Peak Season Surcharge (PSS)
Peak Season Surcharges (PSS) are additional fees charged by carriers during periods of high demand, such as holidays or special events. This surcharge is imposed to assist carriers in managing the higher volume of shipments as well as the operational problems that come with these busy periods. The PSS varies by carrier, region, and service and is typically added to the base shipping charge to cover the additional costs of handling and delivering freight during times of high demand.
In the logistics business, the PSS plays an important role in pricing strategies, especially for enterprises that rely on air and ocean freight. CargoWise users can incorporate PSS into their cost estimates, allowing businesses to anticipate and plan for swings in transportation prices during high seasons. Forecasting PSS allows businesses to change their pricing models, optimize inventory levels, and prevent unexpected shipping costs. In addition, the surcharge is important in controlling carrier capacity by ensuring that there is enough space and resources to support the increase in freight during times of high demand.