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And overcommitment is not unexpected from the company, several experts said. Vice President of Sales Seth Pierce posted on LinkedIn in June that the company was accepting no new customers until the end of the year. LaserShip executives likely knew that this peak season would be a tough one. LaserShip and other regional carriers like OnTrac and LSO are also able to offer next-day service popular with sensitive items like meal kits at a much lower cost than UPS or FedEx.

But retailers continue to use the carrier due to a strapped parcel-delivery industry, he said. LaserShip's general performance standard 'trends well below UPS, FedEx and OnTrac,' said Glenn Gooding, president of iDrive Logistics. Once combined, they'll form the country's largest regional parcel carrier.īut those ambitions don't match the company's delivery record, according to some industry experts. LaserShip has been expanding its territory in the past two years and made a major acquisition in the West Coast regional carrier OnTrac. Since the national carriers like UPS and FedEx began levying surcharges, raising rates, and restricting package volume, retailers have been hungry for alternatives. Regional carriers like LaserShip - which covers the East Coast and reaches as far west as Arkansas - have been a major beneficiary of pandemic-driven e-commerce growth. We understand the frustrations of our customers that are impacted by delays and are working tirelessly to ensure packages move through our network as quickly and safely as possible.' LaserShip has already delivered a record number of packages despite a nationwide labor shortage and the ongoing impacts of COVID-19. We have worked with our retail partners to forecast volumes and make sure they're aware of how much capacity is available to them this holiday season.

In a statement, LaserShip Chief Commercial Officer Josh Dinneen said, 'Our top priority is and has always been our customers. 'We are leaving a lot of money on the table because they failed and were slow in telling us they were failing,' they told Insider.

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'Going to get ugly,' said a transportation professional at one affected brand, which will now have to move up its Christmas shipping deadline. Subpar carrier performance can indirectly hurt sales, too. On Twitter, Insider found complaints about botched or delayed LaserShip shipments from consumers shopping with brands including Ulta, Urban Outfitters, Athleta, Nike, Zara, Macy's, Coach, Kohl's, and Fashion Nova. The stakes are high for retailers at this time of year. Some level of chaos is common in the peak holiday shipping season, but industry experts were struck by the apparent overwhelming of LaserShip's network at such an early point. The package-delivery firm LaserShip told multiple major brands, including Victoria's Secret and Bath & Body Works, they should send no more packages to the carrier's hubs as of December 3 due to a backlog of deliveries, according to multiple industry sources. Affected retailers are scrambling to find backup delivery capacity in a strapped market.Sources say LaserShip delivery stations are overwhelmed, causing a dayslong backlog of packages.Regional delivery outfit LaserShip told some retailers to stop sending packages as of December 3.Account icon An icon in the shape of a person's head and shoulders.