There is an assumption when it comes to shipping freight and costs associated with it that prices are set in stone and there really isn’t anything you can do to change it. Just because your company has always shipped in the manner that they do does not mean that there isn’t a better way out there to do it. Technology has come along way since many business’s integrated their shipping process into the supply chain. It may just be time to reevaluate the way in which your company ships freight.
Reducing Freight Costs
Night Time Fright Pick Ups –
Scheduling freight picks up after regular business hours can save a business upwards of 50%. This is a relatively simple change that can be put into place and works well for companies that have more than one shift. Freight companies are on the go 24/7 with most of their pickups and deliveries during normal business hours. Offering pickups at night allows shippers to free up some of that precious daytime schedule.
Contract Steady Lane Volume –
Anytime you can guarantee, in the form of a contract, shipments, carriers are more likely to cut you a deal. When a carrier can build their schedule around guaranteed shipments, allowing for increased efficiency it benefits both of you. Carriers are more likely to make room on shipments for loyal customers with contracts in place.
Off-Peak Ship Days:
Who knew that the day you send your shipment could affect the price you pay, but it does. Fridays and Mondays are both considered off days for shipping freight. Most companies want their shipments to be in place by Thursday in order to allow for them to be shelved by the weekend. Monday is another light day for carriers and a good day to ship if your company is looking to save money on freight. Off-peak shipping may not be an option for fresh goods however for non-consumer goods it is a good option.
Develop Relationships –
Don’t Fall for Special Introductory Rates: It may be tempting to be a rate jumper but in actuality it can hurt you a great deal because you never have time to develop a relationship with the carrier. Severing relationships with new carriers each and every year is not the best approach. A better option is to create a long-term relationship with your carrier. This allows you, the shipper to create a strategic, long-term relationship with their carriers. Longer term contracts offer benefits for both carriers and shippers.
Matrix Transportation is the fastest growing freight transport company in the Midwest, founded in 2009. As an up and coming industry leader in freight management including shipping, warehousing, and cross docking services with the highest quality transportation solutions for the manufacturing and automotive industries. More information can be found at http://www.matrixtransportation.com/.