Halloween season is here! As pumpkins are being carved and candy bowls set out, it’s also just the right time to discuss some scary mistakes made by shippers. Let’s take a look at the top 5 errors commonly made in freight shipping, so we can be sure your fall business is full of treats, not tricks!

Mistake #1: Improperly Packaging Your Shipment
The first mistake freight shippers make happens even before a pick-up is scheduled and the load is in transit! Packaging your product critically protects from damages both during the move and unloading at multiple terminals. Whether you are shipping in boxes or on a pallet, it’s important that both are sized just right, and in solid condition. In fact, a box can lose up to 50% of its structural integrity after a single shipment. Too much space can allow your product to shift, which can increase opportunity for damage. Use proper cushioning and foam inserts, as well as exterior wrapping especially if you have multiple pieces. Be smart, try to group multiple units into a single load so they do not get separated during the move.

Mistake #2: Bill of Lading (BOL) Errors
Another scary shipping mistake concerns paperwork errors. These include details such as entered weight, freight class, and shipping addresses provided on the BOL. All three are elements that help determine a freight rate for your shipment. Any errors made on these factors will most likely cause a discrepancy and an increase in rate due to re-weigh fees, adjusted classes, and re-delivery charges if an address is invalid or incorrect. Holding a shipment at a terminal for any length of time while determining the appropriate address can incur holding fees as well. Often, shippers will intentionally use a lower class than what is accurate for their shipment, hoping to slide by inspection. If flagged, the shipment will be billed at the higher actual class, and the shipper will be responsible for the difference. Guessing approximations for weight is risky too, because if the discrepancy is caught, the shipper will pay a re-weigh fee and the difference in weight. Having accurate details on your shipping paperwork is key in avoiding unplanned shipping costs.

Mistake #3: Forgoing Additional Insurance Coverage 
A third scary shipping mistake refers to insurance and liability. This becomes extremely important in the unfortunate case that your shipment should become lost or damaged. Each carrier offers limited liability on freight shipments, with the amount of coverage set at a fixed dollar amount per pound of freight determined by carrier and commodity. It is the responsibility of the shipper to prove that the shipment was in good condition and packaged correctly at pick-up. The carrier will then attempt to prove that it was not negligent or responsible for the damages incurred in transit. The final approval or denial of the claim can take some time, and you cannot always count on getting damages paid out, no matter how thorough you are. Your best line of defense is looking into supplementary insurance. Freight insurance acquired on your own or through your shipping partner provides more protection than relying on the carrier alone. Even if you do win a claim and get paid out by the carrier, liability may be limited, and you may not get the full amount of your claim. Purchasing additional insurance can help, and it’s important to understand your policy before you ship. PartnerShip understands you need peace of mind, and we offer supplementary freight insurance at a minimal additional cost as an option on all freight quotes.

Mistake #4: Choosing the Incorrect Service/Accessorials
Most carriers offer different time-sensitive service levels depending on the urgency of your freight shipment. Expedited, guaranteed, time-critical, and truckload are a few. Guaranteed services help you stick to a delivery schedule with a specified on-time delivery, by either 12 PM or 5 PM. Expedited and Time-Critical services offer faster transit times and a more urgent delivery. All of these services tend to be costly, so it is important to determine what your transit time needs are, well in advance. Delivery schedules can be delayed due to inclement weather, missed pick-ups, and a heavier shipping season. Building extra time into a delivery deadline can help avoid unnecessary expedited costs that add up, especially as we head into the holidays.

Another common error that shippers make is neglecting to add-in the cost of additional services, or accessorials, when they get their freight quotes. Be mindful of what is needed at the shipment's origin or destination. Does the shipper need a lift-gate at pick up? Do they have a dock? Is it being delivered to a residential location, or at a school or construction site? Chances are, there's a fee for that. It's important to learn everything you can about pick-up and delivery services that may be required, and inform your carrier or service provider before you get a rate for your freight.

Mistake #5: Leaving Inbound Shipping to Vendors
A final, costly error that many shippers make is leaving inbound shipping decisions completely up to their vendors. Commonly, businesses may allow the vendor shipping your order to arrange with their own carrier choice, marking the freight charges as "Prepaid," and then including those charges in your invoice. Taking control of your inbound shipping is one of the easiest ways to cut your shipping expenses, and working with a 3PL such as PartnerShip is one way to make sure you are saving on your inbound freight.

At PartnerShip, we can provide an inbound shipping analysis by looking at what you pay and whether we can save money on your shipping costs. Our team can contact your vendors on your behalf, create updated routing requests, and inform them of your specific shipping instructions. We offer consolidated invoicing and audit all of your inbound freight bills for accuracy. Think you might be able to save on your outbound shipment? We've got your back on those, too.

Keeping your shipping costs low and your freight safe may seem intimidating, but it doesn't have to be scary. When you work with PartnerShip, our shipping experts will double check shipment details, compare your pricing, and make sure you are covered from pick-up to delivery. Take your freight shipping from spooky to stress-free and contact us for a free shipping analysis!

Cargo at rest is cargo at risk. Freight theft is an unfortunate but all too common occurrence in the shipping world, especially as we ramp up to the holiday season. CargoNet estimates that cargo theft cost businesses $114 million total in 2016 and while the frequency of reported freight theft hasn’t necessarily increased, criminals targeting freight have evolved and become more sophisticated in their theft strategy. The improved theft tactics have resulted in more expensive losses per incident for business owners. How can shippers defend themselves? PartnerShip has created a helpful white paper explaining all you need to know about cargo theft:

• Commonly targeted commodities
  What products are targeted most often and why? 
• Hot spots for freight theft
  Where are the most common areas with high incidence of theft? What patterns and industries do we need to look at? 
• How cargo theft tactics are changing
  What strategies and methods are being used by criminals? 
• What you can do to protect yourself
  How can shippers deter cargo theft in warehouses, shipping yards, and during transit?

Download the free white paper: Cargo Theft: How to Reduce Your Risk

Cargo theft is a scary reality for shippers across the United States, and statistics can be overwhelming. PartnerShip is by your side through your shipment’s journey. As your trusted logistics provider, we work with vetted and reliable carriers committed to the safety of your freight. We offer tracking and follow-up through your entire shipment transit time, to be sure everything is moving smoothly and on schedule. Visit Partnership.com/WhitePapers for more helpful shipping information or give us a call at 800-599-2902!

You may have heard that FedEx announced its General Rate Increases (GRI) for 2018. In the past few years, UPS has been the first of the two major small package carriers to make an announcement for the coming year, but this time FedEx is taking the lead.

Here are the announced average increases that will take effect January 1, 2018:

• 4.9% for FedEx Express domestic and international services
• 3.5% for FedEx One Rate
• 4.9% for FedEx Ground and FedEx Home Delivery
• 4.9% for FedEx Freight

As it’s important to remember every year, these averages don’t paint a complete picture. The zones you typically ship to and the services you typically use could dramatically affect the actual increase you’ll see on your invoices. Some are much higher than the average, while others are much lower or remain the same. UPS is likely to make its announcement for 2018 rates soon and if history is any indication, the averages will be similar to its competitor. 

FedEx and UPS traditionally have similar average rate increases, but in the last few years their base rates have diverged a bit. Ground base rates used to be nearly identical, but in 2017 the two carriers took different increases in different zones, making it harder to compare apples-to-apples. On top of that, they also implemented slightly different approaches to dimensional (DIM) weight pricing, by using different DIM factors. As a result, looking at what would be most cost effective for you and how your rates will change has become more complicated.

Another trend that we’ve seen from UPS and FedEx is the announcements of additional changes throughout the year, separate from the GRIs. The announced averages have gone down in recent years, but these mid-year adjustments can sometimes have a larger impact.

One example of this is the new peak season surcharges that UPS is implementing for the holidays this year. UPS recently announced that it will apply a 27-cent charge on all ground residential packages during its busiest weeks in November and December. FedEx is taking a notably different approach and forgoing any additional holiday residential surcharges except for  packages that are big or bulky enough to require special handling.

Both UPS and FedEx attribute charges like this to the rise of e-commerce, which has brought a sharp increase in residential shipments, particularly oversized items like furniture and exercise equipment. These kind of parcel shipments put a strain on their networks and their sorting machinery, and they've been finding ways to make up for these costs.

FedEx is also making a couple of additional moves to address the changing nature of parcel shipments in 2018. It will now apply a surcharge for shipments with third-party billing – mimicking a move that UPS made at the beginning of 2016. FedEx will also begin applying a DIM factor of 139 to all SmartPost parcels, effective January 22. UPS already applies DIM weight pricing to SurePost packages, but uses a higher DIM factor for packages 1,728 cubic inches and under.

Every year, when the new rates for UPS and FedEx are out, PartnerShip does a complete analysis so you can determine what effect it will have on your business. Subscribe to the PartnerShip Connection blog to be alerted when it’s out so you can start planning for the new year and learn how to mitigate the rising costs of small package shipping. 

It’s sort of like the “Twilight Zone” of freight: the murky gray area between less-than-truckload (LTL) and full truckload shipping. Many shippers only use either LTL or full truckload, but sometimes a load is bigger than LTL but not as large as a full truckload. When this happens, you can ship your freight partial truckload or volume LTL.

Do you know the difference between partial truckload and volume LTL shipping? Or when you should use these services? Understanding partial truckload and volume LTL shipping and when to use each will make you a smarter, more competitive shipper.

In the LTL world, these in-between shipments are called volume LTL, and in the truckload world they are called partials (for partial truckload). For many shippers, the choice between services depends on transit time, rate and service level required.

First of all, let’s define the services and explain the difference between partial truckload and volume LTL shipping.

Partial truckload
Shipments that are larger than LTL but less than a full truck trailer are considered partial truckload. Partial truckload shipments usually range from 8 to 18 pallets, 8,000 to 27,500 pounds, and occupy more than 12 feet of linear space in a trailer.

Volume LTL
Large shipments that do not require a full truck trailer and that are typically 6 or more pallets, weigh over 5,000 pounds, or occupy more than 12 linear feet in a trailer can be considered volume LTL.

Clear as mud, right? The reality is that in many cases partial truckload and volume LTL freight is the exact same thing, but the differences are in its pricing, classing, transit time and handling.

The main differences between partial truckload and volume LTL shipments:

• Partial truckload shipments do not require a freight class; volume LTL shipments do
• Partial truckload rates are established by the market and are determined by mileage, specific lane, weight and space required; volume LTL quotes are obtained from an LTL carrier and are based on a carrier’s published LTL rates
• Partial truckload carriers usually do not stop at hubs or terminals, leading to a higher percentage of on-time deliveries, less handling of freight and less damage
• Partial truckload carriers typically offer freight insurance, which is often greater than the freight liability LTL carriers offer
• Volume freight must be crated or on pallets in order to move through an LTL carrier’s system; truckload freight does have the same requirement

To illustrate the potential difference between partial truckload and volume LTL pricing, we priced out a sample shipment.

The freight:

• 8 pallets, 48”x40”x96”
• 12,530 lbs.
• Non-hazardous, non-flammable petroleum oil in plastic bottles (Class 65)
• Ship from: Macedonia, OH 44056
• Ship to: Laredo, TX 78040

Volume LTL cost - $1,593.00

Partial truckload cost - $1,195.00

LTL networks are generally optimized for shipments less than 12 linear feet and one to six pallets, and because this shipment example falls outside of those parameters, the volume freight cost is higher than the partial truckload cost.

Some helpful partial truckload shipping tips:

• Shippers must be more flexible on the pickup and/or delivery dates than for LTL shipments
• Loads traveling less than 250 miles are usually not good candidates for partials
• Floor-loaded or loose items are not ideal for partials
• Partial truckload shipping rates are contingent on available capacity, lanes and distance
• If pickup or delivery appointments are required, there is a high probability that appointments will be missed and layover fees may apply due to the variables involved with partials

Partial truckload services aren’t offered by every carrier but a freight broker like PartnerShip can help you find partial truckload or volume LTL capacity. We work with a large network of LTL and truckload freight carriers and will find you the best rate and service level for your needs. Contact our shipping experts at 800-599-2902 or email sales@PartnerShip.com whenever you need to ship smarter.

Get a free quote on your next LTL freight shipment or truckload freight shipment!

Hurricane Harvey was one of the most devastating storms of the past century and the cleanup is underway in Houston, Texas. PartnerShip wanted to do its part to help recovery efforts and has partnered with several local Westlake, OH community organizations to provide drop-off locations for items needed to help Houston and its residents get back on their feet. PartnerShip will pay the cost of shipping donated items to the Houston Food Bank. 

“We wanted to help,” says PartnerShip President and COO, John Finucane, “and the best way to do that was to arrange and pay the cost of shipping the most needed items, like non-perishables, paper products and cleaning supplies, so that they could be distributed to those that need it most.”

The needed items list includes:

• Canned, ready-to-eat items with pull tops, like vegetables and fruit
• Protein in pouches or pull-top cans, such as tuna, beef stew, chili, and canned chicken
• Peanut butter
• Snacks, like granola bars, breakfast bars, etc.
• Toiletries, paper goods and diapers
• Bug spray
• Garbage bags and cleaning supplies, like mops, buckets, brooms, bleach wipes, and bleach

Donations can be made at these Westlake, OH community drop-off locations:

• Westlake Porter Public Library, 27333 Center Ridge Road, Westlake, OH 44145
• Westlake Rec Center, 28955 Hilliard Boulevard, Westlake, OH 44145
• PartnerShip, 29077 Clemens Road, Westlake, OH 44145

While we appreciate any act of generosity, we ask that these items not be donated: clothing, used items, fresh fruit and vegetables, and perishable food items.

Our neighbor SJT Enterprises will store, sort and palletize the donations until they are ready to be shipped to Houston.

If you would like to help in the recovery, monetary donations can also be made to your choice of organization:

• The Red Cross
• The Humane Society of America
• Houston Food Bank

Drop-off donations will be accepted until Saturday, September 30, 2017, but financial donations can be made at any time to the organizations listed above.

National Truck Driver Appreciation Week is nearly here and PartnerShip would like to recognize the men and women truck drivers who dedicate themselves to moving our freight where we need it to go. “Our truck drivers work safely and efficiently to deliver America’s goods and deserve this recognition all year round. We set aside this week to pay special tribute to their continued work and excellence for America,” said American Trucking Associations (ATA) COO and Executive Vice President of Industry Affairs Elisabeth Barna.  

September 10-16, 2017 marks a week-long event where the industry recognizes these hard-working and tireless individuals. PartnerShip is saying “thank you” by giving a Dunkin Donuts gift card to truckload drivers who move a load for us during that week. Keep your energy up on those long hauls with a cup of coffee on us, delivered to you via email or text. We appreciate the hard work our carriers put in and we would like to recognize our friends on the road for all they do in helping us ship securely and dependably for our customers.

If you would like to learn more about National Truck Driver Appreciation Week and the American Trucking Associations, visit the ATA website for more information. To become a partner carrier, please check the PartnerShip Load Board and contact one of our Carrier Procurement Representatives for a setup packet at carriers@PartnerShip.com or visit our Becoming a PartnerShip Carrier webpage.

One of the most devastating storms of the past century, Hurricane Harvey, has left its destructive mark on Houston, Texas, and its impact will create a ripple effect on shipping that will be felt for months, if not years.

The entire PartnerShip team holds everyone impacted by Harvey in our thoughts, and we'd like to thank everyone that has assisted in the relief efforts.

According to DAT, inbound and outbound freight volume for Houston was down 10 - 15%, and its analysts expect that number to hit 75 or 80 as storm clean-up begins.

Logistics research firm FTR predicts similar countrywide supply chain effects and increases in rates. “Look for spot prices to jump over the next several weeks with very strong effects in Texas and the South Central region,” according to FTR economist Noël Perry. FTR noted that rates gained 7 percentage points in the five months after Hurricane Katrina in 2005 and spot market rates jumped 22% in the weeks following massive snowstorms in 2014.

FTR states that the most immediate effect on capacity is caused by trucks waiting for the area to become passable so they can resume operation. Longer-term effects to capacity will include the relief shipments, additional construction supplies as the area rebuilds, reduced productivity due to freight lane shifts and rerouting, and increased congestion at loading docks caused by these supply chain disruptions.

Other considerations for shippers:

• Harvey has shut show about 20% of US oil refining capacity in Corpus Christi, Port Arthur, Lake Charles and Houston. The disruption will drive up fuel prices and the fuel surcharges carriers charge for every load.
• As noted, carrier capacity is going to get tighter. FEMA and other agencies are putting pressure on the market to move equipment and supplies to the area. This capacity tightening should first affect flatbeds to move heavy equipment, then reefers to move food, then dry trailers for dry goods and other supplies.
• It is likely carriers may struggle keeping their commitments to you in the short-term as FEMA and other agencies will pay a premium to move needed equipment and supplies. You may need to shift your carriers around in order to secure the capacity you need.
• Your transportation costs will increase. Be prepared to pay 5 - 22% more in the short term.
• Your customer demand will change. Your customers or suppliers may cancel shipments, or add shipments, or reroute shipments. Until operations in the Houston area resume and get back to normal, there will be interruptions in every industry’s supply chain.

The holidays are approaching and that means an increase in small package shipping. If you use UPS for residential Ground shipping, you’ll also see new holiday residential shipping surcharges from the Atlanta-based company.

UPS announced that it will add a 27-cent charge on all Ground residential packages sent between November 19 and December 2. This includes two of the busiest online shopping days of the year, Black Friday, which is November 24 and Cyber Monday, which is November 27.

The charge hibernates for two weeks, then returns December 17 through December 23, during which time all Ground residential deliveries will see the additional 27-cent charge, plus an additional 81-cent charge for next-day air shipments or an additional 97 cents for two-day or three-day delivery.

According to financial news outlet Bloomberg, the surcharges will increase the cost of UPS residential deliveries by roughly 3 percent.

The stated reason for the company’s surcharge increases is that online shopping and e-commerce has grown significantly over the last twenty years and UPS sees a huge influx of packages during the holiday shopping season that puts stress on its systems, processes and machinery. On an average day, UPS processes around 19 million packages but during the holiday season, that number swells to 30 million packages.

In order to meet demand, UPS says it has to add planes, trucks, and thousands of employees; and the surcharges are necessary to offset the additional cost of the holiday package surge.

“UPS’s peak season pricing positions the company to be appropriately compensated for the high value we provide at a time when the company must double daily delivery volume for six to seven consecutive weeks to meet customer demands,” according to Glenn Zaccara, a spokesperson for UPS.

UPS is also adding a Large Package surcharge of $24 and a Over Maximum Limit surcharge of $249. Both of these UPS surcharges are effective November 19 through December 23, 2017.

In a notable departure from UPS, FedEx will not apply residential surcharges this holiday season, except for packages that are big or bulky enough to require special handling.

Between November 20 and December 24, 2017, FedEx Express and FedEx Ground in the U.S. and Canada will increase the additional handling surcharge by $3 per package and $25 per package for oversize packages. The largest surcharge of $415 per package is only applied to packages that exceed the FedEx maximum size limit and cannot move through its sorting equipment.

With the additional handling surcharge for oversized packages, both UPS and FedEx are trying to discourage large and heavy, odd-sized shipments, because they cannot pass through its automated systems and require additional handling. In fact, the volume of oversized packages handled by FedEx Ground has increased 240 percent during the past ten years and is now 10 percent of the ground operation’s volume. This is “largely driven by expansion of e-commerce into sports equipment, furniture, mattresses and other things that weren’t largely available on e-commerce 10 years ago,” according to Patrick Fitzgerald, senior vice president of marketing at FedEx.

It's important to evaluate how you these changes might affect your shipping costs. Through a PartnerShip-managed shipping program, you can receive significant discounts on select FedEx services - resulting in savings that can help to offset cost increases like these. If you're not sure if you qualify for one of our small package shipping programs, contact us and we'll find the solution that's right for you.

Damaged freight is every shipper’s worst nightmare. To make it worse, filing freight claims is a complex and frustrating process. There is a lot you need to know about what to document, what to file, and what the Carmack Amendment covers. Before you find yourself in this mess, it’s best to learn some of the basics.

First, damaged freight isn’t the only type of freight claim you may encounter. You may also experience a shortage or a lost shipment all together. And then there’s the concealed claims – when the cargo damage or shortage is discovered after delivery and reported after the driver leaves. As you can imagine, there can be extra hoops to jump through in these situations.

Before you can understand what to do in the case you need to file a cargo claim, you need to understand the Carmack Amendment. This law addresses the issue of liability between shippers and carriers. Under this law, you have to establish that the goods in question were picked up in good condition, delivered in damaged condition, and resulted in a specific amount of damage.

Once you’re able to prove that these requirements were met, the carrier is held liable unless it proves that it was not negligent and the cause of cargo damage was one of the following: 

• Act of God 
• Public enemy
• Act of default of shipper 
• Public authority 
• The inherent vice or nature of the goods

If you have to file a claim, it’s best to do it as soon as possible. You typically will have 9 months from the delivery date, or only 5 days in the case of a concealed claim. You’ll want to have the Proof of Delivery (POD), the original Bill of Lading (BOL), freight bill, merchandise invoice, and replacement invoice or repair bill to support your claim. Taking pictures to include is also very helpful.

Unfortunately there are several issues that could cause your cargo claim to be denied. If you want to secure a fair resolution, make sure your documentation is accurate, your claim includes specific details, and you have proof that you attempted to mitigate the damage.

The subject of freight claims is complicated, but that doesn’t mean you’re out of luck. PartnerShip has developed a helpful white paper that details everything you need to know about filing a freight claim. It also provides you with important information that will teach you how to package your shipments to avoid damaged freight, how to set procedures for accepting freight that protects you in the event you need to file a claim, and how to ensure your claim doesn’t get denied.

Download the free white paper: Everything You Need to Know About Freight Claims!

Weight, density, distance, and freight classification are all important variables that help to determine your LTL freight rate. Periodically,the National Motor Freight Traffic Association (NMFTA) will update and rework these freight classes in order to keep up with industry changes when needed. One such change went into effect on August 5, 2017 and has adjusted the NMFC class breakdowns on several categories of freight shipments. What are these changes and how will they affect you as a shipper?

The most significant change is seen in the categories of LTL freight that are classed according to a shipment's density or pounds per cubic foot.Typically, the lower the density, the higher the shipment will be classed (and the higher your rate will climb). Commodities such as Plastic Articles (15660), Wire Goods (198080) and Clothing (49880) are affected by this freight class update in addition to 138 other density-based freight classes.

The good news for shippers is that the new 11-tier system will provide a lower freight class for LTL shipments that are VERY dense (over 22.5 lbs per cubic foot).  If you are currently shipping loads that fall within this category, the lower freight class will potentially save you money going forward.

The other change affects mid-ranged LTL freight shipments with a class of 4-6 pounds per cubic foot previously set at class 150. With the new 11-tier breakdown, these shipments will be increasing to an updated class 175. Illustrated below, is the adjusted 11-tier classification system that will be replacing the former 9-tier model. Bold-faced density descriptions (subs) are the revised breakdowns.

It's important to mention that shippers with a FAK on certain types of commodities will also be affected. For example, if a shipper has been regularly shipping actual class 150 items at a FAK 100, and the density is 4-6 lbs per cubic foot, the shipment will now move at actual class 175 and the FAK will no longer apply.

What can shippers do to empower themselves and ensure they are doing the most they can to keep their LTL freight shipping costs low? At PartnerShip, you work directly with a dedicated freight specialist who will assist in calculating the accurate density of your shipments, and their proper freight class. Additionally, PartnerShip expertly audits your freight bills and will check for common invoicing errors, such as incorrect discounts and carrier mistakes—which cost your company money and affect your bottom line! If you are unsure on how to proceed with classifying your freight, or have a shipping challenge and don't know where to begin, PartnerShip can help point you in the right direction.

Find your freight class online!