{"id":14325,"date":"2022-05-23T06:51:07","date_gmt":"2022-05-23T13:51:07","guid":{"rendered":"https:\/\/michaeljbrumm.com\/dcl-v3\/?p=14325"},"modified":"2023-09-25T06:11:06","modified_gmt":"2023-09-25T13:11:06","slug":"how-to-vet-new-shipping-carrier","status":"publish","type":"post","link":"https:\/\/michaeljbrumm.com\/dcl-v3\/blog\/shipping\/how-to-vet-new-shipping-carrier\/","title":{"rendered":"What to Look for When Vetting a New Shipping Carrier"},"content":{"rendered":"

How do I <\/span>choose the best shipping carrier<\/span><\/a>? How do I ensure my carrier has the best services for my company?\u00a0<\/span>\u00a0<\/span><\/p>\n

Choosing a shipping carrier is difficult because there is not a one-size-fits-all solution. There are so many factors that your decision will depend on the unique needs of your overall business, your customers, and the type of support you need for your specific products.\u00a0<\/span>\u00a0<\/span><\/p>\n

There are so many shipping carriers to choose from, here is a breakdown of how to evaluate a shipping carrier to ensure that you choose the best shipping service for your brand.\u00a0<\/span>\u00a0<\/span><\/p>\n

If you\u2019re worried about transportation fees going up, read how to <\/span>get the most out of your shipping carrier\u2019s service<\/span><\/a>.\u00a0<\/span>\u00a0<\/span><\/p>\n

Check Their On-time Delivery Performance\u00a0<\/span><\/b>\u00a0<\/span>\u00a0<\/span><\/p>\n

Not to be confused with delivery times, on-time delivery performance is a percentage calculated by each carrier. It averages the rate of deliveries a carrier makes within the guaranteed window of estimated delivery dates.\u00a0\u00a0\u00a0<\/span>\u00a0<\/span><\/p>\n

Let\u2019s break that down. Each carrier service comes with an estimated delivery date (EDD). For example, UPS 3-day select guarantees shipments will arrive within one, to three days. DHL eCommerce Expedited service guarantees shipments will arrive between two, and five days.\u00a0\u00a0<\/span>\u00a0<\/span><\/p>\n

While many packages will meet these guaranteed delivery dates, not all will. On-time delivery performance is a calculation of the average percentage of shipments that make it to their destination on-time. Remember carriers deal in thousands of shipments per day, so the difference between 95% and 99% on-time deliveries is huge.\u00a0\u00a0<\/span>\u00a0<\/span><\/p>\n

Make sure you check in on your carrier\u2019s performance often. In the past few years, with historical ecommerce growth, carriers have struggled to <\/span>meet their delivery guarantees<\/span><\/a>. Tracking your carrier and service over time can tell you a lot about their ability to remain consistent when demand surges. This will come in handy during peak season.\u00a0<\/span>\u00a0<\/span><\/p>\n

How High are Their Claims Ratios?<\/span><\/b>\u00a0<\/span><\/p>\n

If your carrier loses or damages packages (which happens sometimes!) they will alert you to the issue and you\u2019ll have to file a claim with the carrier for any reimbursement.\u00a0<\/span>\u00a0<\/span><\/p>\n

While a few lost packages here and there may not seem like a lot, factor in the time it takes you to file, issues and receive the claim\u2014plus the time your customers are waiting for their products.\u00a0<\/span>\u00a0<\/span><\/p>\n

If your shipping carrier\u2019s claims ratio is above 1%, that\u2019s a red flag and you should look elsewhere for shipping service. This is something LTL shippers need to be more vigilant about as claims come into play more often with LTL than other types of freight shipping.\u00a0\u00a0\u00a0<\/span>\u00a0<\/span><\/p>\n

What Service Regions do They Cover?<\/span><\/b>\u00a0<\/span><\/p>\n

Knowing where most of your products will be shipped is an important first step to choosing and vetting a shipping carrier. Not all carriers ship everywhere, and some may charge extra for specific regions that another carrier doesn\u2019t charge extra for.\u00a0<\/span>\u00a0<\/span><\/p>\n

Regional Carriers<\/span><\/i>\u00a0<\/span><\/p>\n

If you have very regional customers, you may not need to spend the extra money on a national carrier. Not all national carriers are more expensive, but some of the major ones are.\u00a0<\/span>\u00a0<\/span><\/p>\n

Finding a regional carrier to serve the specific area you need to ship will help in the following ways:<\/span>\u00a0<\/span><\/p>\n