A recent industry survey asked shippers and carriers about their biggest challenges in managing their supply chain. While we discussed some of these findings last week, the greatest challenge for many shippers (84%) was in controlling their transportation costs. While there are many factors that go into these costs they are necessary in order to get goods to the customer. However there is a strategy that shippers can adopt which helps them to maximize every dollar they’re spending in shipping, and can create a win-win situation for everyone in the supply chain. But first, we need to understand why transportation costs are so high.
One of the leading reasons for high transportation costs lies in the price of diesel fuel. It’s one of the greatest contributors to unease in the American economy since trucking is the primary means of transporting goods to the customer. Fuel prices have a direct impact on the customer, which unfortunately carriers have little control over. However the biggest contributing factor to transportation costs is that too many trucks are driving across the country with little more than air in their trailers.
The reason for this? Well many shipments are still being marked as ‘Full Truckload’ even though the size of the shipment is nowhere near the size of a trailer. ‘Less than Truckload’ or LTL is not a great alternative due to the cost to the shipper – sometimes that partial truckload shipment can cost as much as a full trailer. Plus many shippers see LTL as risky for their freight. There is a third option, one which we’ve piloted time and again to great success. Our Headload Optimization solution only charges you for the space you’re using and our experienced freight handlers will ensure your shipments will arrive on time and undamaged. Optimizing shipments like this helps reduce the number of trucks on the road, creating a more sustainable supply chain and maximizing every dollar in your transportation budget.
Here at Zip Xpress, we understand the importance of maximizing every transportation dollar you spend. That’s why we work to optimize every shipment in our care and provide you with an unmatched level of service. We’ve been helping companies optimize their shipments for more than 20 years and there isn’t a challenge we aren’t ready to meet. Our dedication to service and providing win-win solutions is unparalleled in the industry which is why we’re able to maintain a 99% retention rate with all of our customers. To see for yourself, start today with Zip Xpress!