Information about Contract Negotiations

The most effective way to reduce freight shipping costs is to negotiate your current small parcel and freight contracts in an effort to achieve lower rates from FedEx, UPS, and other carrier. It is common knowledge that the carriers sell freight shipping contracts that maximize carrier profit. UPS contracts and FedEx contracts include numerous variables that determine the final small parcel freight shipping costs of a package. A small change in an accessorial charge, carrier tariff schedule, service incentive, deferred incentive, minimum net charge, or carrier surcharge can substantially reduce shipping costs associated with carrier contracts. The carrier and shipment contract pricing experts at LCF use highly developed analytic software and industry knowledge to analyze current FedEx contracts and UPS contracts in order to identify opportunities to lower shipping costs for you. LCF's contract negotiation team will help your company modify current carrier contracts, resulting in reduced shipping costs.

Statics about Contract Negotiations


A study done by Stanley Morgan shows that only 11% of all retailers use a professional negotiator to have them get the best discount on shipping with UPS or FedEx.

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The same study showed that companies that used a professional negotiator saved 49% more on average then companies that did the negotiating themselves.

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Statistics show that 89% of all retail companies do not use a professional negotiator. Have a competitive advantage by hiring a negotiator to beat your competition.

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Most companies do not have the resources or visibility to know the best price available for their shipping spend. They have worked hard to negotiate with the carriers over the years, but have had to rely solely upon their carrier representative’s word that they have the best rates possible. The carriers have also strategically created very complex contracts to give them the upper hand in the negotiations. Our approach levels the playing field

 

Logistics Consulting Firm (LCF) hires employees who have a thorough understanding of the complexity of carrier contracts. Our team of experts will perform a market analysis of our clients’ current carrier contract to identify savings opportunities. Logistics Consulting Firm's market analysis will provide access to the most competitive pricing available in today’s marketplace. If LCF identifies an opportunity for savings, we can work with the company to optimize their current carrier contract resulting in an average of 20% – 35% savings. LCF is compensated a percentage of the quantifiable savings once the new discounts and carrier contracts have been implemented.

 

Our proven process does not negatively affect carrier relationships. Our clients maintain control of the relationship and the negotiations. We provide the expertise, guidance and analysis to achieve significant savings.

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With our risk free program, your company has nothing to loose and everything to gain.

Free Contract Analysis