3PL-Evate

Are you feeling the pressure of rising costs? Now is a good time to consider a lever you may not have yet pulled - renegotiating your fulfillment rate tables. Many merchants sign up with a 3PL and sit back and watch year after year as GRIs from the carriers slowly increase their fulfillment costs. If this is you, speak to your 3PL. Most have some flexibility in their rates, especially if they're keen on fostering a long-term relationship with a promising e-commerce business. The growth of your business is helping them negotiate lower costs with the carriers. It only seems fair that you should benefit as well! If you're unsure where to start, give us a shout. At 3PL-Evate, we've helped our merchants negotiate the best possible rates based on their volume and the geographic distribution of their orders. Read more about rate table negotiations here: https://bit.ly/4ddfvh8

3PL invoice audits are crucial to identify and address overcharges. 1) Understanding Overcharges • Billing errors: human errors, software glitches, incorrect data entry • Rate changes: 3PL providers may adjust their rates periodically unannounced • Hidden fees: may not be clearly outlined in the initial agreement • Inaccurate measurement: volume of goods, shipping distances, etc. 2) The Impact of Overcharges • Increased costs: unnoticed overcharges add up and affect profitability • Eroded trust: discovering overcharges can damage trust and partnership • Competitive disadvantage: higher logistic costs = less competitive • Resource drain: dealing with overcharges is time-consuming and diverts your focus 3) The Importance of Auditing • Cost savings: catch billing errors and overcharges early • Contract compliance: ensures 3PL provider adheres to agreed-upon rates and fees • Transparency: gain better understanding of logistics costs, make informed decisions • Trust and accountability: hold 3PL provider accountable for billing accuracy • Competitive edge: lower logistic costs = more competitively priced products 4) Best Practices for Auditing Your 3PL Invoices • Conduct regular audits, preferably a monthly or quarterly basis • Maintain open communication to address overcharges and find a prompt resolution • Use technology to automate and detect discrepancies more efficiently • Seek expert help: 3PL-Evate ensures e-commerce companies optimize 3PL spend Auditing 3PL invoices ensures that your 3PL services are efficient and cost effective. They can help you to gain a competitive edge in the market, reduce costs, and maintain trust with your provider. Check out this article for more details: https://bit.ly/3LLdT2i

3PL-Evate helped to recover 12% of fulfilment spend for Fera Pets, a premium holistic pet supplement provider! Here’s how: The engagement began with an AI-powered simulation of Fera Pets’ fulfillment activity to determine optimized package utilization. We then compared these results to the actual packaging used by the 3PL to identify two primary sources of overcharges: 1) Sub-Optimal Package Selection We identified the most common instances of systemically incorrect package assignment and ranked them based on how often they occurred. Then, we requested the 3PL to conduct a box-fit check to confirm the box size recommendation from our algorithm. Our requests yielded a 100% success rate, confirming that the smaller box identified by our algorithm was sufficient for packaging in every case. 2) Packaging Inconsistency We observed instances where the same basket of goods was being shipped in different sized boxes. Our algorithm identified these instance as well as the optimized package to fulfill these orders. Their 3PL confirmed our assessment and issued credits for the overcharges without requiring physical confirmation or additional analysis. Ultimately, we helped Fera Pets reduce fulfillment costs by 12%! We can help your business too! Contact us to learn more about how 3PL-Evate can help you: https://bit.ly/3vxItbl

🚨 Avoid These 3 Pitfalls When Onboarding With a New 3PL! 🚨 Pitfall 1: Package Preferences Selecting packaging preferences seems straightforward, but it's crucial to evaluate each product when choosing between boxes vs. poly/bubble mailers. Different package types can impact profitability significantly. Understand your options and consider how your 3PL is calculating billable weight for each. Pitfall 2: Product Dimensions Accurate product dimensions are the first step to minimizing fulfillment costs. Don't solely rely on your 3PL to look after this for you. Scrutinize their measurements, reach out to your manufacturer for dims/weights, invest in a digital scale - do whatever it takes to dial these in! Pitfall 3: Inconsistent Data Despite your best efforts, you may end up with dim/weight inconsistencies in your product data. It's not uncommon for a 3PL to, without notifying the merchant, rescan or remeasure particular SKUs for various reasons, potentially introducing errors into your perfect data! Regularly monitor and update your product dims/weights as needed to avoid corrupted data. You work tirelessly to maximize profits, don't let them slip away!

🐾 Who Let the Savings Out? 🎶 Fera Pets did, with a whopping 12% off their fulfillment costs thanks to our fulfillment invoice audits. Learn how our algorithm identified sub-optimal package selection at Fera Pets' 3PL and what we did to correct it. https://bit.ly/3uzIZ88

See how 3PL-Evate is partnering with RIFRUF to optimize its 3PL spend🐾 http://wix.to/Mjt1mK9