Three quarters of all online shopping carts are abandoned. More often than not, it’s because of high shipping rates. Knowing how to properly work with a 3PL can help you cut shipping costs, resulting in less abandoned carts.
Abandoned shopping carts…
When the average Joe hears this phrase, he might think of the lonely shopping carts left on the side of the road miles away from the closest supermarket. But, to an ecommerce retailer it means missed opportunities.
Don’t let high freight shipping costs result in missed opportunities!
You may have heard that contracting a 3PL is the best way to lower freight shipping costs. If you haven’t, take a look at our blog Online Retailers: Top 5 Benefits of Using a 3PL to Manage Logistics. A good 3PL can help improve your freight shipping efficiency at every step of your supply chain process, including transporting materials from a vendor to your warehouse, from your warehouse to a distribution center, or from your warehouse to your customer.
Below are some tips to keep in mind when working with a 3PL to ensure you pass on the best freight shipping rates to your customers.
Knowledge is power.
3PLs may be freight experts, but it’s still a good idea to know what factors go into a freight shipping rate. Knowing how factors such as size and weight, freight class, lane and accessorials affect your rates can help ensure you get the best, most accurate rate every time and avoid billing adjustments. To learn more, visit our page on how to determine freight rates.
Consider all modes.
Rail and intermodal transportation, or using a combination of trucks and rail to move freight, is not only the greener way to ship. It can also be the cheaper way to ship. You probably wouldn’t want to ship your products to your customers using intermodal, but if you need transport a large amount of materials from a vendor to your warehouse either of these modes of transportation can help you cut costs.
Consolidate your LTL shipments.
If you plan your LTL shipments far enough in advance, you can oftentimes consolidate them into one full truckload shipment. Truckload transportation takes fewer resources to organize and implement, decreases transit time, minimizes emissions, lowers risk and claims and gives you more control over your shipment routes.
Think about the big picture.
When it comes to freight shipping rates, there’s one thing everyone looks for: a low price. When you work with a 3PL, you receive quotes from different carriers and each carrier is going to list their own price. It’s normal to be tempted to pick the cheapest carrier. You’ll find though, that it might cost you more over time. It’s important to instead consider long-term freight spend. Consider the following: does the carrier provide the adequate liability insurance for your shipment; can you rely on the carrier to get your freight to its destination on time; is there a high number of damage claims filed with the carrier?
Take advantage of ecommerce technology.
Many 3PLs offer ecommerce-specific technology services that can improve your customers’ checkout experience. For example, FreightCenter offers freight shipping calculatorsthat can be added to your website easily with a few lines of code, as well custom API integration built right into your website.
Do you actively follow the tips listed above? Or do you have any to add to the list? Continue the conversation on social media.