio-diesel, some say solar power, some say off shore drilling. There are many answers but none seem to be ideal or acceptable at this time. There is one thing I know, if diesel, which cost less to refine than gasoline, continues to rise in price, we will be seeing many more price increases to come with the products we purchase. As a truck driver put it, …“When bread is $10 a loaf and milk is $15 a gallon, maybe the consumer will start paying attention to the price of diesel fuel.”