While many logistics management departments relax after parcel shipping rate contracts have been signed with major parcel carriers like UPS, FedEx, and DHL, the quest for quality parcel shipping services and cheap shipping rates doesn’t end after you sign the contract. Yes, reaching a parcel shipping price agreement means your parcel shipping rates are the rate they are, but there are other logistics management solutions to minimize parcel shipping costs and save money shipping. Here are five ways to optimize your small package shipping logistics management and maintain cheap shipping rates for efficient parcel shipping services.

  1. Small Parcel Auditing
    Small parcel shipping rate agreements include price and service guarantees. The parcel shipping rate your contract states for different shipping services need to be paid when package shipping services outlined in the agreement are met. While there are often claims that small parcel shipping companies could be filing for, many don’t have the means of small parcel auditing for every parcel invoice by searching for breaches on package shipping services and shipping rate contracts. Overpaying parcel carriers like UPS, DHL, and FedEx is a huge loss of refund claims you’re entitled to, so small parcel shippers should utilize package auditing services to make sure they earn back every dollar.  

  2. Mode Optimization
    Parcel shipping routing guides and mode selection are important to save money shipping. Many parcel shipping companies lack a process for optimizing mode selection based on combinations of parcel shipping services and shipping prices. Often mode and routing decisions are made by habit or without considering shipping rates, but it’s important to review parcel shipping routing guides and keep package shipping services and rates up-to-date to save money shipping parcel.

  3. Optimize Parcel Carrier Selection
    Keeping track of parcel carrier shipping service history across different modes is important for knowing when FedEx, DHL, or UPS will offer the fastest shipping services for the most efficient shipping rate. Specifics of your package shipping might change which parcel carrier will offer the best shipping option. A balance of cheap shipping and quality parcel shipping services are ideal for parcel carrier selection.

  4. Consolidate Parcel Shipping Services
    Parcel shipping rate contracts with major parcel carriers (DHL, UPS, and FedEx) are complicated, but generally, as package weight increases the shipping rate per package goes down. For parcel shippers looking for cheap shipping, they can take advantage by consolidating parcel shipments going to the same place. Essentially, combining two packages as one shipment can have a cheaper shipping rate than shipping the two packages as separate shipments.Parcel shipping companies who consider the entirety of their shipping volume can usually find ways to consolidate parcel shipments through shipping services to save money shipping.

  5. Parcel Shipping Rate Renegotiation
    Parcel carrier shipping rate negotiations are usually created based on very current parcel shipping attributes. Things like parcel shipping volume can change easily based on new distribution centers, customer demographic shifts, increased business, etc., so no matter how recently you signed your parcel shipping rate contract, reopening negotiations when changes to your parcel shipping patterns occur will ensure that your parcel shipping rates and shipping services meet the current needs of your company.

Shippers often believe they can take it easy after signing parcel shipping rate contracts with UPS, DHL, FedEx, or other small parcel carriers, but there are constantly steps to take to save money shipping packages. Keeping an eye on small parcel shipping logistics management and following best practices of small parcel supply chain optimization, even after signing parcel shipping contracts with primary parcel carriers will help to save money shipping.

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