7 Logistics Trends That Will Radically Change the Shipping Landscape in 2022 Read Now

How to Leverage your 2021 Shipping Data with Parcel Shipping Software

Parcel shippers need to leverage their 2021 shipping data to help evaluate order fulfillment options and improve decision-making.

We saw many changes in the supply chain landscape in 2021. Spurred by the ongoing pandemic and supply chain disruptions, trends such as pop-up distribution centers, BOPIS, and gig economy couriers took center stage to help shippers satisfy consumer preferences for “fast and free.” In this unique landscape, it was the shippers with flexible order fulfillment and logistics workflows in place that were able to quickly embrace these trends and succeed.

As we begin 2022, consumer expectations for “right now” e-commerce deliveries show no signs of stopping. This means carriers are under continued strain to meet delivery commitments and will likely maintain their threshold caps during peak times as well as levy peak surcharges. Shippers are therefore hungry for reliable data to help them evaluate their order fulfillment options and improve decision-making.

Stay Organized and Synchronized

The first step in leveraging your existing data doesn’t start with your data; it’s in the way you organize it. Because of the complexities of today’s shipping environments, most organizations use multiple software applications that execute an increasingly wide range of specialty functions. This means supply chain data may be fragmented – and therefore has limited potential. For example, how can management make strategic decisions about shipping when the logistics department works with different data than the procurement department?

Therefore, it’s best practice to integrate all systems in the cloud and designate a system of record to maintain order and keep all technologies on track. In fact, establishing a cloud-based system of record had become a top priority for many shippers even before the pandemic injected additional complexity into the supply chain.

Specifically, integrating a parcel shipping system with other business systems of record will let you aggregate your parcel shipping data across your entire distribution network, and even better: it normalizes the data. This in turn enables key stakeholders in your organization to leverage actionable reports and dashboards within the shipping system and run analyses across all your channels so you can better understand and manage order volumes, shipping costs, capacity utilization, on-time delivery performance, and more. These analytics can then be used to identify opportunities to save money, improve customer service, or both.

eBook - eBook Peak Season Parcel Shipping Thrival Guide

Apply Business Intelligence

Once your data has been realigned, it’s time to put those numbers to good use. The easiest place to start your analysis is evaluating data points (i.e., distance, speed to delivery, density, package size) from three levels of input: shipment level (what was manifested), event/visibility level (track and trace feeds), and invoicing level.

Sophisticated parcel shipping systems will include a Business Intelligence platform that understands how these data points affect spend within the transportation carrier landscape, visualize how and where changes should occur, and retain this information as a “profile” that allows you, the shipper, to negotiate with carriers. For instance, if you are implementing changes in fulfillment to increase ship-from-store or locate a new DC, understanding how these adjustments impact zone and carrier service-level downgrade options are critical.

Here are three ways in which Business Intelligence can help reduce parcel shipping costs.

1. Run Rate Scenario Analyses

With data availability and analysis, you can answer questions such as:

  • What is the impact of a proposed carrier rate change on spend?
  • How will on-boarding a new carrier affect transportation spend?
  • How will ship-from-store or new DC placement affect spend?

With proper Business Intelligence tools, you can extrapolate the impact of various transportation scenarios across significant data sets, which enables your carrier negotiations and transportation budgets to take shape. A rate scenario analysis paints the picture and empowers you to make cost-savvy supply chain decisions that align with your business strategy.

 2. Improve Reaction Time

Failures in the delivery process can be expensive to correct; customers can be lost forever. Effective delivery event management facilitates a better customer experience and aids in overall supply chain health, but there are hundreds of types of delivery status messages available from carriers, and it can be overwhelming. With a proper system to retrieve, store, interpret, and action the delivery status data, you can proactively manage your customer’s delivery experience.

State-of-the-art parcel shipping systems with Business Intelligence will normalize all the different status message data available across carriers and place them into problem categories (exceptions) that require a call to action. You should be able to visualize and assign the right resources for real-time response and speedy resolution, minimizing customer service failures and reducing overall parcel shipment costs.

3. Support Carrier Procurement

Identifying the ideal combination of carriers requires data analysis and simulation. If all carriers delivered to all regions with all services 100% on time, this would be a simpler exercise. But by using your data and Business Intelligence to understand where carriers perform well (and not), you can rapidly evaluate delivery performance and their cost impacts to identify your optimal transportation network based on factors such as service, price, capacity, and quality.

Utilize the Right Parcel Shipping Software

None of the steps above can be completed without proper parcel shipping software and Business Intelligence. Using the proper software helps you aggregate, normalize, and action your data, freeing up the time and resources it would take for you to evaluate your operations manually.

Logistyx is ready to help you build a stronger, data-driven supply chain and logistics operation, capable of withstanding supply chain disruptions. To unlock your potential, contact one of our experts today.

OfficeTeam Group Hits the Ground Running with Logistyx After Major Purchase

Logistyx’s extensive experience made for both a smooth and efficient implementation.

Business Challenge

OfficeTeam Group [OTG] purchased Office Depot’s contracts business, which included a U.K. warehouse, inventory, and fulfillment systems, as well as legacy ERP, WMS, and label printing – all of which needed to be integrated into OTG’s workflow solution. And since OTG supports both B2C and B2B customers, it was also essential the legacy systems seamlessly integrate with a parcel shipping solution.

Solution

OTG had a 12-week timetable to complete the integration and go live. Following strong recommendations from Office Depot, OTG determined very quickly that Logistyx Technologies was the best solution provider to support this project. The Logistyx team configured its enterprise multi-carrier shipping software, Logistyx TME, to plug into the existing API and onboarded OTG’s carrier network. Logistyx’s extensive experience in these areas made for both a smooth and efficient implementation, allowing each legacy system to fulfill its role in sending critical information to carriers for the efficient shipping and tracking of every parcel.

Results

Within three months of the implementation start, Logistyx had OTG’s parcel shipping system up and running, with no hiccups or delays. OTG now relies on Logistyx TME to handle the shipping processes for approximately 10,000 parcels per day and provide full visibility into shipping status from purchase through delivery to the customer. States Mark Fletcher, Group Operations Director, “Without the professionalism and experience of the Logistyx team, we would never have achieved such a successful go live in such a short timeframe.”

Following the success of the initial project, OTG are engaging with Logistyx to add additional carriers and functionality to the existing solution.

Logistyx President Ken Fleming Details the Importance of Creative Carrier Capacity Management in Logistics Viewpoints

Logistyx President Ken Fleming published a new article, “Carrier Capacity Management Levels the Playing Field in a Carriers’ Market,” in Logistics Viewpoints, detailing the critical role of carrier capacity management for parcel shippers facing unprecedented challenges, including higher costs, navigating carrier parcel volume caps, and less negotiation power with carriers and partners. Increasingly, shippers deploy a wide range of creative strategies to create more carrier capacity, above and beyond maintaining a critically important multi-carrier parcel shipping network. Consider the following excerpt:

“A growing number of shippers now embrace the gig economy to get orders to customers, for example. Target, Walgreens, and other retailers now offer same-day and two-hour delivery options. Essentially taxis and bike messengers, this new army of couriers helps shippers lighten their demand for more traditional carrier services by reducing, often significantly, the number of parcels in those carriers’ queues. Their ranks are growing, with more of the gig economy racing to implement the right technology to accommodate heightened requirements for security, proof of delivery, signature capture, and more.

Omnichannel retailers have also begun reexamining their retail footprint from new perspectives. No longer considering only ship-from-store to offset carrier capacity constraints, many retailers found other ways to leverage stores to reduce demand for traditional carrier services. First and foremost, retailers have begun to not just offer services like buy online, pickup instore (BOPIS) and curbside pickup, but to incentivize consumers to choose these fulfillment options. Belk, Petco, Target, and Walmart were among the first to offer customers discounts for picking up orders, but carrier capacity constraints have helped the concept catch on with others.

Manufacturers also adjusted. Out of necessity to move product faster, some added parcel shipping operations at manufacturing facilities. This strategy gives manufacturers another distribution point and allows them to navigate capacity limits and volume-based pricing more strategically.”

Read Ken’s full article at Logistics Viewpoints: https://logisticsviewpoints.com/2021/12/07/carrier-capacity/

To learn how Logistyx can help you implement or adapt a carrier capacity management strategy that fits your needs, contact us today.

4 Delivery Management Trends for 2022

Over the course of this year, we’ve seen many new parcel delivery management trends on the rise. The effects of COVID-19 have continued to push shippers’ fulfillment limits and threaten delivery times, making parcel tracking more important than ever. And there has been a huge shift in supply chain performance goals. Now, the importance of supply predictability and efficiency is often minimized to provide the delivery flexibility consumers demand, a difficult dynamic to navigate altogether given recent – and increasing – supply disruptions.

So, what are we looking forward to in 2022? We believe providing a satisfactory consumer experience will continue to be a key theme and should therefore be top of mind as you devise delivery management strategies for your 2022 shipping. We have identified four areas on which to focus:

Location is Everything

In a shipping landscape where consumer convenience dominates, carriers are pushed to get products to consumers faster – as fast as delivery same-day or even delivery within two hours, introduced and normalized by e-commerce giants such as Amazon and grocery and pharmacy chains such as Walgreens and Kroger. But to mimic these retailers’ ability to provide this kind of instant gratification, most retailers need two things: fulfillment centers with available inventory, and fulfillment locations close to their consumers.

Hence, all eyes are on location. If you have a product in a distribution center, but the inventory is in your store and your store is geographically closer to your consumer, shipping from the store instead of the distribution center will decrease shipping costs and improve time-to-delivery. Alternately, major retailers can also offer click-and-collect services, which eliminate shipping costs altogether. Referred to as BOPIS (buy-online-pickup-in-store) or BOPIC (buy-online-pickup-curbside) these services enable retailers to better compete with e-commerce retailers such as Amazon by providing them with a way to offer same-day/next-day shipping to customers without incurring prohibitive shipping costs. And as proven during the pandemic, BOPIS also yields advantages such as contactless delivery, protecting the safety of store associates and customers alike.

Pop Up Distribution Centers

We all love to shop local, so shopping and shipping local naturally go hand in hand. We are seeing a rise in pop-up distribution centers, which bridge the gap that exists between the consumer and the distribution center. Used by major retailers such as Walmart and Amazon, pop-up distribution centers operate similarly to pop-up shops, enabling retailers to quickly and cost-effectively respond to localized demand surges in their supply chains. Shipping products from isolated warehouses to the consumer’s door can take a long stretch of time, so having more localized distribution centers decreases delivery time and allows consumers to receive their orders sooner.

eBook - eBook Peak Season Parcel Shipping Thrival Guide

Cooperation Between Companies

As e-commerce retailers face added pressure to improve their delivery times, out-of-the-box solutions are being developed to meet this need for speed. The partnership between Walmart and Home Depot is one prime example. To expand same-day and next-day shipping, Home Depot has partnered with Walmart’s GoLocal delivery service to take advantage of Walmart’s expansive distribution network. Not only does this free Home Depot from the major carriers’ capacity constraints, but it also cuts shipping costs for Home Depot and gets products into the hands of their consumers faster.

With such monumental steps being taken by two retail powerhouses, we anticipate many other retailers will follow suit and either create their own distribution network or partner with a larger retailer that offers one.

Sustainable Shipping

Every parcel we ship has an impact on the global environment: the manufacturing of the parcel box, the insulation within the package, the gas used for delivery, and the way in which the parcel is disposed once it’s been delivered successfully. This cycle has a negative effect on our environment.

Consumers eager to make same-day delivery the norm are putting pressure on the environment by doing so. Instead of waiting until their regular shopping day to pick something up from the store, they instead want it delivered immediately, which initiates a larger carbon footprint that could have been avoided. Shipping stakeholders worldwide are discussing how to remedy the problem and are likely to continue this discussion into the coming year.

Improve Your Delivery Management in 2022 with Logistyx

Logistyx provides multi-carrier parcel shipping technology to streamline the journey from label to last-mile delivery. Get in touch with us today to learn more about our solutions!

2022 Carrier Rate Increases Highlight Need for Multi-Carrier Parcel Shipping Strategy

It’s that time of year again. As detailed on Logistyx’s Carrier Updates and Resources page, three major carriers announced rate increases for the coming year:

DHL: Starting January 1, 2022, DHL Express plans to raise rates for U.S. shippers by an average of 5.9%. The increase will apply to U.S. account holders shipping to or from the 220 countries and territories DHL Express serves. DHL increased rates by an average of 4.9% for 2021, and by 5.9% on average for 2020.

FedEx: Effective January 3, 2022, FedEx Express shipping rates will increase approximately 5.95% on average across U.S. domestic, U.S. export, and U.S. import services. FedEx Ground services are also expected to increase. Specifically, rates will increase 5.9% across those using FXF PZONE and FXF EZONE. Those who use FXF 1000 and 501 will see shipping rates increase even more, 7.9% on average.

UPS: Effective December 26, 2021, published rates for UPS Ground, UPS Air, and International services will increase an average net 5.9%. UPS says the rate increase “helps to support ongoing expansion and capability enhancements as we strive to maintain the high service levels you expect from UPS.”

Following nearly two years of shipping and supply chain chaos fraught with capacity crunches, shipping quotas, service delays, and a slew of surcharges, it seems logical for carriers to increase rates, but yearly rate increases were the norm even before the pandemic. Carriers often acquire more planes, trucks, and other delivery transports ahead of peak season when volume increases require more capacity and then pass the costs of those acquisitions on to consumers with rate increases the following year.

Webinar - Take Control of Your Parcel Shipping Network

Regardless of the reasons, carrier rate increases are here to stay, increasing the importance of utilizing a multi-carrier parcel shipping strategy to keep costs down and customers happy. A multi-carrier shipping strategy leverages many carriers, including global, regional, and last-mile carriers, and enables service selection that makes the most sense for each shipment. By taking this approach, shippers can save money with regional carriers; save time with last-mile carriers; and ensure on-time delivery when strikes, overcapacity, and peak seasons occur.

Manually managing a multi-carrier parcel shipping strategy can become quite cumbersome, especially as the number of shipments, carriers, and increase. Luckily, multi-carrier shipping technology helps retailers, manufacturers, and logistics providers ship millions of parcels worldwide at the lowest possible cost by automatically selecting the right carriers and services for each shipment based on origin-destination, delivery timeframe, and any applicable business rules. Of course, there are numerous other benefits of multi-carrier shipping technology, especially Logistyx’s cloud-based solution, which streamlines the journey from label to delivery.

Watch our webinar, Simplifying the Complexity of Multi-Carrier Parcel Management, to see how a multi-carrier parcel shipping solution can help you reduce shipping costs even in the face of rising carrier rates.

What does Multi-Carrier Shipping Technology Do?

Simply put: multi-carrier shipping technology helps retailers, manufacturers, and logistics providers ship millions of parcels worldwide at the lowest possible cost. 

The goal of multi-carrier shipping software is to help organizations ship high volumes of parcels quickly while decreasing transportation costs. It focuses on simplifying the complexities and operational strain global parcel shipping places on organizations by making it easy to quickly onboard, leverage, and optimize multiple carrier services, including regional and last-mile providers, while also producing the data and analytics necessary to uncover opportunities to increase savings and improve on-time delivery performance. Some multi-carrier shipping systems are better than others, but every quality solution will (at a minimum) provide the following features and functionality:

Benefits of Multi-Carrier Shipping Technology

Multi-carrier shipping technology helps retailers, manufacturers, and logistics providers ship millions of parcels worldwide at the lowest possible cost. The right multi-carrier shipping technology can also help organizations:

  • Integrate with leading ERP, WMS, eCOMM, and TMS solutions to seamlessly receive order information and communicate shipment status.
  • Define custom business rules for rapid parcel carrier selection based on a variety of factors, including customer preferences, package weight, contents, carrier contracts, and rates.
  • Quickly on-board new carriers as parcel shipping needs evolve.
  • Scale shipment volumes rapidly at a lower cost and with very little impact on internal IT departments
  • Determine the best return options, automatically print return shipping labels in advance, and factor returns into the cost of shipping.
  • Receive proactive alerts about delivery problems and turn end-to-end delivery event visibility into proactive problem solving based on custom business rules.
  • Swiftly deploy distributed order management and other advanced fulfillment strategies:
    • Ship-from-store to support rising e-commerce sales
    • Ship-to-store from distribution centers or other stores
    • Online order pickup in stores or curbside
  • Leverage Business Intelligence to:
    • Identify game-changing insights to optimize carrier service selections and costs as part of a digital supply chain
    • Forecast various if-then fulfillment scenarios
    • Identify avenues to faster delivery times and cost-efficient omnichannel retail distribution

Webinar - Take Control of Your Parcel Shipping Network

Differentiating between Various Solutions

With hundreds of multi-carrier shipping solutions available, it’s no wonder shippers are often confused about which solutions do what, where they overlap, and which acronyms (we mean technologies) deserve a place in their supply chain stack. To help, let’s take a quick look at what makes multi-carrier shipping technology unique from its closest supply chain relative: Transportation Management Systems (TMS).

Multi-Carrier Shipping Technology

We’ve talked a lot about what multi-carrier shipping technology is and what it does. But to truly understand what separates it from other transportation solutions, we need to remember that (at its core) multi-carrier shipping technology is about parcel shipping. It provides shippers with the technology infrastructure necessary to refine parcel shipping workflows and utilize multiple parcel shipping options in widespread areas for faster delivery – while keeping costs low for businesses. This can extend the reach of delivery, connecting shippers to clientele on a global level. It also saves money since shippers can compare the economic and time-related costs of parcel shipping before the items have left their warehouse premises. Shippers can choose the best option for the company, whether this is the cheapest, fastest, or most premium service.

TMS

In contrast, a TMS (at its core) is about freight shipping. TMS solutions were developed for planning freight movements and include functionality such as freight rating, load planning, and inbound shipping, to name a few. Often, shippers believe a TMS is the answer to their shipping problems, but with e-commerce orders rising each year, TMS-only shipping houses may suffer. TMS solutions “over solve” for parcel shipping challenges and can cause shippers to overspend on technology and over complicate the most critical tasks at hand.

Choosing the Right Shipping Technology

Therefore, before a company embarks on a shipping technology implementation of any kind, it’s important to first analyze shipping volumes by modality and then consider whether a traditional TMS, a multi-carrier shipping system, or both, provide the necessary capabilities. For example, if 20% of a shipper’s volume is FTL, and 60% is parcel, then with both systems in place, the business optimizes 80% of shipments. Of course, some shippers only want to invest in technology that addresses the largest percentage of their shipments, creating instances where a business uses only one or the other.

It’s evident: one size does not fit all. But for those businesses where parcel makes up the largest part of its shipping volume, foregoing a traditional TMS in favor of multi-carrier shipping technology is the obvious choice. The biggest differentiator: carrier compliance for a massive global carrier network. With a traditional TMS, the shipper is responsible for compliance with an ever-expanding field of parcel carriers; a multi-carrier shipping solution takes care of this cumbersome process automatically.

Get the Technology You Need to Operate Effectively

Interested in learning more about how multi-carrier shipping technology can help your organization take control of your parcel shipping? See why you’ll love Logistyx TME.

Logistyx President Ken Fleming Chats with ARC Advisory Group on Trends and Challenges in Shipping and Logistics

Logistyx President Ken Fleming recently sat down for a chat with ARC Advisory Group’s Chris Cunnane – the 20-minute discussion covered many areas, including:

  • The state of parcel shipping
  • The holiday season
  • Cross-border sales
  • Industry trends
  • Returns management

For the quick recap, visit: https://logisticsviewpoints.com/2021/10/20/parcel-shipping-logistyx-technologies/

Otherwise, you can view the entire conversation on YouTube:

Contact Logistyx today to see how we can prepare you for current and future shipping and logistics challenges.

 

Digital Commerce 360: Online Holiday Sales Set to Maintain Gains During 2021 Peak Season

To help open the potential to grow e-commerce sales during peak, retailers will have to  find creative ways to encourage 2021 holiday sales from other parts of the world and improve e-commerce fulfillment.

While 2020 brought an unprecedented surge in digital holiday sales, Digital Commerce 360 projects U.S. consumer spending online is set to grow a more modest 12.1% year over year (YoY) this 2021 holiday season. Still, digital revenue for the pivotal November-December period is expected to surpass the $200 billion mark for the first time, reaching $215.45 billion in e-commerce sales. The digital share of total retail sales will hit 25.5%, meaning more than $1 in every $4 spent on retail purchases during the 2021 holiday season will come from online orders.

Even with e-commerce sales growth expected to slow from last year, achieving robust gains on top of last year’s historic jump is notable given shoppers’ willingness to increasingly turn to online shopping and omnichannel services to purchase goods, even across borders.

Logistyx recently commissioned a survey showing purchase influences in cross-border e-commerce on consumers’ holiday shopping behavior this year. The research reveals that 55% of online shoppers from around the world would be open to buying holiday gifts from countries other than their own.

Respondents also indicated the following factors would impact whether to buy holiday gifts from a company abroad:

  • Price of the product (71%)
  • Uniqueness of the product (69%)
  • The ability to easily track orders online (69%)
  • Estimated delivery time (69%)
  • Having an easy returns process (69%)
  • Holiday sales and promotions offered by the e-commerce site (60%)

eBook - eBook Peak Season Parcel Shipping Thrival Guide

To help open the potential to grow e-commerce sales during peak, retailers will have to  find creative ways to encourage holiday gift sales from other parts of the world and improve e-commerce fulfillment.

Developing an omnichannel distribution strategy that includes e-commerce, in-store pickup, ship from store, etc. and utilizes advanced cloud-based multi-carrier shipping systems can position retailers for success during the holidays and beyond by providing them with greater flexibility to achieve cost savings while improving customer service and fulfillment. With the right technology, retailers can better respond to peak season demand to execute various fulfillment scenarios and enhance customer satisfaction.

To learn how you can take advantage of e-commerce growth and navigate various shipping scenarios this peak season and beyond, download our Peak Season Parcel Shipping Thrival Guide.

An Introduction to Multi-Carrier Parcel Shipping

It’s no secret that what happens behind the scenes in your supply chain impacts the experience a customer receives with your product. Any flaw — be it a lack of product availability, an incorrect package label, or a carrier delay — affects the quality and consistency of a customer’s experience with your brand. Of course, no organization is perfect (and getting the right supply chain technology stack in place certainly takes some work), but it’s often the organizations that leverage multi-carrier parcel shipping technology that have the advantage.

What is multi-carrier parcel shipping technology?

The elevator pitch: multi-carrier parcel shipping technology is a category of shipping technology that focuses on helping organizations increase transportation cost savings and improve on-time delivery rates.

The deep dive: multi-carrier parcel shipping technology emerged as a solution to address the complexities and operational strain high volume, global parcel shipping places on organizations. The system makes it easy to increase shipping agility by providing shippers with the ability to quickly onboard, leverage, and optimize multiple carrier services, including regional and last-mile providers, while also producing the data and analytics necessary to uncover opportunities to increase savings and on-time delivery performance. It’s a lifeline to logistics professionals seeking to rapidly increase their available shipping options to manage any distribution issues that arise and achieve on-time delivery rates, and it serves as a reliable method to reduce transportation and fulfillment costs. Typical quantitative ROI calculations show the investment payback well within 12 months of implementation.

What is Logistyx TME?

At Logistyx, we recognize that supply chain executives work at their highest potential when instead of staffing data analysts and fulfillment operations experts (and carrying the significant overhead that comes with large personnel budgets), they can instead leverage a data driven, unified software solution to improve the metrics on which they’re measured: ensuring carrier capacity and flexibility in any shipping climate, providing delivery excellence and customer satisfaction, and containing costs – to name a few! Therefore, leading shippers around the world turn to our multi-carrier shipping technology, Logistyx TME, to simplify the complexity of their parcel shipping operations by:

  • Centralizing all shipping functions: The Logistyx multi-carrier parcel shipping system enables shippers to execute shipments throughout an enterprise regardless of multiple shipping origins and/or multiple modes of transportation. With a single database and single-user interface, rating and routing rules can be set for all locations while gaining efficiencies through managing all transactions in one system.
  • Ensuring carrier compliance: Today’s common parcel carriers have stringent requirements for meeting compliance programs for all their service levels (next-day, express, ground, etc.). These compliance programs address all facets of the shipping process from rating, creation of proprietary bar coding, EDI transmission of shipping manifests, and track-and-trace functionality, to name a few. Logistyx’s multi-carrier parcel shipping technology ensures that each shipment, regardless of carrier, follows these requirements.
  • Rate shopping: Logistyx’s multi-carrier parcel shipping technology rates shipments and compares those rates to other contracted carriers for the same weight, destination, and delivery times. Automated rate shopping selects the optimal carrier for the shipment at the time the order is received instead of doing this later in the shipping workflow, thus alleviating constraints that may occur during the actual shipping process. Logistyx also shops between the parcel mode and the LTL freight mode for those loads that could use either mode.
  • Optimizing transportation by using business rules: The Logistyx multi-carrier parcel shipping system “filters” requests through business rules execution. These rules can be turned on or off, thus giving the shipper more control over the automated shipping methods used to control process flow or customer transit preferences and ultimately reduce the cost of the transaction.
  • Improving Customer Service – Using the Logistyx multi-carrier parcel shipping system commonly results in marked improvements in communication and better results in serving the customer. Proactive functions like email notification and immediate track-and-trace enablement of a shipment with the carrier have been shown to result in a significant decrease of calls to customer service. Ultimately, satisfied customers translate to repeat customers and increased business.
  • Leveraging Business Intelligence: Once the Logistyx system has collected all the shipping origins, transportation modes, shipping transactions, and business rules in ONE database, the enterprise shipping information is more readily accessible for business intelligence reporting. In most cases, this will be the first time the shipper is able to compare historical information of multiple-mode shipping transactions occurring across multi-location shipping origins.

Webinar - How to Drive your Carrier Network to Success

Who needs multi-carrier parcel shipping technology?

Anyone involved in the planning, execution, or optimization of parcel shipping can benefit from the efficiency, savings, and insight a multi-carrier parcel shipping solution brings. With that said, there are several key user types likely to benefit the most. Here are a few:

Fulfillment Executives

The last thing fulfillment executives want are inflexible shipping workflows that put their order fulfillment metrics at risk. Therefore, fulfillment executives rely on multi-carrier parcel shipping systems to enable nimble warehouse operations and inform transportation decisions, empowering them to successfully respond to e-commerce growth and execute timely omnichannel order fulfillment movements such as ship-to-store, ship-from store, and returns.

Procurement Executives

Procurement executives negotiate carrier contracts for their companies. They want to keep costs down without sacrificing quality and maintain relationships with carriers’ sales teams. The depth of data involved in procuring the most valuable contracts is enormous, and the variables are countless, so procurement professionals need immediate, accurate, and easy-to-digest information. With the help of a multi-carrier parcel shipping system, procurement executives gain insight into complex, oft-shifting transportation data points, which improves their projection capabilities and allows them to procure the most valuable shipping contracts.

E-Commerce Executives

Behind every online purchase is a team of e-commerce executives who are responsible for keeping customers happy, which includes ensuring each shipment is delivered on time and in full. In their world, multi-carrier parcel shipping software is welcome technology that keeps order fulfillment moving smoothly. They look for carrier-agnostic, global shipping solutions that scale – enabling them to simplify the complexity of high volume, global parcel shipping and service millions.

Learn More about Multi-Carrier Parcel Shipping Technology

The goal of multi-carrier parcel shipping software is to help organizations improve their parcel shipping outcomes. It enables organizations to ship to anywhere from anywhere, while ensuring they can meet customer expectations for faster, transparent delivery. It gives them greater, more proactive control of their parcel shipping networks not only by supporting shipping processes but also by aggregating data that provides better insights into parcel operations.

Interested in learning more about how a multi-carrier parcel shipping solution can help your organization take control of its logistics? See why you’ll love Logistyx TME.

Logistyx President Ken Fleming: Pandemic “opened a lot of eyes to inherent fulfillment challenges”

Healthcare Purchasing News recently published an article exploring ways to future-proof the supply chain as we emerge from the global pandemic. Among the many experts cited is Logistyx President Ken Fleming, who argues the pandemic “opened a lot of eyes to inherent fulfillment challenges and exacerbated them for many.” Ken continues in the piece:

‘“Exploding e-commerce order volumes, increasing carrier capacity crunches, shipping surcharges and price increases, and, of course, heightened customer expectations for rapid and inexpensive shipping have all complicated order fulfillment and logistics for shippers around the world,” he observed.

“To effectively manage these and keep them from destroying both customer satisfaction and the bottom line, companies should implement a cloud-based multi-carrier parcel shipping solution, replete with advanced business intelligence,” Fleming said. “By integrating a multi-carrier shipping solution into a supply chain tech stack, companies no longer have to ship with just one or two carriers. Instead, they can tap into an extensive carrier network that includes dozens of regional carriers, making it easier and faster to add and maintain carriers’ rates and services and enabling them to quickly react to carrier capacity limitations, surcharges and rate increases to better control costs and maintain on-time deliveries.

“The ability to make business decisions based on shipping data has never been more important, especially considering the challenges of the last year,” he continued. “As companies strive to meet the demands of consumers, they must harness and leverage shipping data to identify and gain control of parcel shipping opportunities.”’

Read the full article at Healthcare Purchasing News for further insights from Ken and other experts on how to future-proof the supply chain to more effectively avoid and manage future disruptions.

Logistyx’s Mike Eisner Discusses Predictive Analytics for Parcel Shipping with Parcel and Postal Technology International

Parcel and Postal Technology International published its September issue featuring an article with industry professionals discussing the growing importance and adoption of predictive logistics in parcel shipping. Among the experts featured was Logistyx’s very own Vice President of Business Intelligence, Mike Eisner.

Consumers expect fast and predictable deliveries, while carriers who are under strain to meet delivery commitments counter volume growth with threshold caps during peak times and continue to implement increased peak surcharges. It’s left shippers hungry for reliable data to help them evaluate the options within their planning and decision making to meet customer expectations.

“The use of predictive analytics has risen dramatically over the past five years, but Covid has really forced and expanded its use – especially among the larger shippers,” Eisner says. “Consumers have evolved, and markets have to adapt, as to the carrier options that are available. The need for insights to support the ability for faster, more responsive decision making with supply chain problems has never been more paramount.”

The data sources aren’t unfamiliar, Eisner adds. Carriers typically have shipping execution, status, and invoicing data to work with, and a good understanding of route optimization and the savings it can provide. The added layer is third-party sources, such as traffic and weather information, and creating or refining the algorithms that help users understand the bigger picture and calculate efficient routes in real time, including a plan B when required.

Mike shares numerous key insights throughout the article – read it in full in the September issue of Parcel and Postal Technology International.

Contact Logistyx today to learn more about our industry-leading Business Intelligence solutions and how we can help you navigate the new normal of parcel shipping plagued by carrier surcharges, capacity crunches, and threshold caps.

Watch Now: Find Your True Parcel Shipping Data

USPS Announces Peak Season Surcharges

Following suit with other major carriers like FedEx and UPS, the United States Postal Service (USPS) announced peak season surcharges for 2021. According to the announcements:

“The planned peak-season pricing, which was approved by the Governors of the Postal Service on Aug. 5, would affect prices on commercial and retail domestic competitive parcels – Priority Mail Express (PME), Priority Mail (PM), First-Class Package Service (FCPS), Parcel Select, USPS Retail Ground, and Parcel Return Service. International products would be unaffected. Pending favorable review by the PRC, the temporary rates would go into effect at 12:00 a.m., Central Time, on Oct. 3, 2021, and remain in place until 12:00 a.m., Central Time, Dec. 26, 2021.”

Though less common from the USPS, the peak season surcharge isn’t unprecedented; they announced a similar surcharge for commercial customers ahead of a 2020 peak season when parcel volumes and capacity shortages were both anticipated and later came to fruition. The 2021 surcharge extends beyond commercial shippers to individuals shipping even single packages.

USPS peak season surcharges

Preparing for Peak Season

Capacity issues appear poised to rear their ugly head during the upcoming holiday season, meaning retailers should consider alternative fulfillment options such as buy-online-pick-up-in-store (BOPIS), ship-from-store, and incorporating more local last-mile and regional carrier services into the mix. By providing an omnichannel sales and fulfillment approach, retailers can ensure they’re offering customers the greatest flexibility and pricing possible during the critical peak season.

Retailers should also employ a multi-carrier shipping strategy to increase stability and quickly react to carrier surcharges and rate increases to control costs. Logistyx offers an extensive carrier network that includes dozens of regional carriers – including LaserShip, OnTrac and Speedee Delivery – making it easier and faster to add and maintain carriers’ rates and services in a shipper’s carrier network.

With a cloud multi-carrier shipping system, businesses can maintain the levels of service customers are accustomed to despite surging demand, carrier capacity crunches and increased shipping rates by automatically comparing carriers’ rates and service levels to select the optimal carrier for each shipment.

Contact us today to learn more about how a cloud-based multi-carrier shipping system can help your business optimize parcel shipping ahead of peak season to help control costs.