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When running a business, it is important to save money as often as possible. Freight shipping costs can be high and account for a large portion of your business' budget. It is crucial to keep your business reputable while also finding ways to cut unnecessary costs, ultimately saving time and money.
Today, your reliable McAllen logistics experts at Lean Cargo Logistics will list 12 of the smartest ways to reduce freight costs for your shipments.
1. Know Your Transportation Options
When it comes to shipping items, you want to know your shipping options.
The three primary ways for shipping are by ocean, air, and ground. Ocean is the cheapest out of the three, specifically when dealing with international shipping. On the other hand, local goods can often be shipped using railroads. Mixing the three types can help to lower shipping costs.
2. Consolidate Your Cargo
By consolidating your cargo, you can save your organization some money. Consolidating allows you to place smaller shipments into bigger shipments that are going to the same place. Consolidating your cargo might take more time, but in the long run, will save you more money by helping reduce labor costs and keeping dock bays open.
3. Be Smart About Packaging
Minimizing the amount of space each product takes up will also reduce freight costs. Another thing to take into consideration is the amount of support used in every package. Airbags, strapping, blocking, and bracing are all great when used to prevent goods from becoming damaged during transit.
4. Maximize Your Loads
Maximizing how much you ship in each load will reduce the number of packages that you need to ship. This will reduce the money you spend shipping packages because each shipment will have the maximum amount of cargo possible.
5. Work With a Reliable Logistics Partner
By working with a reliable logistics partner you can ensure that you are getting the best deal possible every time. By maintaining a close relationship with your logistics partner, you can make sure that you receive transparent, reliable service no matter what.
6. Work With Logistics Companies Who Can Provide Supply-Chain Visibility
Here at Lean Cargo Logistics, LLC., we take pride in the fact that we can provide our customers with supply-chain visibility. We provide our customers with tools to monitor their shipments so that any business decisions can be made in real-time.
7. Ship On Off-Peak Days
Shipping on days that aren’t common for your product is another way to save money if you’re looking to reduce freight shipping costs. Shipping on slow days, like Mondays, can even save you up to 10% on shipping costs.
8. Offer Night Pickups
By offering night pickups, you are opening a window for carriers to make your load into a backhaul. These pickup times can be beneficial when most other shippers have already closed their loading dock.
9. Use a Load Board
If you have one shipment to put on a load board, you have a better chance of catching a lower rate. This is especially true when carriers are able to use it as a backhaul. Backhauls give carriers the opportunity to make money on what would otherwise be empty miles.
10. Reduce Dunnage
By reducing dunnage, you are able to reduce the weight of your shipment, allowing for a lower shipping cost. This can be done by changing the type of dunnage used. For instance, instead of using shipping peanuts, which take up a lot of space, it is better to use air pillows.
11. Use Data to Identify Freight Weaknesses
Using past data to identify freight weaknesses will also help you save money. This will show you past problems that shipments have had so that the same mistakes are not repeated.
12. And Finally – Challenge the Status Quo
Don’t be afraid to try out different solutions. Challenge yourself, always go a step further, and think outside the box for your product and method of shipping.
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