Often, those responsible for logistics are satisfied with just one carrier until they get into trouble. Other times they are not happy but they also don’t know how to improve it. The fact is that losing sales or customers because of poor carrier performance is definitely not in the plan. Added to this are freight costs, which are almost always impactful, especially for a virtual store, and may even be the factor that defines its success or failure. It is the reason why you should consider each aspect before choosing the right carrier online. At Shiply, the leading reverse auction site, you can place your bids and get the opportunity to hire the best shipping services at minimum costs.
What to consider when hiring?
But the big question that remains is: what to take into account when hiring a carrier? Mainly on the issue of freight costs, but also being essential in the case of special cargo, better terms, regions served and reliability, choosing a good mix of carriers is of paramount importance and makes a total difference in income at the end of the month.
Freight calculation
When choosing a new carrier, the person responsible for logistics must be aware not only of the price issue, but also of many other factors. To start with, the freight calculation is done in a totally different way in each of the carriers. Therefore, it is worth checking which variables are used in the calculation and how they impact the final value.
Fee collection
Another highlight is fees charged after calculating the gross freight cost. They vary from carrier to carrier and there is no standardization. Among them, we can mention – loading rate, delivery difficulty rate, minimum shipping, and redelivery fee.
Coverage
Not all carriers serve all destinations. On the contrary, many of them are regional, and it is often more economically interesting to have different carriers for different regions. Therefore, one option is to survey which regions need assistance and check which carriers are more active and with the best level of service in these areas.
Shipping restrictions
Very large, very heavy or fragile goods are not transported by all carriers and may require a different logistics provider. Not to mention the minimum monthly volume that ends up preventing many small merchants from getting new carriers.
Look for company references
Before even starting the quotes, find out which are the most used carriers by other companies, preferably in the same field of activity. At first, it helps to create a list of suppliers who know the particularities of their market niche and are able to deliver quality service. See if it is possible to contact the managers of these companies and ask for references about the service provided by these carriers.
Analyze the prices
The vast majority of managers consider the price factor to be one of the most important when closing a deal. However, it should not be considered in isolation, as it is related to the quality of the service. It is clear that the highest price is not always synonymous with operational excellence, in the same way that inferior values ​​do not represent low quality. See if the company has certifications. Certification is a process by which an entity verifies that the company in question meets the required technical standards.