24. What You Need to Know About Shipping carriers in 2024 with Josh Taylor

Ecommerce Unlocked

Summary

In this episode, Russell and Emerson interview Josh Taylor from Shipware, a cost reduction company specializing in shipping. They discuss the complexity of shipping rates, when brands should consider breaking off from 3PL rates, negotiating 3PL contracts, balancing shipping costs, the impact of the UPS strike and USPS, expectations for 2024, and low-hanging fruit practices during GRI season. In this conversation, Josh Taylor discusses various aspects of the supply chain and the shipping industry. The conversation covers the profitability of complexity, the ever-changing landscape of the shipping industry, and the importance of avoiding the use of declared value. Overall, the conversation provides insights into the challenges and opportunities in the shipping industry.

Takeaways

Understanding the complexity of shipping rates is crucial for brands to optimize their shipping costs.

Brands should evaluate their shipping profile to determine if they should break off from 3PL rates and negotiate their own rates directly with carriers.

Auditing shipping invoices and understanding surcharges can help brands identify potential cost savings.

The shipping landscape is evolving, with more regional carriers and innovative solutions emerging.

During GRI season, brands should review their shipping contracts and negotiate discounts on surcharges like fuel surcharge.

Chapters

00:00 Introduction and Background

03:23 The Complexity of Shipping Rates

08:23 When to Break Off from 3PL Rates

15:17 Negotiating 3PL Contracts

19:16 Balancing Shipping Costs

25:41 Impact of UPS Strike and USPS

31:01 Expectations for 2024

35:08 GRI Season and Low-Hanging Fruit Practices

40:42 Profit in Complexity

41:00 The Ever-Changing Landscape of the Shipping Industry

41:30 Avoid Using Declared Value