The typical strategy for parcel shipping logistics management is to go through FedEx or UPS, and well, that’s about it. There are other options out there, and they usually make a lot of sense. Regional parcel carriers have a lot of benefits over UPS and FedEx. They operate in specific areas, and they’re often more personal, responsive, and flexible than the major national carriers. Regional carriers usually have very well outlined networks that can optimize parcel shipping in terms of flexibility, costs, service, and speed to improve your bottom line.

Flexibility in Parcel Shipping

Unlike the major national carriers like FedEx and UPS, regional carriers operate specifically for certain geographic area, which enables them to offer more custom parcel shipping solutions. For an example, they can offer more direct routes to better fulfill customer needs. Regional carriers can also offer later pickups while still offering next-day delivery, because they can ship directly, rather than returning to a central hub before shipping. For ecommerce shipping companies, the chance for later pickup times allows for later orders, which is good for competition and consumer satisfaction.

Regional carriers improve parcel shipping through flexibility because of the following reasons:

  • They have efficient and less complex networks
  • They have greater and flexible service offerings over several modes
  • They offer customized solutions without standardized global offerings
  • They’re a perfect fit for the ecommerce industry
  • They have fewer shipments to handle and have earlier availability
  • They don’t have central parcel shipping hubs, so they have better service performance

Cutting Shipping Costs

There are many more savings to be found shipping with regional carriers. They have lower operational costs than other parcel shipping carriers. Additionally, there are fewer and lower accessorials than major carriers like FedEx and UPS, which have 80 parcel shipping fees. Regional carriers can offer lower minimums, as well. Finally, there is also much more negotiating power with regional carriers that can help to cut shipping costs for ecommerce shipping companies. Parcel shipping can get expensive, especially with accessorial charges. The shipping cost cutting benefits that regional carriers provide can be a great logistics management tool.

Parcel Shipping Services

There are quite a few benefits in terms of regional carrier parcel shipping services. They are often in a better position to respond to service requests. Different benefits regarding parcel shipping services that regional parcel carriers can provide are:

  • They often have higher on-time delivery rates
  • They are more responsive in terms of customer service, including frequently live customer service instead of automated ones
  • Customer service contacts generally have greater authority to resolve issues
  • Parcel shipping services with regional carriers less frequently require fewer damage claims
  • There are fewer stops and chances for loss of your parcel
  • Regional parcel carriers have fewer billing errors, because their parcel shipping uses simplified invoices

Parcel Shipping Speeds

There are plenty of benefits regarding parcel shipping speeds with regional carriers. They can frequently offer faster transit times at lower costs than national carriers. When an ecommerce or parcel shipping company has substantial amounts of customers in the same area, this can be a great advantage. Faster fulfillment with regional parcel carriers can attract new customers, cut shipping costs, and improve the bottom line. Further parcel shipping speed benefits include:

  • Greater next-day delivery areas
  • Less need for express shipping cuts parcel shipping costs
  • Regional ecommerce shipping companies with regional distribution centers benefit greatly
  • Increases competitive advantage for ecommerce shippers
  • Parcel shipping can take on the Amazon effect with increased same-day delivery abilities

 

There is no denying that the leading national parcel carriers, FedEx and UPS, are essential for nearly all ecommerce and parcel shipping companies. It’s not advisable, or likely even possible, to completely avoid the main parcel shipping carriers, but it’s also not a good plan for your logistics management to use only those two. Ecommerce and parcel shipping is an expensive and complicated field, especially for logistics management. Using regional parcel carriers when possible will improve your logistics management and help cut shipping costs. There are numerous benefits to parcel shipping with regional parcel carriers, and used to complement the work your ecommerce and parcel shipping business does with FedEx and UPS will can help optimize your supply chain.

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