LSO Regional Shipping Services

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Do increased shipping costs have you looking at alternative carrier solutions?

Have you heard the news? While the United States is dominated by FedEx, UPS and the USPS…..Regional Parcel Carriers are becoming a popular option for many shippers. This is compounded by the upcoming DIM increase by FedEx starting on Jan. 2nd?

Again, FedEx is lowering the dimensional weight (DIM) divisor from 166 to 139, effectively bumping up the weight and price of parcels – your parcels. As sure as the Sun will rise in the east and set in the west tomorrow, parcel carriers will roll out their new shipping rates for the coming year. UPS and FedEx are raising their ground shipping rates 4.9% after the holidays, and some additional fees will kick in sooner.

UPS drew first blood in early September, announcing rate hikes that will take effect in the coming weeks and months, including these notable changes:
UPS U.S. Ground service, U.S. Air and International services will increase by an average net 4.9%, effective December 26, 2016
• UPS also noted that the additional handling surcharge will apply to any package with the longest side exceeding 48 inches, instead of 60 inches for all Air and International packages, with the additional handling charge increasing by $0.35.

Now, FedEx followed suite and announced its respective rate increases, which will take effect on January 2, 2017, including:

FedEx Express rates increasing by an average of 3.9% for U.S. domestic, U.S. export, and U.S. import services
FedEx Ground and FedEx Home Delivery rates increasing by an average of 4.9%, with FedEx SmartPost rates also changing;
Here’s the biggie – the FedEx Express and FedEx Ground U.S. domestic dimensional weight advisor will change from 166 to 139
FedEx Freight rates will increase by an average of 4.9%
• Finally, the FedEx Freight extreme length surcharge will change from $88 to $150 and be applied to shipments 12 feet or greater compared to the prior 15 feet

In the end, conceivably the most significant change announced by FedEx that fuel surcharges for FedEx Express and FedEx Ground will be adjusted on a weekly basis instead of the current process in which adjustments are made on a monthly basis with a two-month lag between U.S. government published fuel indexes and the fuel surcharges.

At LSO, we’ve built our business by adapting to our customers’ business.
Our LSO team will develop a tailored approach for your geographical region, enabling us to provide fully customized shipping solutions and more direct routes that meet your exact needs.
See if you qualify for preferred pricing – Schedule a call with one of our Regional Shipping specialists today.

Your LSO Team


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In March 1991, Lone Star Overnight (now LSO) opened its doors for business, servicing just a handful of metropolitan areas and transporting seven packages on its first day of operation. In the 25 years since that humble beginning, the Austin, Texas-based regional overnight package delivery company has grown exponentially to now deliver thousands of packages every business day to nearly 4,000 ZIP codes in Texas, Oklahoma; Louisiana; Arkansas; Alabama; Tennessee; and Mexico.

“For the past 25 years, our entire LSO team has been dedicated to providing superior service for our customers while servicing the shipping needs of small and mid-sized shippers to Fortune 500 shippers. In addition, we continue to research and evaluate new markets for regional expansion and growth opportunities,” said Rick Jones, CEO of LSO. “We believe one of the primary keys to our continued growth and success has been our ability to guarantee reliable, efficient overnight delivery service at a substantially lower price than our competitors, especially with our express overnight service,” said Jones.  Read the full article

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How regional Carriers Fit Into the Supply Chain Along with the Big Two?

In a world dominated by two big delivery players, how can regional and specialized carriers find their footing with shippers? CLDA Magazine sat down with Rob Martinez to discuss these issues. Rob is President & CEO of Shipware LLC, a leading parcel consulting and technology firm whose mission is to help volume parcel shippers reduce shipping costs.

Question: You meet with shippers all over the country. What are they telling you about regional carriers?

Martinez: Big shippers want to work with regionals, but they don’t know enough about what you offer. They are hungry for alternatives.

Question: You mentioned that shippers are feeling like they don’t have alternatives. Talk about that.

Martinez: Shippers feel it’s harder than ever to negotiate with the big, national providers. They hate the lack of competition. In 1985, there were at least nine domestic, private parcel carriers servicing the U.S. Now there are only two: FedEx and UPS. That means that shippers today have fewer choices and limited ways to control costs than ever before. Shippers are hungry for alternatives. Regional carriers can be the beneficiaries of that need.

Question: How else can regionals differentiate themselves?

Martinez: Pricing agreements with the Big Two are more complex and conditional than I’ve seen in my 25 years in the parcel business. They are loaded with what I call “gotchas”. And most shippers don’t really understand how numerous terms within their carrier agreements can have an adverse impact on their costs. Shippers know what they are up against and how you are different. Talk to them about:
• Your discount structure, volume & revenue commitments, and flexible terms;
• Accessorial charges, and how regional carriers carry very few versus the dozens of the Big Two that now account for as much as 30% the total cost of service for many shippers;
• Your minimum charges and dimensional rules, if any;
• Your simple contracts compared to the numerous “gotchas” and exclusions in the contracts with the big carriers.
• Your willingness to work with third party market experts like our firm. The Big Two won’t allow their customers to use third party market experts to negotiate contracts for shippers. That limits their ability to get the best rates they can.

Question: What benefits should regional carrier underscore when they talk to shippers?

Martinez: Sell the cost savings. Our research shows that shippers could realize as much up to 40 percent cost savings by using regionals. Underscore that you have fewer assessorial charges. Remind them how much easier it is to negotiate contracts with regionals. But equally important is service. Show customers how you offer a higher level of service, earlier deliveries, later pickups, and a wider Zone 2 footprint for next day delivery.

Read the full article here

We can save you up to 28% on overnight shipping within our service area

Calculate LSO Shipping Rates here or click on the map below.

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Now There’s an Amazing Breakthrough in Shipping to/from & within Arkansas, Tennessee & Alabama

LSO Further Expands Regional Footprint to Key Markets Across Southeastern United States

Regional Parcel Carrier Offers Shipping Services in Major Cities Within Tennessee, Alabama and Arkansas

AUSTIN, TX–(Marketwired – January 12, 2016) – LSO, the south’s premier regional parcel carrier, today announced official entry into major markets in the southeastern states of Tennessee, Alabama and Arkansas. The expansion of shipping services includes new cities and zip codes throughout the three states. By expanding shipping services in these key markets, LSO now greatly extends its footprint throughout three key southern states while providing continued momentum to provide the best regional parcel delivery services to customers across the southeastern United States.

Businesses choosing LSO for their shipping needs can expect the same customer-centric focus with value-driven and affordably priced shipping options and on-time delivery that LSO has delivered in states like Texas, Oklahoma, Louisiana and New Mexico for over twenty-four years. LSO now will equip customers with a unique regional solution unmatched in the United States, providing a service offering that includes a combination of on-demand, scheduled/routed, distribution, warehousing and day-definite guaranteed products.

Regional Carriers offer shippers the following advantages:

  • Greater Flexibility – because they operate in smaller market areas and their networks are less complex, regionals can offer later pick-up for next day delivery to most areas, compared to the national carriers who often have to drive, then fly the packages through complicated hub networks.
  • Customized solutions can be developed – depending on the specific needs of customers a unique set of service offerings are available including: Same-day, Next-day, On-demand, Dedicated, Scheduled, Final Mile, Truckload and a full portfolio of day-definite guaranteed services.
  • Faster time in transit – offer same-day delivery, an expanded next-day delivery footprint and are faster in zones 4-6 (Approximately 300 – 1,400 miles).
  • More responsive customer service – most regionals utilize live customer service versus an automated system, their teams are more operationally involved and have greater front line authority to quickly resolve customer issues.

“Through this expansion into three strategic southern states, LSO has increased critical mass by now delivering to seven total states with large distribution centers. These additions to our coverage area create the largest regional parcel carrier in the southern United States and complete another important phase or our expansion strategy for LSO,” said CEO Rick Jones.

“At LSO, we are dedicated to providing superior service for our customers while servicing the shipping needs of everyone, from small and mid-sized shippers to Fortune 500 shippers,” said Chuck Moyer, Chief Commercial Officer (CCO) of LSO. “We are pleased to provide these services to new customers throughout the great states of Tennessee, Alabama, and Arkansas while allowing our existing customers much greater access to the southeastern United States.”

Customers with shipping needs can call LSO immediately at 1-800-800-8984 for detailed information or to schedule a pick-up. Customers can visit for pricing and shipping information.

About LSO

LSO, the south’s premier regional parcel carrier, was founded in 1991, and is headquartered in Austin, Texas. Earlier this year, LSO announced the acquisition of Express Courier International, now known as LSO Final Mile, a market leading final mile and same-day carrier in the southeast and mid-south region, to form a super-regional parcel carrier providing an unmatched portfolio of customized shipping solutions now spanning across seven states throughout the southeast and southwest of the United States. LSO has among the highest reliability records and lowest damage rates in the industry offering competitive rates throughout the southern US and Mexico. LSO provides a full range of same-day, next-day and day-definite guaranteed deliveries along with live customer support and flexible shipping solutions. For more information, visit or call 1-800-800-8984.

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Reduce rates and turn your parcel shipping into a business advantage with LSO.

Only LSO combines the speed of a courier, the discipline of a carrier and the service of a true partner. Our one-of-a-kind shipping model enables us to deliver your own personal rapid delivery system. Together, we’ll help your business get closer to customers, run faster than competitors, and budget smarter than ever. More responsive, more flexible and more friendly than any other shipping company. That’s the power of LSO.

Now expanding South! Click here for details.


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Save Up to 25% on Your Overnight Shipping.

First you tried Brown. Then you shipped with Purple. Now you can SAVE BIG when you ship express packages with LSO Blue.

Discover ALL of the advantages you get with LSO

We’re so confident we’ll save you money on your overnight express shipping, that if we can’t save you money, your first day of express shipping is on us. *

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BoxHandoff_IMG_6695Your overnight express shipping just got personal. Only LSO combines the speed of a courier, the operations of a carrier and the service of a true partner. Together, we’ll help your business get closer to customers, run faster than competitors, and budget smarter than ever. For 24 years, LSO has been more responsive, more flexible and more friendly than any other shipping company.

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LSO goes above and beyond to make sure Senderra’s important and valuable medicines get to their patients on time and intact!


See how LSO’s unique operational network and responsive custom shipping solutions enable customers to increase their revenues through later pickup flexibility, reducing their overall shipping costs and improving service levels – all in a honest, friendly manner that’s become a trademark of LSO.

Download the case study here