Currently many of us are facing challenges with our supply chains. This means that we are struggling to get the raw materials we need to create our products and struggling to get our products in the hands of consumers. Combined this means we are having to think creatively to capitalize on high levels of holiday spending. At the end of the day, we are all looking for ways to find cheaper and faster methods of getting items where they need to be. When thinking about both shipping and our supply chains more generally it is important that we consider a wide range of factors.

What Are Our Shipping Options?

North America has a wide range of shipping organizations. Some of these include Purolator and UniUni in Canada, UPS and FedEx in America, and BSM Group and Larmex in Mexico. While we may be familiar with our own local shipping companies it is important to know all our shipping options especially if we are shipping items between countries. It is important to note that some shipping companies only deliver nationally while others can ship internationally. If we have a good understanding of our own shipping needs, we can determine which shipping option will work the best for us.

How Can We Pick the Best Shipping Options?

If we have a large amount of shipping we need to do, we can often get deals if we repeatedly use one company. To negotiate best-in-class shipping rates it is important to work with shipping consulting groups who can help with contract optimization. This involves working with shipping companies and getting a better baseline rate and getting a discount on special services we regularly use such as overnight delivery. Using shipping consultants can save us a lot of money in the long run which we can then pass on to our customers. No one likes to be faced with high shipping costs.

What Affects Our Shipping Costs?

There are many factors that affect the cost of shipping. Some of these include the size and weight of the package, the departing location and destination, as well as the speed at which the package needs to be sent. In general, the bigger, heavier, or more awkwardly shaped a package is, the more it will cost to ship. In addition, any special shipping needs such as having temperature sensitive items or fragile items will increase the price as well.

Sometimes the price can be reduced if we can reduce the number of packages we need to send. For example, if we send one item to a company each week it might cost less to send four items in the same box once a month instead. Or if we regularly send multiple shipments of different items, we might choose to ship all the items in the same package. If we take care of what we ship and when we can see noticeable reductions in our costs.

What Are Some Of The Long Term Trends In Shipping?

Shipping trends are always changing. In the last few months there have been several supply chain bottlenecks which are impacting us all. Many businesses are struggling to get products in a timely manner or in the quantities that they need. In addition, many shipping companies are adding holiday surcharges to cover the cost of the increase in the hours that employees need to work at this time of year. There have been several steps taken to help reduce these bottlenecks. For example, a wide range of investments in ports, waterways and freight networks have been recently announced. The hope is these investments will lower costs and improve outcomes long term. It is important that businesses are aware of these challenges and adjust their plans accordingly.

When it comes to shipping there are many factors to consider. We need to consider all the shipping options we have available. We may consider using a shipping consultant to get the best possible rate on our shipping. We also need to understand what affects the cost of shipping as well as be aware of long-term shipping trends. Improving shipping outcomes while saving money involves a bit of time and effort but in the end such effort will help our business thrive long term. Shipping is vital for any business and can have a major impact on our bottom line.


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