We know that for small businesses, every penny counts, their managers need to be aware and know how to save money in every operating process while still running smoothly.
Logistics for small businesses are complicated and there are very easy ways to waste money when shipping your loads. We list below the 3 ways the most common ways to waste money on shipping and what your business can do to stay ahead of the competition.
1. Packaging disproportionate to the size of the product
We know that one of the variables used to calculate freight is the weight of the cargo, the carrier uses the airspace calculation to determine if they will charge the actual weight or cubic weight.
if your the packaging is much bigger that the product you are shipping will likely be paid by the cubed weight instead of the actual cargo weight, which makes the freight cost more expensive
Check if the packaging you use to ship your products has the ideal dimensions, if there is no margin to reduce a size, if you can, you can generate good savings on your next shipments.
2. Freight reconciliation and additional charges
Another common way to waste your money is with the famous freight reconciliation and additional charges which may occur depending on certain factors such as, place of delivery in rural area, delivery to upper floors, invoice with incorrect or incomplete address, causing an unsuccessful delivery attempt and with this, the carrier will charge you a re-delivery fee, which is usually 50% of the freight value, delivery rates in rural areas and upper floors are usually much more higher than the cost of freight, be sure to check with the recipient if the delivery location will have this difficulty.
THE freight reconciliation more common is when the shipper makes an error when transmitting the weight and measurement of the cargo to the carrier, which causes his the quote is not getting the right valuebecause it was based on previous information. When the cargo is collected, as soon as it arrives at the shipment, it goes through the conference process, this process can be manual or automated, large carriers have conveyors that weigh and calculate the cubage of the load automatically, based on this information, the freight amount is calculated and you will receive the charges measured by them and not by the quotation drawn up, but some charges are always measured manually and we cannot throw the human error, if you do not verify the invoice you receive from the carrier, you may be overcharged for an action wrongly reported by the shipping agent or because the charge was not issued in accordance with your negotiation.
3. Do not use a freight management platform
By performing logistics management autonomously without the help of a platform, the wasted time for every step of the way and lack of control can be the easiest way to waste your money.
AT freight management platforms offer solutions for each step of the process required for shipping and delivery tracking. They have the knowledge, technology, and carrier relationships to meet the needs of each shipper. Due to the volume of business transferred to carriers, platforms receive tables with discounts and pass it on to their customers. It is generally cheaper freight contract via a platform than to ship directly with a carrier.
When you use a freight management platform, you have the online shipping calculator, in seconds you can find the best option to ship your cargo, besides being able to monitor the status of collection, delivery and having specialized agents who will be able to help you throughout the process .
The easiest way to avoid wasting money when contracting freight, it partners with a freight management platform such as Central do Freight. We have the best platform for sending medium and large market loads. 🙂
Get a shipping quote now and discover the smartest, easiest way to ship your cargo.