You can increase annual profits of your business by bringing down extra freight charges that you’ve been paying to logistics service providers. With the ever-increasing fuel, transportation and packaging prices, you can adopt some money-saving strategies for reduction in supply chain costs. By incorporating smart shipping practices, freight costs can be brought down to as low as 15%. What needed is proper supply chain management and the right technological intervention to facilitate goods flow.
Now you can compare prices for your shipment and book trucks online on FR8War App. Extremely simple to use; you just need to enter your shipment’s specific details and various logistics providers will bid for the price.
Let’s see 4 ways to cut down extra supply chain logistics: –
NEGOTIATE FOR BETTER DEALS
You know what they say, “All prices are negotiable, if you know how to do it”. Negotiate skilfully to club orders for the same destination and try to combine one bulk order instead of frequent small ones.
ANALYSE PAST CUSTOMER DEMANDS
Your company might be sitting on piles of data that can help you in taking better decisions. Various AI and Machine Learning programs can help you in determining the exact number of units to be shipped to the respective location on the basis of last season’s data.
Though there is no point of shipping more than required stock but you should keep emergency stock with you.
Your money will be saved on warehouse management and transportation of less goods.
COMPARING FREIGHT COSTS
One of the best ways to get right cost for your shipment is by comparing prices from various transporters. This will help you in securing better freight deals under your budget.
Now, manually going to each vendor is a cumbersome process and therefore to curb this situation we have FR8War app. You just need to enter shipment details from phone and various transport service providers will bid to your price. You can book lorry online on the basis of past experience of transportation agency.
SMART PACKAGING PRACTICES
Packaging in an efficient way can help you reduce your shipping costs. If some of your orders are getting returned, you can use those bubble wraps and packing foams again to save costs on packaging. When you ship your products, you will be charged as per dimensions and weight of your products. If you exceed your dimensions, you will be charged more, and therefore it is advised to use the smallest box to fit your materials (but not overfill it).
However, the best advice in this scenario is to outsource this work to your carrier company. They will take care of dimensions of per unit according to your budget and requirements.
These were the five ways to cut down extra costs in logistics. Before booking any transporter, don’t forget to consider these four ways of saving money on shipments.
Are you a consignor looking for hassle-free delivery of your load? Are you tired of calling different transporters to know the best price? Then fret not, Fr8War is here. Fr8War acts as a digital bidding platform between consignors and transporters. The consignor needs to enter cargo details along with the ceiling price, and various transporters will bid for it from the other end. Transporters get to compete for the load, and consignors instantly get the best delivery price. With Fr8War, the process is exceptionally straightforward, POST. BID. RELAX. Adopt freight revolution, and download Fr8War app now!!