Shipping costs are crushing ecommerce margins. This episode reveals how to uncover hidden savings and optimize your FedEx and UPS expenses, turning a major overhead into a competitive advantage. Learn how a specialized consulting firm works to dissect complex carrier contracts and secure significant cost reductions, boosting your profitability.
Key takeaways
Engage independent cost reduction consultants to audit carrier invoices and contracts, as they often uncover savings that in-house teams miss.
Understand that FedEx and UPS contracts are negotiable, and specialized firms can leverage industry benchmarks and expertise to secure better rates and eliminate hidden surcharges on your behalf.
Focus on optimizing shipping spend to improve overall profitability, as even small reductions in this significant expense category can have a large impact on your bottom line.
Be aware of common "profit killers" in shipping, such as carrier rate hikes, unexpected surcharges, and convoluted contract terms, which can be mitigated with expert negotiation.
Consider auditing past shipping invoices for potential refunds, as carriers sometimes overbill due to incorrect classifications or overlooked discounts.
You’re not alone. Many e-commerce brands are feeling the "margin crunch" as shipping costs skyrocket. Carrier rate hikes, hidden surcharges, and complex contracts can feel like unavoidable profit killers, making it harder to stay competitive and profitable.Today, we’re talking with Michael Moriarty, a strategic partner at Schooley Mitchell, an independent cost reduction consulting firm that has saved businesses over $1 billion. They specialize in uncovering savings in complex expense categories, with a strong focus on helping e-commerce brands slash their shipping costs.Michael and the Schooley Mitchell team deeply understand the intricacies of carrier contracts (FedEx, UPS, etc.) and work solely on behalf of their clients – not the carriers – to find savings and optimize shipping spend. Reach out to us! We welcome questions and comments about this episode. Connect with us here or through our socials — your feedback is always welcome.TwitterLinkedInFacebookFor more ecommerce, marketing, and growth strategies, check out the eCommerce Fastlane Insights Blog. ]]>
Frequently asked about this episode
What does this episode say about logistics & supply chain?
Engage independent cost reduction consultants to audit carrier invoices and contracts, as they often uncover savings that in-house teams miss.
What does this episode say about profitability?
Understand that FedEx and UPS contracts are negotiable, and specialized firms can leverage industry benchmarks and expertise to secure better rates and eliminate hidden surcharges on your behalf.
What does this episode say about shipping cost optimization?
Focus on optimizing shipping spend to improve overall profitability, as even small reductions in this significant expense category can have a large impact on your bottom line.
What does this episode say about logistics & supply chain?
Be aware of common "profit killers" in shipping, such as carrier rate hikes, unexpected surcharges, and convoluted contract terms, which can be mitigated with expert negotiation.
What does this episode say about logistics & supply chain?
Consider auditing past shipping invoices for potential refunds, as carriers sometimes overbill due to incorrect classifications or overlooked discounts.
