Small parcel shippers have a plethora of options when it comes to choosing carriers to ship their packages. While it may be tempting to stick with one carrier – an approach the carriers prefer as long as they are the single chosen provider! – using multiple carriers can offer a range of benefits that can positively impact a business’s bottom line.

Whether you are a Small Business, Midmarket, or even an enterprise-sized company, it is essential to understand the benefits of using multiple small parcel carriers.

Cost savings

One of the most significant benefits of using multiple carriers is the potential cost savings. When businesses rely on a single carrier, you will be subject to that carrier’s pricing and structure alone. While you may have negotiated discounts below an initial proposal, the resulting rates may not always be the most cost-effective option.

Using multiple carriers, businesses can compare rates and choose the most cost-effective option for each shipment. Additionally, having multiple carriers can help you when it is time to negotiate rates with each carrier as they compete for the business.

Improved delivery times

Another benefit of using multiple carriers is that it can optimize your delivery time vs. cost optimization. Different carriers may have different time-in-transit expectations to a particular address, so choosing the most suitable carrier and service for any particular package is crucial for optimizing cost with a good customer experience.

In addition, some carriers may offer better “express” type services than others, and so for those expedited shipping requirements, being able to choose a better-performing carrier will facilitate the meeting and hopefully exceed your customers’ expectations.

Increased flexibility

Using multiple carriers can also offer increased flexibility when it comes to shipping. If a business only uses one carrier, it may be limited to shipping to those destinations that the particular carrier supports.

For example, if you need to ship a package to a rural location, you may choose a carrier specializing in delivering to rural areas. Again, by having multiple carriers, you can choose the carrier that offers the best option for each shipment.

Reduced risk of service disruptions

When you rely on a single carrier, you may be vulnerable to service disruptions if that carrier experiences any issues or network outages. If one carrier experiences an issue, the business can quickly switch to another carrier to ensure that the package is still delivered on time.

These disruptions can be from weather impacting part of that carrier’s network (while another may be able to bypass it), or disruptions in service due to labor issues, similar to what the two largest US carriers are facing this year.

By using multiple carriers, you can reduce the risk of delayed deliveries and poor customer experiences because you have backup options available.

Improved customer satisfaction

Is this really a 5th reason? In almost all cases, carrier diversity ends up with the potential for improved customer satisfaction. Improved customer satisfaction will lead to an increase in repeat business.
Access to additional services
Different carriers may offer different services, such as international shipping, hazardous materials shipping, or temperature-controlled shipping.

By using multiple carriers, you can deliver to a new customer segment or offer new products that may have special handling associated with their transportation, allowing you to grow your business.

Increased Visibility and Control via Multicarrier Technology

Using multiple carriers without a central technology platform can lead to potential chaos. Trying to corral data from multiple stand-alone systems can quickly become a headache when sourcing individual tracking updates, billing-related information, and spending.

With a multi-carrier technology platform in place, you have the ability to track each package and monitor its progress through the shipping process regardless of carrier and service. This platform can also create automation capability by creating rules for carrier and service selection based on defined business logic.

This takes the decision-making out of the hands of the shipping clerk, reducing human error and increasing efficiency in your fulfillment process.

Having a single back-end platform managing and collecting your shipment information saves you time and money when it comes to invoicing customers, auditing your carrier invoices, and optimizing your business rules around carrier and service usage.

Using multiple carriers via a multi-carrier technology platform can offer a range of benefits for small parcel shippers. From cost savings to improved delivery times and increased flexibility, you can leverage the carrier that offers the best option for each shipment.

By having alternative carrier options available and quickly ready to activate, you can reduce the risk of service disruptions due to carrier network issues. Overall, using multiple carriers via a multi-carrier platform, you will have the shipping tools and capabilities you need to optimize your shipping process, improve performance, lower costs, and grow your business.

Final Thoughts

In conclusion, outsourcing shipping fulfillment offers numerous advantages for businesses in today’s complex business landscape. By partnering with a reliable logistics provider, businesses can focus on their core competencies while leaving the intricacies of shipping and logistics to the experts.

Cost savings can be achieved through the elimination of the need for in-house infrastructure and the ability to take advantage of economies of scale. Increased efficiency and scalability are also key benefits, as logistics providers have the expertise and resources to optimize operations and adapt to changing order volumes.

Improved customer experience, including faster and more reliable shipping options, can enhance customer satisfaction and loyalty, increasing sales and revenue.

Considering these compelling reasons, businesses looking to optimize their shipping and logistics operations should consider outsourcing and exploring their options with reliable logistics providers.

I. Introduction

In today’s global economy, supply chain management is a critical factor for the success of any business. A well-managed supply chain can help businesses to reduce costs, increase efficiency, and improve customer satisfaction. To achieve these goals, many businesses are turning to third-party logistics providers (3PLs). In this section, we will provide an overview of 3PLs, their importance in supply chain management, and finally, what to look for in a 3PL.

We recognize that searching for the appropriate 3PL can be an intimidating and time-intensive process. With a variety of choices, each with its own unique expertise and focus, it’s critical to select the appropriate provider as it significantly influences the future success of your business.

An ideal 3PL partner should alleviate the burden of logistics operations and allow you to focus on enhancing your products and brand.

II. What is a 3PL?

A third-party logistics provider, or 3PL, is a company that provides logistics services to businesses. These services include transportation, warehousing, inventory management, and other supply chain activities. 3PLs typically operate as intermediaries between businesses and transportation companies, helping to coordinate the movement of goods from one place to another. There’s no shame in brushing up on 3PLs before making a decision.

III. What to Look For in a 3PL: Supply Chain Management

When determining what to look for in a 3PL that will best suit your operations, there are several important factors to consider, including:

Expertise and Industry Knowledge: 3PLs have extensive knowledge and experience in the logistics industry, including regulatory compliance, transportation management, and supply chain optimization. This expertise can help businesses to streamline their operations and reduce costs.

Scalability: 3PLs can help businesses to scale their operations quickly and efficiently by providing additional capacity and resources as needed.

Access to Technology: 3PLs invest heavily in technology, including transportation management systems, warehouse management systems, and other software tools to help businesses improve their supply chain operations.

Cost Savings: By outsourcing logistics activities to a 3PL, businesses can reduce overhead costs, such as labor, equipment, and facilities. 3PLs can also help businesses negotiate better rates with transportation providers, reducing costs.

IV. Technology

Technology has become a vital component of modern logistics and supply chain management. With the ever-growing complexity of supply chains, it is imperative that businesses work with 3PLs that are equipped with the latest technology. In this section, we will discuss the role of technology in logistics and supply chain management and how to evaluate a 3PL’s technology capabilities.

The Role of Technology in Logistics and Supply Chain Management

Technology has transformed the logistics and supply chain industry in recent years, allowing for greater efficiency, accuracy, and visibility. Some of the essential technology tools used in logistics and supply chain management include transportation management systems, warehouse management systems, and inventory management systems. These tools can help businesses optimize their supply chain operations, reduce costs, and improve customer service.

Assessing the 3PL’s Technology Capabilities

When evaluating a 3PL’s technology capabilities, consider the following:

  1. What technology tools does the 3PL use? Are they up-to-date and effective?
  2. Does the 3PL have experience working with businesses similar to yours?
  3. Does the 3PL have a dedicated IT team to manage and maintain its technology tools?
  4. Can the 3PL provide real-time visibility into your supply chain operations?
  5. Evaluating the Compatibility of the 3PL’s Technology with Your Existing Systems

It’s crucial to ensure that the 3PL’s technology is compatible with your existing systems to avoid integration issues. When evaluating compatibility, consider the following:

  1. Does the 3PL’s technology integrate seamlessly with your existing systems?
  2. What are the costs and timelines associated with integrating the 3PL’s technology with your existing systems?
  3. Will there be any disruptions to your operations during the integration process?

It is no surprise that in today’s world, technology plays a critical role in modern logistics and supply chain management. When selecting a 3PL partner, it’s essential to assess their technology capabilities, ensuring they use the latest technology and tools and are experienced in working with businesses like yours.

Furthermore, evaluating the compatibility of the 3PL’s technology with your existing systems is critical to avoid any integration issues. Ultimately, partnering with a 3PL that has advanced technology capabilities can help businesses improve their supply chain operations, reduce costs, and enhance customer service.

V. Cost

When pondering what to look for in a 3PL, it’s important to remember that the lowest price is not always the best option. While it may be tempting to opt for the lowest price, it’s crucial to consider the long-term impact on your business. In this section, we’ll discuss why the cheapest option may cost you more in the long run and how to navigate 3PL pricing.

You Get What You Pay For

Regarding 3PLs, it’s essential to remember the old adage, “You get what you pay for.” The cheapest provider may not have the experience, technology, or resources to meet your needs effectively. Sometimes, they may even cut corners, resulting in issues like late deliveries or damaged goods. Ultimately, these issues can harm your business’s reputation and customer satisfaction. This is a crucial aspect in the journey of what to look for in a 3PL.

Understanding 3PL Pricing

3PL pricing can be complicated, with various factors influencing the final cost. When evaluating pricing, ask your potential 3PL partner to walk you through the costs and how they will make sense for your business. Some factors that may influence pricing include:

  1. Volume and frequency of shipments
  2. Transportation mode (e.g., ground, air, ocean)
  3. Warehousing and storage fees
  4. Value-added services (e.g., kitting, labeling, assembly)
  5. Technology and software fees

While cost is undoubtedly an essential factor when selecting a 3PL, it’s crucial to find the right balance between cost and quality. Consider the 3PL’s experience, technology capabilities, and reputation when evaluating pricing. A slightly higher cost may be worth it if it means better service, increased efficiency, and, ultimately, a better customer experience.

In conclusion, while determining what to look for in a 3PL for your business, it can be tempting to opt for the cheapest 3PL option; it’s essential to consider long-term impacts. A low price may result in lower quality service, which can ultimately harm your business’s reputation and bottom line. When evaluating pricing, consider the 3PL’s experience, technology capabilities, and reputation, and remember to find the right balance between cost and quality.

VI. Credibility

When selecting a 3PL, evaluating its reputation and credibility in the industry is critical. In this section, we’ll discuss the importance of assessing a 3PL’s reputation, how to check for customer references and reviews, and how to evaluate their responsiveness and communication skills.

Reputation and Credibility

While determining what to look for in a 3PL for your business, it’s essential to evaluate its reputation and credibility in the industry. Consider factors such as:

  1. How long have they been in business?
  2. Do they have experience working with companies similar to yours?
  3. What do industry peers say about them?
  4. Customer References and Reviews

Checking for customer references and reviews can provide valuable insight into a 3PL’s strengths and weaknesses. Ask potential providers for references from companies similar to yours and take the time to reach out and ask about their experience. Additionally, search for online reviews and ratings to get a broader understanding of the provider’s reputation.

Responsiveness and Communication

Effective communication is crucial when partnering with a 3PL. Evaluate their responsiveness and communication skills during the selection process to ensure they’re a good fit. Consider factors such as:

• How quickly do they respond to inquiries?

• Do they provide clear and concise answers to your questions?

• Are they willing to work with you to solve potential issues?

When evaluating a 3PL, take the time to assess their reputation, customer references and reviews, and responsiveness and communication skills. A strong reputation and a proven track record of success can provide peace of mind and increase the likelihood of a successful partnership. Effective communication and responsiveness are critical to ensuring a smooth and efficient supply chain.

You’re passionate and knowledgeable about your product and market, and no one expects you to be an expert in shipping and logistics. Make sure that the 3PL you choose is professional and experienced and will value your customers in the same way that you do when it comes to responsive communication.

VII. What to Look For in a 3PL: Conclusion

Selecting the right 3PL is crucial to the success of your business. A strong partnership with a reliable provider can improve your supply chain efficiency, reduce costs, and ultimately enhance your customer experience. On the other hand, a poor partnership can result in delays, errors, and damaged goods, ultimately harming your business’s reputation and bottom line.

In conclusion, selecting the right 3PL is a critical decision that should not be taken lightly. Consider the key factors outlined in this article and take the time to evaluate potential partners thoroughly. With the right 3PL, you can streamline your supply chain, increase efficiency, and ultimately set your business up for success.

Order fulfillment is a crucial part of any business that deals with physical products. Given the almost unimaginable range of products available to the consumer today, many items come with their own specific challenges due to a host of factors such as fragility, volume, loose parts, and weight. There are ways around these challenges, however, and today we’ll take a look at five reasons to outsource fulfillment.

Creating and maintaining a complex logistics system to overcome these challenges is an intimidating prospect due to the massive amount of time and resources that may be required. However, the good news is that you don’t have to perform this heavy lift alone.

Now, let’s dive in and discuss the top 5 reasons to outsource fulfillment.

Focus on core business functions

One of the primary reasons to outsource shipping fulfillment is to allow businesses to focus on their core competencies. Shipping and logistics can be time-consuming and complex, requiring a significant investment in resources and infrastructure. Due to this, outsourcing shipping fulfillment has become a popular trend among businesses in recent years, with more and more companies opting to outsource their logistics operations. These businesses have found that when outsourcing fulfillment, they can free up valuable time and direct their team to focus on other essential functions, such as sales, marketing, product development, and customer service, which can now be intentionally aimed at increasing their bottom line.

Reduce costs

Fulfillment can be an expensive process, especially if you’re handling it in-house. Outsourcing shipping fulfillment can help businesses reduce costs in several ways. First, outsourcing eliminates the need for businesses to invest in their own shipping infrastructure, including warehouses, distribution centers, and transportation fleets. This can result in significant cost savings, particularly for smaller businesses that may not have the resources to invest in these areas. A good fulfillment partner will have the technology and expertise to help you manage your inventory levels and ensure you always have the right amount of stock on hand. Additionally, outsourcing can provide economies of scale, allowing businesses to take advantage of the expertise and resources of larger logistics providers and achieve lower shipping rates.

Increase efficiency and scalability

Outsourcing shipping fulfillment can also increase efficiency and scalability. Logistics providers have the expertise and resources to optimize shipping and warehousing operations, reducing transit times, minimizing errors, and improving overall efficiency. Fulfillment providers have the technology and expertise to optimize the process, from receiving and storing inventory to picking, packing, and shipping orders. As your orders ramp up, outsourced fulfillment can scale with you quickly and easily. Seasoned fulfillment providers can easily accommodate changes in order volume, seasonal fluctuations, and new product launches.

Improve customer experience

Outsourcing shipping fulfillment can also improve the customer experience. Partnering with a reliable logistics provider who understands the critical nature of the shipping experience can help businesses offer faster and more reliable shipping, tracking, and delivery options to their customers. This can help improve customer satisfaction and loyalty, as well as increase sales and revenue.

Access to expertise and technology

Finally, outsourcing shipping fulfillment provides businesses with access to the expertise and technology of logistics providers. Shipping and logistics can be complex and constantly evolving, requiring specialized knowledge and technology to optimize operations. By partnering with a logistics provider, businesses can tap into the expertise and resources of professionals who have experience in managing logistics operations and access to the latest technology and tools, such as artificial intelligence, automation, and robotics, in order to improve efficiency and accuracy.

To learn more about what to look for in a 3PL partner, see our detailed guide HERE.

In conclusion, outsourcing shipping fulfillment can provide significant benefits to businesses, including allowing them to focus on core business functions, reducing costs, increasing efficiency and scalability, improving the customer experience, and accessing expertise and technology. Those looking to optimize their shipping and logistics operations should consider the benefits of outsourcing and explore their options with reliable logistics providers.

Introduction

The United States Postal Service (USPS) is a popular choice for shipping, both domestically and internationally. However, if you’re dealing with hazardous materials (HAZMAT), it’s crucial to stay informed about the USPS’s upcoming changes regarding the handling, documentation, and labeling of these materials. By understanding and complying with these changes, you can avoid potential accidents and legal complications.

Understanding HAZMAT and Its Common Examples

Before diving into the USPS changes, let’s clarify what qualifies as a hazardous material. While you might picture dramatic scenarios like cartoon barrels of acid or radioactive substances, the reality is that many everyday items are considered potentially dangerous. Batteries, battery-containing products, aerosols, certain household chemicals, and even some cosmetics fall under this category. HAZMAT can also include chemicals, explosives, and radioactive materials, which, if mishandled, pose serious risks such as leakage, fires, explosions, and contamination of the environment.

Enhanced Regulations for Fire and Explosion Risks

Certain hazardous materials, particularly flammable liquids, gases, and solids, require even stricter rules. These materials must be shipped via ground services due to safety concerns, making commercial air travel unsuitable. The transportation of hazardous materials adheres to rigorous regulations to ensure safe handling, packaging, and transport, minimizing the risk of fire or explosion.

Ensuring Safe Transport

Companies and individuals involved in shipping HAZMAT must take necessary precautions and follow strict guidelines to ensure the safe transport of these materials. Mistaken or improper shipping of hazardous materials can have severe safety consequences. It’s essential to prioritize safety and partner with fulfillment centers experienced in HAZMAT shipping. These centers can help you understand shipment classifications, packaging requirements, and individual shipment regulations, ensuring compliance and peace of mind.

Identifying HAZMAT Materials

With the upcoming USPS changes, it becomes crucial to identify the types of hazardous materials in your packages. Accurate identification allows your technology provider to generate carrier-compliant shipping labels and manifests. The USPS supports and requires 22 different material classifications for manifests, depending on the shipment’s contents. These classifications include everyday objects like first aid kits, printing inks, and thermometers. A detailed list of USPS Hazmat and Changes can be found on the official USPS website HERE.

Staying Informed and USPS Changes

To stay up-to-date with the USPS’s revised guidelines for Hazardous, Restricted, and Perishable Mail, refer to Publication 52. It contains valuable information specific to the USPS, including classification and identification details for HAZMAT. Additionally, the Department of Transportation (DOT) provides high-level information on HAZMAT regulations and compliant labels. Familiarize yourself with these resources to ensure compliance with shipping requirements.

What Changes to Expect

The USPS is revising Publication 52 to include updated guidelines for hazardous materials. These requirements will mandate carefully separating hazardous materials requiring hazard-warning marks or labels from other mail. Mailers will also need to place these materials in distinguishable containers. Furthermore, the USPS will enforce the use of ground transportation and specific labels for used, broken, or flawed electronic gadgets containing lithium batteries, with some exceptions.

Enhancing Safety and Preventing Incidents

These changes aim to enhance safety for employees and recipients of packages containing hazardous materials. The USPS has shared examples of packages spontaneously combusting and improperly identified packages containing spilled chemicals, highlighting the need for stricter regulations. By implementing these changes, the USPS seeks to reduce incidents involving hazardous materials during the shipping process.

Fulfillment Centers for Hassle-Free Shipping

Partnering with a carrier-compliant 3PL fulfillment center can save you time, resources, and potential legal complications as the USPS implements these changes. This applies not only to regular HAZMAT shippers but also to anyone using USPS for Shipping HAZMAT, regardless of frequency, which requires attention to detail. Just as you check your stove before leaving home or your tire pressure before a road trip, ensuring your HAZMAT shipments comply with regulations adds peace of mind and eliminates potential stress from the process.

Partnering with a fulfillment center experienced in shipping hazardous materials can significantly benefit your e-commerce business. These centers understand the complexities involved and can efficiently handle HAZMAT-classified items. By leveraging their expertise, you can redirect your time and resources back into your core business operations.

If you’re looking for a fulfillment partner specializing in HAZMAT, contact our Fulfillment Consultants. They can connect you with a vetted fulfillment center that meets your specific needs and requirements.

Conclusion

The USPS is implementing changes to improve the safety and accuracy of HAZMAT shipments. Staying informed about these upcoming changes is essential for individuals and businesses involved in shipping hazardous materials. By understanding the regulations, identifying HAZMAT materials accurately, and partnering with carrier-compliant fulfillment centers, you can navigate the shifting landscape of HAZMAT shipping with confidence and ensure the safety of everyone involved in the process.

In a recent QuickTake Panel with eHub partner LOGIWA, co-hosted by eHub, four experienced and sustainability-driven guest panelists discuss the topic of “How 3PLs Win Through Sustainable Fulfillment Operations” through 3 specific topics:

  1. What it means to become a sustainable fulfillment operator
  2. How sustainability can drive growth for 3PLs
  3. Steps to take to create sustainable operations

Sustainability – What Does it Mean for Companies?

Sustainability in business aims to reduce the environmental impact companies cause through their operations. For 3PLs, companies, brands, and consumers and customers alike, sustainability is an inevitable and driving factor in the future decisions for what businesses will be supported, and how businesses will conduct their operations, including through 3PLs and fulfillment. Logiwa’s quicktake panel goes over how sustainability has been achieved by their companies, how it can be achieved by others, and the ultimate impact and advantage sustainability can provide to 3PLs and businesses wanting to take that journey.
Here are some of the highlights from the panel’s answers to the topics:

TOPIC 1: WHAT IT MEANS TO BECOME A SUSTAINABLE FULFILLMENT OPERATOR

Jamie: For a 3PL business owner, some of Logiwa’s customer’s sustainability is operating in a manner that’s going to minimize the negative impact on environment, society, economy, but will also maximize the positive impacts.

Reid: [Sustainability] applies to a lot of different facets for the customer itself.
How do you go above and beyond for the customer and show them that you’re considering things that they might not have even thought of themselves that apply into the sustainability bucket.

George: Sustainability is a journey. It’s a journey for your business,…where you as a business owner or a member of a team decide to pick up the banner and go on that journey…and include as a stakeholder and a decision-making process; are [you] factoring in the environmental impact of these decisions? Obviously we all want to build successful businesses…but in addition to that are we taking into account what effect this has on the planet, on the environment, on the communities that we operate and live in.

Sustainability takes into account not only doing good business, but how we are rooting for the planet, for the community, for the people that we care about and who we’re gonna leave the world to.

TOPIC 2: HOW SUSTAINABILITY CAN DRIVE GROWTH FOR 3PLs

Wayne: From a pure business perspective, why would a 3pl or a brand managing their own fulfillment for that matter consider making this investment in sustainability?

Reid: I’d say the biggest thing is this no longer a niche play, or it should no longer be a niche play
If you make money, great, but if you’re not putting it to good use or to good focus then I’d say nobody effectively wins.

George: The bottom line is customers are demanding it. Customers are demanding. Consumers are demanding it. So, as much as it is the right thing to do it is also a very pragmatic business decision. The shift towards sustainability is inevitable. Are you going to be forced to do it down the road, or are you going to do it now and really put your stamp in that space as one of the early thought leaders, early companies that adapted these principles in sustainability as a north star. From a branding perspective, it makes so much sense as well…[because] it’s very rare that I come across a 3PL that is able to confidently assert that sustainability is one of their top values. So from the fact that it’s a small saturation of 3pls that are practicing sustainability as a high priority right now, is an immediate competitive advantage

Jamie: sustainability has…transitioned…[in that] it’s going to become a competitive neutralizer, if you’re not doing it you’re behind the curve.
There’s a lot of ways that we can impact that. Particularly things like smart routing of orders, or if we’re recommending the proper package types, or trying to run an order to a particular location where there’s gonna be the least amount of transport.

George: The branding of sustainability catches a niche audience.
I’ve had customers over the last year and a half that…[say] “just because you do what you do and you do it in a way that is sustainable you have my business”
Just by the virtue of your value, you’re attracting [an] audience.
[Another] thing that’s important is for you to share your data with your customers. Having a partner that knows how and represents the data back to them is super important in terms of customer loyalty…[it creates] a really virtuous chain reaction of data and action

Adam: There’s this thought that sustainable fulfillment is more expensive, and I think there’s a lot of misconceptions…because reducing waste can absolutely be a very economical and cost effective thing to be doing.
One example we had was a 3PL [that was] working through the prospecting stages of bringing on a merchant…[Their] primary focus…was cost savings. One of the things that we discovered [was] we could help right-size package some of their high-volume products, eliminating waste, and the projected savings on that was 40,000 dollars

Reid: [With less packaging] You’re can also save your operations team from creating the box, closing the box and going from there which eventually plays into an efficiency aspect because [when you’re] looking at the bottom line, it not only makes sense for the customer, but it’s also saving the operations team allowing them to process more orders. So really it’s a win win.

George: Utilizing sustainable materials and sustainable supplies [is] super important. The only thing more sustainable than that is using less of it…[at Manifest] we work with each client to find the optimal packaging.
Bottom line is…customer loyalty.
We all know the upfront customer acquisitions costs in this business aren’t easy to swallow.
So being able to retain those clients and have their loyalty and have them super happy with the service you provide and very proud to be working with you and them seeing you as your true supply chain partner just creates a longer, more prosperous relationship in the long run.

TOPIC 3: STEPS TO TAKE TO CREATE SUSTAINABLE OPERATIONS

Wayne: Is [creating sustainability] incremental, or is it a more wholesale way to…move your operations into a…sustainable mode of operating?

George: Part of the problem [is] everybody wants to be sustainable and build sustainable businesses.
There are very small things that you can start off with and start to make a difference and compound into realistic and formidable progress, and don’t be afraid to lean on what others are doing. Copy us, copy other ideas, and then that’s the easiest path. You don’t need to put pressure on yourself and your team to reinvent the wheel or invent the wheel for sustainability for your fulfillment operations, there are small things that are happening every day all around you that you can start to implement
For example, one of the first things that we decided to do was offset the carbon footprint on all of our shipments.
Something as simple as walking around your warehouse and deciding [if you’re using] the right LED lights that save power,…[implementing] movement track lighting. And then recycling…the amount of trash that gets picked up, the amount of cardboard…that nobody wants to pick up…so figuring out ways what to do with all that excess waste and trash.
All those are steps that compound into really meaningful differences.

Jamie: One of the key factors in the momentum behind sustainability is that there’s so many different avenues to go start.
The more of these opportunities to build your brand and business that you can take advantage of, the more these levers that you can pull, the more advantageous you’re going to be.
LED bulbs, motion sensors, or usage of natural light. Sometimes it’s just as simple as painting your roof white, and minimizing your cooling costs.

WRAP-UP

Adam: There’s a lot of partners, there’s a lot of people out there that can help you, and so I would just say work with those around you, join whatever community partnership you want to in order to take the first steps.
Leverage the community we have in order to make progress on those initiatives.

Reid: Let’s continue to…share [these things]. Let’s continue to make them even better because if we go out there and just hold onto them, that’s not going to be good for anyone. That’s not even a sustainable concept.
The sustainability…is truly in the networking side and also in the delivery side.

George: The market is driving us.
The shift towards sustainability is inevitable, so as a business owner you need to have it on your map.
This is a journey, and small steps are ok. They will compound into more and more progress and…implementation. Adapting that into your roadmap…thinking and…decision making for you and your team is the best way to get started and you’ll be surprised how much progress you can make really quickly just by making decisions and thinking about your business in environmentally friendly and sustainable ways.

SALT LAKE CITY, Jan. 13, 2023 – eHub, a platform that provides streamlined shipping functions for 3PLs and high-growth DTC merchants, announced the launch of a new strategic partnership with Logiwa, the leading cloud fulfillment platform for high-volume direct-to-consumer (DTC) businesses.

In the competitive e-commerce space, 3PLs and online merchants rely on modern technologies to optimize all aspects of the supply chain, including shipping and delivery. Logiwa’s cloud-based warehouse management platform seamlessly integrates with eHub’s API to simplify the complexities of the shipping process.

The joint functionality allows users to find carriers within eHub’s network of more than 150 carriers, shopping carts, and marketplaces. This gives access to shipping capabilities such as rate shopping, package tracking, delivery information, and other core features within Logiwa’s cloud fulfillment platform. Users can also access advanced reporting to track the shipping process and keep the buyer updated on the delivery process.

“eHub is dedicated to providing essential solutions that increase efficiency and drive growth for our 3PLs and merchants,” said Wade Sleater, CEO of eHub. “Pairing Logiwa’s cloud-based fulfillment platform with eHub’s dynamic API provides our customers with flexibility and a competitive advantage unparalleled in logistics.”

“Today’s customer wants quick and cost-effective shipping, making it critical to the success of any e-commerce business,” said Erhan Musaoglu, founder and CEO of Logiwa, Inc. “Partnering with eHub provides customers with a range of tools that will get orders on time and as promised, which translates to a positive customer experience.”

About eHub

eHub connects shippers with carriers, shopping carts, and marketplaces to provide flexibility and competitive advantage through a dynamic API. The eHub solutions provide businesses with cost savings and new revenue through competitive rates, responsive customer services, pre-negotiated shipping contracts, and the eHub Network. The eHub Network offers a variety of complementary advantages to merchants looking for the best 3PL value and advantages to 3PLs looking for new business opportunities. The benefits to 3PLs of partnering with eHub include access to a robust lead sourcing pool, revenue sharing on any leads passed into and placed within the Network, and rate monetization to capture the most significant margin on every package shipped. To learn more about eHub, please visit www.ehub.com.

About Logiwa

Logiwa is the leading cloud fulfillment software for high-volume direct-to-consumer brands, wholesalers, and 3PLs. The Logiwa Cloud Fulfillment Platform is an integrated WMS and order fulfillment system that makes it easy to run a digital warehouse and scale your high-volume DTC fulfillment operations. Logiwa’s solution works where traditional WMS systems fail: it connects quickly with new online stores and marketplaces, makes it easy to run a digital warehouse, and is easily updated to support dynamic warehouse environments. To learn more about Logiwa, please visit www.logiwa.com.

Learn what Priority Mail is, what it does best, and who can save the most by using it for shipping.

Finding the lowest prices, fastest delivery times and best service for your customer shipments can be complicated—especially when carriers offer multiple service options.

Shipping services can be challenging to sort through to find a good fit, and USPS Priority Mail is no different. It includes multiple distinct shipping methods with optimal uses and cost structures.

But if used strategically, USPS Priority Mail offerings can provide you with a competitive edge. Here’s how.

What Is USPS Priority Mail?

Priority Mail is the USPS’s top-tier shipping service. It offers faster delivery (one to three business days), along with a host of other benefits, including:

Priority Mail can ship packages to international destinations and overseas US military post offices. Best of all, using Priority Mail doesn’t have to be time-consuming or costly; by using eHub’s API and native integrations, it’s possible to save time and reduce shipping costs.

The Priority Mail category breaks down into several distinct shipping methods, each with its own advantages, pricing structure, and specific requirements that have to be met to use:

Standard Priority Mail

This primary option functions similarly to standard shipping but with the added perks of Priority. You bring your own box, and shipping costs are based on package weight and delivery distance. Despite the similarities, however, there are additional requirements to get the service upgrade:

Finally, some large, lightweight packages shipped via standard Priority Mail may be subject to additional “dim” charges.

This standard method, though, is the most negligible advantageous way to use the program. It’s a better service, but it’s also a cost increase. One of the following shipping methods is usually a better fit.

What Is USPS Priority Mail Flat Rate?

Flat Rate is built around specially marked packaging of various types and sizes, each with a prest “flat-rate” cost. If it fits in the box, and the total weight is at most 70 pounds, it ships for the cost of the packaging, regardless of actual weight or distance.

PACKAGE REQUIREMENTS

PROS

CONS

Special Considerations

Optimum Use Cases

Shippers save the most using flat rates when shipping heavier items that fit the box, especially if the package needs to travel a great distance. For smaller items, especially those weighing less than 20 pounds, a flat rate may not be an optimal choice.

What Is USPS Priority Mail Cubic?

Cubic offers reduced prices for small packages that weigh less than 20 pounds. Costs are based on package volume and delivery distance, benefiting small-yet-hefty shipments.

PACKAGE REQUIREMENTS

PROS

CONS

Special Considerations

Priority Mail is the USPS’s top-tier shipping service. It offers faster delivery (one to three business days), along with a host of other benefits, including:

Optimum Use Cases

Priority Mail Cubic is exceptionally cost-effective for small, heavy packages, especially when traveling a shorter distance.

Most SMBs aware of the program think they can’t reach the 50k shipment minimum. With eHub as a partner, however, you can use cubic since your shipments are combined with the batch we send their way, qualifying them for the program.

Learn how we’ve helped our customers streamline and optimize their shipping programs.

What Is USPS Priority Mail Regional?

According to USPS, Priority Mail Regional “combines the speed and convenience of Priority Mail shipping with zone pricing to reduce costs.” Like flat rate, it uses designated USPS boxes, but prices are based on distance, resulting in discounts for closer destinations.

PACKAGE REQUIREMENTS

PROS

CONS

Special Considerations

using Priority Mail doesn’t have to be time-consuming or costly

Optimum Use Cases

Since prices are based solely on distance, regional works best for shipments with higher weights and similar dimensions to cubic, but don’t need to travel far—fewer benefits for smaller, lighter, or further-traveling packages.

What Is USPS Priority Mail Express?

Express is the USPS’s domestic overnight and second-day service, delivering to most US addresses 365 days a year.

PACKAGE REQUIREMENTS

PROS

CONS

Special Considerations

As an extension of standard Priority Mail, it comes with many of the same requirements and is subject to dim charges when applicable.

Optimum Use Case

Express is best for time-sensitive deliveries, where the importance of speed outweighs cost. That said, the lighter the shipment and shorter the distance, the less expensive it will be.

This April, the USPS is changing the costs of shipping larger packages. Specifically, they’re adding what is colloquially referred to in the industry as “dims” (short for “dimensional fees”). These dims are added fees based on package dimensions, and depending on what your brand ships each day, some, all, or none of your parcels may be affected.

What’s Happening

Starting Sunday, Apr 3, 2022, the USPS will charge additional fees for specific shipments. These “non-standard package fees” and “non-compliance fees” will affect—and be enforced on—parcels shipped via the following services:

So, if you use any of these services when shipping your products, look for the fees described below.

The “Non-Standard Package Fees”

These fees are based on the size of the package you are sending. Not the internal measurements of the product or items in the package but the amount of space the whole thing will take up in a mail truck. They base these fees on two measurements: the length and the cubic volume.

The “Length Fee” affects all packages over 22” in length:

Dimension Graphic Ruler

The “Cube Fee” affects all packages over two cubic feet in volume, regardless of other measurements. This fee is $15 for any package that exceeds the limit.

Now, unless you’re familiar with the USPS Priority Mail Cubic service, you might not be used to calculating the cubic volume of a package you’re using, so here’s how you can get that figure:

  1. Measure the Length (L), Height (H), and Width (W) of the package in inches
  2. Multiply L x H x W to get your cubic volume in inches
  3. Divide that figure by 1728 (which is 12 inches cubed, i.e., one cubic foot)
  4. The final result is your package’s volume in cubic feet

If that final number is more significant than 2, the $15 cube fee applies.

One final note on non-standard package fees: they’re additive. In other words, if your package is over 22” long and more than two cubic feet in volume, the fee total will be $19. If it’s longer than 30” and more than two cu. Ft., the total is $30.

The “Dimension Non-Compliance Fee”

There’s one other fee to watch for. If you hand off your package without properly labeling it with accurate dimension measurements (and thus, paying for the appropriate fees as part of the postage), you’ll also get hit with a non-compliance fee. This $1.50 fee applies to any package that’s:

But the fee only applies if you fail to provide dimensions or if the measurements you provide are inaccurate (such as listing the measurements of the product inside or the internal measurements of the box it’s in). It’s important to note that most shipping boxes list their internal dimensions, not their external ones, so be sure to double-check those figures.

Does This Affect Your Shipping Costs?

While few (if any) brands sell products that use identical shipping packages across the board, not all brands sell products that require boxes big enough to incur these fees. In other words, any package you ship more minuscule than the above dimensions won’t be affected, and you won’t see any price increase.

You might also have noticed that several other USPS offerings weren’t included in the list of those affected by the fees, such as:

That’s because the requirements to ship via these programs are already under the abovementioned limits: flat rate and regional both use boxes provided by the USPS, and cubic limits every measurement to 18” or less. So if you primarily use these services, you’re in the clear.

If you find that your packages fall into these additional fees, reach out to us to see if there’s a way to ship your products for less.

If online retailers have sold products to anyone in the European Union (EU) as of July 1, 2021, they’re most likely aware that taxation changes have been made. Non-EU retailers have been given new options for VAT payment in the EU. Online retailers, as well as consumers, will need to know what these changes and new rules are, why these changes have been implemented, and the options for businesses to incorporate them.

What has changed with EU import VAT?

The EU eliminated its €22 tax de minimis, implemented new value-added tax (VAT) regulations, and encouraged online retailers to adjust their methods of importing goods into the EU.

Before July 1, anyone importing goods into the EU valued under €22 was not charged VAT. Now (post-July 1, 2021), all low-value imports (where the total value of goods is less than or equal to €150) are charged a VAT fee applied to the COGS value (cost of goods sold).

Why the change?

There are several reasons why the EU decided to remove the €22 de minimis and distance selling threshold that previously voided the VAT fees for orders under the threshold, including the following:

1. VAT fraud
A massive amount of VAT fraud has been occurring in the EU, averaging around €7B in VAT fraud each year. The new rules aim to make shipments more secure and eliminate processes that allow fraud to occur quickly.

2. Level the playing field
The EU incorporated the VAT scheme in an attempt to level the playing field between domestic and foreign retailers. Online EU retailers previously paid VAT on all orders, regardless of the value of the delivered goods, while retailers from countries outside of the EU could slide under the de minimis, allowing them to offer more competitive pricing. As of July 1, 2021, non-EU retailers must also pay VAT fees on all of their shipments into the EU, helping EU retailers stay competitive.

it’s extremely important to consider what kind of experience retailers want their customers to have

Non-EU online retailers also have the cost of international shipping and the task of finding and paying for an intermediary/fiscal representation. EU retailers do not need an intermediary, and their domestic shipping costs are significantly less expensive than international shipping costs. While the EU initially intended to level the playing field for domestic EU sellers, the changes have given them quite the advantage over non-EU retailers.

An intermediary is a European tax representative, usually an international accounting firm, who acts as an in-country agent for online retailers selling into the EU. After retailers acquire an IOSS number, the monthly remittance of VAT for all EU sales will need to be paid to their intermediary, who will then go on to pay it on the seller’s behalf to the country that they’ve selected for representation.

3. Tax revenue
A more obvious benefit, but a benefit nonetheless, is that the EU’s removal of the de minimis causes an increased tax revenue.

4. Simplify
The new VAT scheme is intended to simplify the VAT collection process. IOSS offers a new optional method of VAT collection by pre-collecting the EU import VAT.

Were online retailers and consumers ready?

Despite months of news coverage, many retailers were not prepared for the VAT scheme when it launched and have had difficulty incorporating the new scheme. Some local governments were unprepared to enforce the new rules, and communication has been less than ideal. The EU, retailers, and customers are still experiencing somewhat of a transitional period; however, implementation is getting better. Despite the difficulties of these changes, businesses should never try to cheat the system, engage in illegal shipping conduct, or fail to comply with the new VAT scheme because it will result in penalties.

What does the new EU VAT scheme mean for online retailers and consumers?

With the new VAT scheme, online retailers must decide how they want their EU consumers to receive their packages. While there are several different options to handle VAT collection, this article focuses on IOSS.

IOSS service

The Import-One-Stop-Shop (IOSS) service allows retailers to register in one European country (their choice) and report all European sales in a single VAT return to that country. For example, if a seller registers for an IOSS number in Ireland, they will report and remit taxes for all EU sales there. Ireland would distribute the VAT collected to the countries where the sales occurred.

This simplifies the registration and remittance process because retailers don’t have to register in multiple countries as they did previously with the distance selling thresholds. However, it does require non-EU businesses to appoint and pay for an in-country representative who will go on to disperse their collected VAT and take on liability if the non-EU businesses don’t pay.

When using an IOSS registration number on import documents, retailers must select DTU/DAP to ensure they will not be charged carrier disbursement or advancement fees on their shipments into the EU. Bypassing these fees can save sellers up to $16 (USD) per shipment, which adds up.

It’s also important to note that once sellers register for IOSS, they must stick with it. Sellers cannot pick and choose which orders to collect VAT on and ship with their IOSS number…it’s all or none. All low-value orders imported into the EU must include the online retailer’s IOSS number. However, if sellers decide they need to withdraw from using IOSS, it is possible to deregister, but they will have to cancel their VAT registration. They must also be on good terms with the country of VAT registration (current on VAT payments).

IOSS is only applicable for B2C (business to consumer) shipments where the value of the products is equal to or under €150. Retailers considering IOSS should evaluate how many shipments fall under the threshold. Many carriers have gone on record stating that they support the IOSS program since the VAT will be prepaid, and the online retailer will avoid paying the carrier’s advancements or third-party collection fees. Other carriers have said they will only work with IOSS-registered merchants.

IOSS can potentially have a quicker transit time than DDU (delivered duty unpaid) packages. IOSS also has the capacity to provide the best customer experience. The presence of an IOSS number on a package helps increase the potentiality for a more efficient customs clearance process because it lets customs know that VAT will be remitted later to HMRC (Her Majesty’s Revenue and Customs), which allows the package to move directly out for delivery once it has been cleared.

The IOSS number is required on every shipment. Displaying and collecting VAT at checkout [along with the other fees that make up a landed cost] also provides price transparency, letting customers know the entire landed cost at the time of purchase with no surprise fees upon delivery. This allows for a good customer experience, resulting in great reviews, fewer returns or abandoned packages, and possible repeat customers.

Other options

The additional options to manage VAT collection are as follows:

Note that it’s extremely important to consider what kind of experience retailers want their customers to have—displaying and collecting VAT, along with all other fees that comprise the landed cost, at checkout results in a clear, simple, and positive customer experience.

For the pleasure that you bring when you make that doorbell ring, no trip will be too far.

It’s the most wonderful time of the year for e-commerce retailers.

Whether your store sells perfume for Singles Day (China’s version of Black Friday), dreidels for Hanukkah, candles for Kwanzaa, or giant, blow-up Rudolph lawn ornaments for Christmas, holiday spending accounts for as much as 35% of retailers annual sales.

Here at eHub, the holidays are our championship playoff. We train year-round to help our e-commerce clients meet the increased demands of the season. Keep reading to see what our top-notch team of shipping elves says about how you can use your shipping program to capture more of the projected $910B consumers will spend online this holiday season.

If you have many customers who don’t live on the US mainland, having a reliable shipping partner will ensure your success this holiday season

Whether you need help negotiating with carriers, navigating international shipping laws, pricing out branded packaging, or finding the best rates, EHub can help. Give yourself the gift of a shipping expert this year and contact us for a quote.