Parcel Negotiation


Transportation Impact’s approach to reducing your company’s small package spend by an average of 22 percent can be summarized in the following five simple steps:

1. Rate Analysis

Before we can expect you to determine whether a partnership with Transportation Impact is right for your company, we have to determine what savings opportunities exist within your current parcel agreement. To accomplish this, Transportation Impact offers a free analysis of your parcel spend. By examining your historical shipping data via our proprietary software, our team will dissect your unique characteristics and identify service levels in which your company is overpaying.

In as little as three business days, Transportation Impact can return a percentage-based savings projection along with a preliminary outline of how the savings can be obtained. Upon completion of the negotiation process, Transportation Impact is only paid a portion of the demonstrated, measurable savings it helps generate.

2. Strategic Development

The key to a successful negotiation is preparation and strategic planning. Utilizing the information gleaned from your company’s rate analysis, Transportation Impact will meet with your personnel to discern your company’s current climate. With a better understanding of your business, our team will recommend a strategy for your review and advise your staff of the most effective approach.

Our company gained more than 200 years’ combined experience during respective careers with FedEx and UPS and leverages its unparalleled background to help companies develop blueprints for successful small package negotiations.

3. Contract Negotiation

Acting as an extension of your business, Transportation Impact will provide your team with substantiated recommendations relative to the proper positioning and timeline for each step of the negotiation process.

A typical contract negotiation requires a time commitment of just 4-6 hours from a designated point person within your organization during a 6-8 week negotiation period. Throughout the process, all decisions are approved by your staff.

4. Measurement

Once your newly negotiated contract has been implemented with the carrier, Transportation Impact will provide a weekly invoice that contains a breakdown of carrier charges by service level.

This weekly “Report Card” will compare the discounts of your current agreement with those you were receiving prior to the negotiation of your new contract. The difference will give you a concrete measurement of the demonstrated savings on a per-week basis and will serve to provide insight into where the cost drivers lie within your parcel supply chain.

5. Carrier Compliance

For the duration of your newly negotiated agreement, Transportation Impact will ensure that your carrier is in compliance with the terms set forth in that agreement and that you are billed accurately and accordingly.

Each week, you will receive a breakdown of your charges that illustrates the bottom-line impact of the demonstrated savings Transportation Impact helped your company obtain.

See also Parcel Audit and Reporting and Optimization

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