Seven Tips to Reduce and Control Parcel Shipping Costs

When it comes to negotiating with carriers, shippers intend to have the upper hand. However, oftentimes they wind up making a series of concessions that leave them feeling like the vendor, instead of the client. The underlying issue is usually fear.

Shippers agree to terms that negatively impact their business and ability to serve their own customers, simply because they are afraid of what their parcel carrier will do. For example, shippers have refrained from auditing their parcel invoices because their carrier reps have told them the carrier would raise rates and make up for the credit amount in other ways if an audit occurred.

Shippers need to be diligent about how much they are spending – and saving – on their parcel shipping. The terms are ever changing, often misleading and always in the favor of the carriers. Companies that analyze their parcel spend, develop processes to audit their invoices and obtain refunds, and hire or partner with expert auditors will realize significant savings and competitive advantage.