Tradeshow Shipping: 4 Essential Resources

December 4, 2019 at 4:35 PMLeah Palnik
4 essential resources for tradeshow shipping

Any seasoned exhibitor will tell you that tradeshow shipping is not something you can take lightly. There are deadlines to plan for, hidden fees to be mindful of, and options to consider. You need all the help you can get. If you want to ensure the exhibit transportation for your next show goes smoothly, these resources are for you.

  1. Read some pro tips from an expert who has seen it all.
    Jennifer is one of our Customer Service Managers and has helped countless exhibitors arrange their exhibit transportation. The nature of tradeshow shipping makes it susceptible to a number of issues. However, being prepared can make all the difference. She shared some best practices with us that are tried and true.

  2. Learn about sneaky costs that may come up and how to avoid them.
    Perhaps one of the most frustrating parts of tradeshow shipping is how it often feels like you’re getting nickel-and-dimed at every turn. This helpful video goes over some costs you may incur and hidden fees you might not be aware of, so your budget isn’t wrecked.

  3. Check out this full break down of pros and cons for shipping to the advance warehouse vs shipping directly to the show site.
    One of the most important decisions you have to make when arranging your exhibit transportation is where you’ll be shipping it to. Depending on your situation, the advance warehouse may be the way to go or it might make more sense to ship directly to the show site. Make sure you’re considering all of the factors first by reading this blog post.

  4. Get the complete guide to planning for your show so no detail is overlooked.
    As an exhibitor, there are a number of things you have to do before, during, and after the show. In this white paper, we’ve compiled all of the need-to-know info so you can avoid some common mistakes and ensure you’re working efficiently.

The best way to handle your tradeshow shipping is to be prepared and to work with a freight provider you can trust. PartnerShip has extensive experience helping exhibitors and alleviating some of the headaches of exhibit transportation. Have a show coming up? Get a free quote!

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Freight Shipping Documents 101

October 9, 2019 at 8:40 AMLeah Palnik

If you're new to freight shipping, there are a few documents you will come across frequently that you may be wondering what they are, why they are used, and what the differences of each are. For instance, what's the difference between a freight bill and a bill of lading; what do BOL and POD stand for; and what is a weighing-and-inspection report? Knowing these documents and their purpose can help avoid misunderstandings that might undermine an otherwise mutually beneficial business relationship between you and your third party logistics provider, carriers, suppliers, or even customers.

What is a Bill of Lading?

The bill of lading, or BOL as it is often called, is a required document to move a freight shipment. The BOL works as a receipt of freight services, a contract between a freight carrier and shipper, and a document of title. The bill of lading is a legally binding document providing the driver and the carrier all the details needed to process the freight shipment and invoice it correctly. The BOL also serves as a receipt for the goods shipped. Without a copy signed by the carrier, the shipper would have little or no proof of carrier liability in the event the shipment was lost or destroyed.

When you schedule a shipment through PartnerShip, the BOL is automatically generated based on the shipment details entered during the quoting and shipment creations process. You are welcome to use our BOL or you can use your own if your order system already generates one. Either way, the BOL should be provided to the carrier on pickup and will be delivered to the consignee on delivery.

When composing a BOL, it is important to provide weight, value, and description of every item to be shipped. The BOL spells out where the freight will be collected, where it will be transported, and any special instructions on when and how the freight should arrive. Traditionally, the BOL also serves as title to the goods thus described; in other words, it can serve as an official description of loan collateral.

What is a Freight Bill?                                        

Freight bills, or freight invoices, are different from bills of lading in that they do not serve as a key piece of evidence in any dispute. The freight bill is the invoice for all freight charges associated with a shipment. While freight bills should match up closely to their BOL counterparts, they can also include additional charges (such as accessorials), information, or stipulations that serve to clarify the information on the BOL. When you are looking for an invoice to examine as part of a shipping analysis, you will generally use the freight bill rather than the original BOL since it will have the freight cost information on it.

In effect, freight bills are similar to other invoices for professional services your business might collect. Although they may seem less important during the freight shipping process, they should be retained long term. Because PartnerShip both automatically audits every one of our customers' freight bills, we have been able to avoid many cases where human error or carrier mistakes would have led to erroneous charges on your freight bill. PartnerShip customers can easily access copies of their freight invoices online at PartnerShip.com.

What is a Proof-of-Delivery?

A proof of delivery, or POD, is a document that is used when a shipment is delivered. The consignee signs this document to confirm delivery. Some carriers will have the consignee sign the BOL as confirmation of delivery. In other cases, carriers will use their own delivery receipt (DR), or even a copy of the freight bill. The consignee, when accepting delivery of the goods, should note any visible loss or damage on the delivery receipt (or whatever is used as the POD). It is your right as the freight shipper to request a copy of the POD at any time.  

What is a Weighing and Inspection Report?

A weighing and inspection report, or W&I report, is a document you may encounter less frequently. The W&I report comes into play as part of a carrier's process to inspect the freight characteristics of a shipment to determine that it accurately matches the description that is on the BOL. If the actual shipment weight is different than the weight that is shown on the BOL, then a W&I report is completed noting the change.

When a customer receives a freight bill with charges greater than what was originally quoted, often times this is due to this sort of weight discrepancy.  The customer has the right to request a copy of the W&I report from the carrier if needed to confirm the reweigh was performed and is valid. 

What is a Cargo Claims Form?

A cargo claims form, or simply claims form, is a document that carriers will require a customer to complete if there is any sort of shortage, loss, or damage "claim" with a shipment. A claim is a demand in writing for a specific amount of money that contains sufficient information to identify the shipment received by the originating carrier, delivering carrier, or carrier in which the alleged loss, damage, or delay occurred within the time limits specified in the BOL.

Claims should be filed promptly once loss or damage is discovered. Time limit for filing a claim is 9 months from date of delivery, or in the event of non-delivery, 9 months after a reasonable time for delivery has elapsed. If a claim is not received by the carrier within this time, payment is barred by law. A claim may be filed by the shipper, consignee, or the owner of the goods. Be certain to clearly show the name and complete address of the claimant. If you need help filing a claim with a carrier, feel free to contact PartnerShip and we'll help you through the process to ensure your best interests are protected. Claims forms are available online at PartnerShip.com for most of our freight carriers.

PartnerShip is here to help

As always, your friends at PartnerShip stand ready to help our customers every step of the way through the shipping process. We know you have a business to run – that's why you can count on PartnerShip to help you get the best shipping rates, the best carriers, and the best service for your LTL freight and truckload shipping needs. If you need access to any blank forms or documents for shipping, such as a bill of lading, cross-border documents, or carrier claims forms, be sure to check out our shipping forms on PartnerShip.com

Want to become a pro at filling out your BOL so you don't encounter any costly errors? We have just the thing you need. Download our free guide!

BOL Breakdown: Download the White Paper


The Top 5 Best Inbound Shipping Resources

August 22, 2019 at 12:03 PMLeah Palnik
The Top 5 Best Inbound Shipping Resources

When you think about how to optimize your shipping operations, the freight you receive from vendors might not be the first thing that comes to mind. However, you have more control over your inbound shipping than you may realize, and when you have the right resources it can actually be easy to master. We’ve rounded up some of our top resources that will help you manage your inbound shipments.

  1. Understand the difference between “prepaid” and “collect”. Inbound management 101 starts with looking at how you’re paying for your freight. A common misconception is thinking that you’re not paying for your inbound shipping when you’re not paying for it. This video will help you gain a good understanding of prepaid and collect, and how you can make a switch that will help you save in the long run.
  2. Learn how to properly accept freight and handle claims. You probably already know that sometimes the freight you receive can arrive damaged. It’s obviously never ideal, but that doesn’t mean it has to be a total disaster. Having the proper procedures in place with your warehouse staff is the key to getting claims approved and paid out when the unthinkable happens. Find out the best steps to take with this helpful white paper.
  3. Learn how to create and use routing instructions. Creating routing instructions for your vendors is a great way to ensure your inbound freight gets shipped at the best price and in the most efficient way for your business operations. Getting started is the hardest part, but we have you covered. With this blog post we show you some examples, explain how to create your routings, and give guidance on how to communicate them to your vendors.
  4. Achieve vendor compliance. You’ve perfected your routing instructions and you know exactly how to cut your costs. The only thing that’s missing? Getting your vendors to follow your lead. This blog post gives you a few pro tips to get those relationships on track.
  5. Follow the 4 steps to gain control of your inbound shipping. When you’re ready to take a full look at your inbound shipping operations, you’ll want to check out this all-encompassing white paper. It’ll guide you through the four important steps you’ll need to take to cut your costs and help everything run smoothly. Find out exactly what you need to do and get tips for executing them.

Figuring out how to effectively manage your inbound shipping doesn’t have to be intimidating. These resources can point you in the right direction, but you don’t have to do everything by yourself. PartnerShip is here to help you implement these important strategies and save you time in the process. We can set you up with discounted pricing, create your routing instructions, and help ensure vendor compliance. Contact us to learn more.

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Vendor Prepaid versus Inbound Collect Shipping

July 24, 2019 at 8:16 AMLeah Palnik

One of the simplest and easiest ways to immediately cut your inbound freight costs is to change your shipping terms from "prepaid and add" to "collect." Having your vendor or supplier ship collect on your recommended carrier eliminates any handling charges, thus saving you money.

When you gain more control over your inbound shipping, you can save on small package and freight shipments coming into your business every day. As the buyer and receiver of the goods, you can and should designate the carrier and arrange for shipping charges to be billed directly to you at your discounted rate. This is called routing shipments inbound "collect." Collect is a billing option, in which you are invoiced by the carrier. It does not mean paying the driver at the time of delivery.

In general, there are many benefits to having your inbound shipments routed collect. First, it usually saves a lot of money. But even if you don't have as aggressive freight deals as your vendor, their handling markup could be a lot higher than your freight deal.

Shipping inbound collect also reduces the number of carriers from different suppliers arriving at your receiving dock every day. When you control the routings, you control how many trucks deliver to your door. That also makes it easier to maximize your staff's efforts.

There may be some cases where your supplier's prepaid freight can actually benefit you. First, some suppliers do not add any fees for handling, and freight is just a pass-through. In this instance, you may want to continue having your supplier pay the freight to save some time and money. But if you are trying to consolidate the number of trucks at your dock, and increase the control you have over inbound shipping, it might still be worth routing by your carrier, even if it will cost you more.

Another example of where inbound prepaid may continue to make sense is if your supplier has poor packaging. If you have a supplier that ships a high-value product with suspect packaging, you may want them to prepay and add the freight. Even if they are charging a premium for freight, you do not want to deal with the hassle if that shows up at your door damaged. You will be much better off refusing it and letting your supplier deal with the claims process if there are any damage issues.

Conclusion

Taking control of your inbound shipping may take a little work, but the final payoff is reducing your overall inbound freight spend. If you're ready to take control of your inbound shipping and you're not sure where to start, PartnerShip has the process, tools, and experience to help.

  • We can provide a complete, inbound freight analysis to help you determine where you can save additional money on your inbound shipping
  • We provide simple inbound supplier/vendor management forms making it easy to choose which vendors you use most frequently
  • We create updated routing requests and shipping instructions and then we contact your vendors on your behalf
  • We maintain great relationships with the common suppliers in the industry to gain routing compliance
  • We can provide inbound shipment visibility reports so you know exactly what was shipped to you and by whom
  • We consolidate and audit all of your inbound freight bills so you can enjoy the simplicity of a single invoice 

Contact PartnerShip today and take control of your inbound shipping!


How to Accept Freight and Handle Claims

Why Shippers Should Care About the CVSA Roadcheck

June 3, 2019 at 8:48 AMLeah Palnik
Why shippers should care about the CVSA roadcheck

Coming to a highway near you, the Commercial Vehicle Safety Alliance’s (CVSA) International Roadcheck will take place June 4-6. On average, 17 trucks will be inspected every minute in Canada, the United States, and Mexico during the 72-hour period. The CVSA-certified inspectors will primarily conduct the North American Standard Level 1 Inspection and could render trucks out of service or place drivers out of service for violations. In fact, nearly 12,000 trucks and buses were placed out of service last year.

Both the drivers and their vehicles are put through a 37-step inspection which includes checking items such as the braking system, securement of cargo, exhaust system, frame, fuel system, lights, tires, wheels and rims, and other critical components. Each year, the CVSA places special emphasis on a specific category of violations. This year’s focus will be on steering and suspension systems due to their importance to highway safety.

Drivers and their trucks are subject to these same inspections year-round, but the International Roadcheck event brings a significant increase in inspections that has a notable ripple effect.

What can shippers expect?

  • Capacity will tighten which will likely increase freight rates. Many smaller carriers and owner operators will take the days off to avoid the potential hassle. This can make it more difficult for shippers to find trucks during this time – driving up the load-to-truck ratio and therefore driving up rates.
  • Delivery times will be affected. Not only do all of these inspections take time, but some loads may be delayed if drivers are pulled out of service due to violations. Even something as simple as a cracked windshield could cause a vehicle to be pulled out of service. In general, it’s a good idea to allow for some extra time just to be on the safe side.

Finding a truck during Roadcheck week is easier when you’re working with a quality freight broker like PartnerShip. We’ll help you find the best option and let you know what you can expect. Get a free quote today!

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Asset vs. Non-Asset Based 3PL: The Major Distinctions

April 3, 2019 at 10:16 AMLeah Palnik
Asset Based vs. Non-Asset Based 3PL: the Major Distinctions

There are two main types of third-party logistics (3PL) providers and they’re not exactly created equal. Asset based 3PLs and non-asset based 3PLs each have their place in the market. However, they have a few key differences that can impact how your freight is handled and how much it will cost you.

What are asset based 3PLs and non-asset based 3PLs?
Asset based logistics providers own some or all of the parts of the supply chain. This can include carriers, trucks, warehouses, or distribution centers. Conversely, non-asset based 3PLs don’t own these parts of the supply chain. Instead they are relationship-based and develop a network of partners to help move your freight.

The major differences between asset based and non-asset based logistics
Besides how they operate, there are some distinctions that are important for shippers to take note of.

  1. Flexibility and ability to offer custom solutions
    Since asset based 3PLs have their own carriers, those are the carriers they will rely on to move your freight. Their carriers likely specialize in specific lanes or services or may only have a presence in one part of the country. If those specializations match up with your specific needs, it could be a great partnership. However, if they don’t or if your needs vary, you likely won’t be receiving the most efficient or cost-effective service.

    On the other hand, non-asset based logistics providers have a wider network. They have access to multiple carriers which allows them to source the one that most closely aligns with your needs. That flexibility allows them to offer more customized solutions for your freight.

  2. Level of control over the supply chain
    Asset based 3PLs have more control over the supply chain because they own the assets that comprise it. What that results in is the ability to set their own pricing more easily because they don’t have to negotiate with an outside party. Asset based 3PLs also have more direct control over carrier issues and errors. They can implement changes with their carriers that non-asset based 3PLs simply can’t.

    Non-asset based 3PLs have less control, especially when it comes to what the carrier does. That’s because there are more hands involved with moving your freight. However, a quality broker will know what to look for to prevent issues and will have high standards for the carriers it keeps in its network.

  3. The underlying interests of the 3PL 
    It’s hard to argue that asset based 3PLs aren’t inherently biased. They own their own warehouses and trucks, so it’s obviously in their best interest to have shippers use them over others.

    The interests of a non-asset based 3PL are more in line with the shipper than the carrier. The best brokers will work on your behalf to find discrepancies in your invoices, provide claims assistance, and use their expertise to help you ship more efficiently.

How to decide between an asset based 3PL and a non-asset based 3PL
The type of 3PL that is best for you will largely depend on your specific needs. In general, you want to make sure you are working with a broker that can get you access to capacity when you need it most. From there, you should evaluate the typical characteristics of your freight so you can find a 3PL that is closely aligned.

No matter the situation, you need to work with a quality broker that is dedicated to finding you the freight solutions you need. PartnerShip is a non-asset based 3PL with an extensive network of alliances designed to help you ship smarter. Contact us to learn how you can save on your freight and improve your operations.

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6 Considerations for Choosing an LTL Freight Carrier

March 13, 2019 at 8:32 AMLeah Palnik
6 Considerations for Choosing an LTL Carrier

The 25 largest U.S. less-than-truckload (LTL) carriers collectively brought in $34 billion in revenue in 2017. That is a staggering number and a 7.8% increase over the previous year. When the numbers are in for 2018, don’t be surprised to see another healthy rise. As the largest LTL carriers continue to command more of the overall marketplace, shippers must be resourceful when looking to source LTL freight services so as to not get squeezed on price due to the number of market players. Shippers should take the following six factors into consideration when finding the most efficient LTL freight services.

  1. Transit Times - How fast do you need to get your shipment to your customer, or to receive your shipment from your vendor? Long-haul carriers tend to have slower transit times in regional lanes, while regional and multi-regional carriers are much faster in these lanes, but may not provide service in longer haul lanes.
  2. Geographic Coverage - Once you get beyond the top 10 LTL carriers, most of the remaining players provide only regionalized direct pickup and delivery services. Understanding carrier coverage areas helps you optimize which carriers are best suited for the service.
  3. Service Performance - On time pickup and delivery performance is not always the same. Often this depends on where your business is located relative to the nearest freight terminals. Long-haul carriers traditionally have been known to provide lower delivery reliability, while regional carriers tend to provide reliability in a higher range. Almost all of the LTL carriers will guarantee delivery or provide deliveries that are "faster than standard" for additional fees.
  4. Liability Coverage - The amount of liability coverage you receive can vary and is set by the carrier. It’s not uncommon to see liability restricted to $0.25 per lb. or less, which means shippers need to be diligent about understanding their options. Especially if the liability coverage doesn’t meet the actual value of the freight.  
  5. Financial Stability - Most of the remaining LTL carriers in the industry are pretty stable from a financial standpoint. However, there are a few carriers that continue to struggle with profitability and debt issues. Anyone who may recall when industry behemoth Consolidated Freightways closed its doors in 2002 will understand the importance of not having your freight in the hands of a financially unstable carrier. 
  6. Pricing Factors - Lastly, and perhaps most importantly for many small business, is price. When working with an LTL freight carrier, there are many factors that will determine your true cost of transportation. These include:
    • Discounts, base rates, and net price 
      Most LTL carriers provide pricing in the form of discounts off of base rates, which will vary by carrier. So, a 68% discount from one carrier might actually be less expensive than a 70% discount from another. The main point to consider when comparing LTL carriers is not what the discount or the base rates are, but rather what is the final net price to you.

    • Minimum charge  
      Generally a flat fee under which the carrier will not discount its price. Some carriers offer big discounts, but set the minimum charge high which may result in less of a discount on smaller weighted shipments than you anticipated.

    • Freight classification 
      There are 18 different freight classes ranging from 50 to 500. These classes are based on the density of your product and will definitely impact your overall price.

    • FAK provisions 
      If negotiated, "freight-all-kinds" provisions may allow you to ship products with different classes under a single class from a pricing standpoint. 

    • Weight 
      How much your shipment weighs will play a significant role in how your rate is calculated. Keep in mind that carriers will use hundredweight pricing, which means that the more your shipment weighs, the less you'll pay per hundred pounds.

    • Accessorial fees 
      Extra services performed by the carrier generally add additional fees to your overall freight bill. The fees that carriers charge for these services can often be radically different so it's important to educate yourself. 

There are other factors not mentioned above that need to be considered when choosing an LTL freight carrier as well, such as equipment specifications (e.g., liftgate, trailer size, etc.), scheduling flexibility, and tracking capabilities, to name a few. It's easy to see why, what may seem like a simple service of picking up a shipment and delivering it, is often more complex than meets the eye.

Generally speaking, there is almost never just one LTL freight carrier that fits every need you may have. Unless you have spare time on your hands, your best bet is to work with an established freight broker like PartnerShip that can do the heavy lifting for you so that you can stay focused on running your business.

Need some help evaluating your freight shipping? Need help finding the right LTL freight carriers? Let PartnerShip provide you with a free, no-obligation quote to get you started.

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The Best Ways to Become a Shipper of Choice and Why it Matters

February 6, 2019 at 9:20 AMLeah Palnik
The best ways to become a shipper of choice and why it matters

Carriers have more power than ever, which means it’s increasingly important that shippers find ways to make their load more appealing than the next guy’s. Becoming a “shipper of choice” is a great way to get a leg up and ultimately get better access to capacity and reasonable freight rates.

How did we get here? The tight capacity freight market
It's basic economics – the demand for freight services is higher than the current supply of tractor-trailers and drivers. This has been the trend over the past several years, due to a number of factors. For starters, there is a driver shortage. According to ATA’s 2017 Truck Driver Shortage Analysis, the trucking industry was short roughly 36,500 drivers in 2016. The appeal of the open road isn’t what it once was, and not enough qualified drivers are entering the workforce to make up for those who have left or retired.

On top of that, there has been an increase in regulations that have put some constraints on carriers. Hours of services (HOS) rules dictate that truckers can’t drive more than 11 hours a day in a 14 hour period, and thanks to the electronic logging device (ELD) mandate, enforcement of that rule is harder to get around. As a result there are less trucks available to move your freight. Carriers hold the cards and can be picky about the loads they want and what shippers they’ll work with.

What is a shipper of choice?
Becoming a shipper of choice means that your load, your location, and your business practices are in line with what carriers consider desirable. They want to make sure that they’re protecting their bottom line and not losing precious time. This is a status that is achieved by showing carriers respect and committing to a long term strategy that enables best practices.

Why you should care about becoming a shipper of choice
Being a shipper of choice will help you secure a truck at a competitive rate when you need it most. It used to be true that having a large volume of freight is what makes a shipper desirable to carriers. While that often doesn’t hurt, it’s not enough anymore. If you have a great deal of freight but constantly create headaches for your drivers, they will likely turn elsewhere for business or charge you more.

Carriers are becoming savvier when evaluating whether they should work with a shipper or not. Think about how you use apps like Yelp. It’s now incredibly easy to see if a restaurant has bad service or isn’t worth the cost. Truckers have apps like Dock411 that help them easily communicate and access information about load/unload time, parking, security, dock conditions, and more.

How to become a shipper of choice
Reaching shipper of choice status is not something that you can do overnight. You need to commit to making long term changes that are advantageous to both you and your carriers. Here are a few ways you can achieve this:

  1. Avoid detention time at all costs.
    The last thing you want is to get a reputation for holding up drivers. To them, time is money and it’s important to show that you respect that. HOS rules and the way drivers’ time is strictly tracked through ELDs means that every minute they’re waiting at your dock is taking away from the time they could be earning on the road.

    According to a survey conducted by DAT, most carriers consider detention a serious problem and the majority of them rank it in the top five challenges facing their business. Making sure you’re able to load or unload within the 2 hour window is a good way to keep your driver happy and be a shipper of choice.

  2. Be flexible with pick-ups and deliveries.
    When you require a strict appointment time, truckers can’t maximize their time on the road. Also, limiting your hours to weekdays forces drivers to travel during the most heavily trafficked times. By opening up options for your carrier, you increase the chances of your load being covered. And when you make this the rule, rather than the exception, you’re more likely to become a shipper of choice.

    In lieu of strict appointments times, you could request pick-up or delivery by a particular day and allow for early arrival. If that doesn’t work for you, you might consider moving from appointment times to a window of time. Being open on off-peak hours and during the weekend also will open up your access to capacity.

  3. Provide parking options.
    Thanks to the HOS rules and ELD mandate, drivers have to be efficient at managing their time. However, as you know, there are a number of factors that can cause them to be tied up including traffic, roadside inspections, and maintenance. If they hit their hours while at your dock, it can be a major risk for them to drive to the next available rest stop.

    Allowing drivers to park at your location or having an option nearby can be a major plus. It also shows that you care about the challenges they’re up against. While this may fall more in the “nice to have” category, having parking available could make the difference when carriers evaluate if they want to cover your load over another shipper’s load.

  4. Make sure your location is safe and easy to access.
    One major component that carriers take into account is ease of access. There’s nothing worse than arriving at a location that doesn’t have sufficient space for a truck to maneuver easily or has hazards that make it difficult to navigate.

    You might not be able to change where you’re located, but shippers of choice will make it a point to eliminate any potential obstacles they can. It’s also important that you provide clear signage that can help direct the driver appropriately when he/she arrives.

  5. Treat your drivers the way you would want to be treated.
    Truck drivers don’t have an easy job, and they spend a tiring amount of time on the road. If you deny them basic amenities like access to a bathroom and a place to stretch their legs while they wait, that is not something they’re likely to forget.

    Showing respect and being kind goes a long way. Greet your drivers and provide an area where they can relax and refresh while being loaded or unloaded. Some shippers are even providing full lounges designed to make drivers as comfortable as possible, with wifi, refreshments, and showers. You can’t be a shipper of choice if you aren’t willing to show a little bit of empathy for your drivers.

Next steps
Now that you know what it means to be a shipper of choice, why it matters, and how you can achieve it, the next step is create a plan. Carrier relationships are incredibly important in today’s freight market, and when you make them a priority, you’ll benefit your business in the long run.

PartnerShip maintains strong alliances with the best carriers in the industry. Our shipping experts can help you find ways to become a shipper of choice, gain access to capacity, and save on your freight rates. Contact us today to find out how you can ship smarter.

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How to Calculate Freight Density for Shipping

January 11, 2019 at 8:39 AMLeah Palnik
How to calculate freight density

Density is a major factor in determining your freight class and your total shipment cost. In fact, many LTL carriers are relying more and more on freight density over actual weight to determine your rate. That's why it's important that you understand what freight density is and how to calculate it.

Freight density defined
Freight density measures how heavy a shipment is relative to the size of the shipment. The higher the density, the lower the classification and vice versa. A shipment with a high freight density weighs a lot relative to its size, such as densely packed books. A package with a low freight density weighs little relative to its size, such as a box filled with Styrofoam.

How to calculate freight density
Step 1. Measure the height, width, and depth of the shipment in inches. Measure to the farthest points, including skids or other packaging. On shipments with multiple pieces, repeat Step 1 for each piece.

Step 2. Multiply the three measurements (height x width x depth). The result is the total cubic inches of the shipment. If you have multiple pieces, multiply the height x width x depth for each piece. Take the results for each piece and add them together to get the total cubic inches

Step 3. Divide the total cubic inches by 1,728 (the number of cubic inches in a cubic foot). The result is the cubic feet of the shipment.

Step 4. Divide the weight (in pounds) of the shipment by the total cubic feet. The result is the pounds per cubic foot, i.e., density.

  • For multiple pieces, add the weight of each piece together before dividing by the total cubic feet of the shipment.
  • Round fractions to the nearest full cubic foot number.

Calculating freight density will also provide you with a recommended class for your shipment. The freight class chart below is an abbreviated scale you can use to help estimate the freight classification for your shipments.

Freight Density Chart

Helpful tools
There are many factors that determine your freight class, aside from density, so these are estimates only. If you're looking for help to find your freight class, our team is standing by. For a quick and easy way to figure out your shipment density, check out our freight density calculator.

Your Guide to the 2019 FedEx and UPS Rate Increases

December 17, 2018 at 3:46 PMLeah Palnik
your guide to the 2019 FedEx and UPS rate increases

FedEx and UPS rates will be going up in 2019, and it’s more important than ever that shippers know how to mitigate the impact to their business. In November, FedEx announced that its small package rates will increase an average of 4.9% as of January 7, 2019. In December, only a few weeks before the change is set to take place on the 26th, UPS announced the same average increase.

If you’re thinking that means you can budget your costs to go up by 4.9%, you are sorely mistaken. There is a lot to unpack with these rate increases. For starters, some services are increasing at a higher rate than others – meaning that depending on the services you commonly use, your costs could go up significantly more than the announced average.

Other factors determine how much more you will pay for your FedEx and UPS shipments in 2019. You will need to look at the new rates based on your package characteristics, as well as how far your shipments are being sent. Here are the released rates for 2019:

FedEx and UPS surcharges
The announced average increase only covers the base rates. You’ll also need to consider what fees and surcharges apply to your shipments. Many of these surcharges are increasing quite a bit. Here are the announced changes:

One surcharge to take note of is the Third-Party Billing fee. A couple years ago, UPS introduced this in response to the growing popularity of drop shipping. Right now if you use third-party billing, you will incur a charge of 2.5% of total cost. Beginning December 26, UPS will be increasing that charge to 4.5%. FedEx is leaving its Third-Party Billing charge unchanged at 2.5% for 2019. This is just one example of why it’s important to evaluate the changes that come out each year from UPS and FedEx. One small difference can have a huge impact on your costs.

The most costly surcharges continue to be those that apply to shipments that qualify as “Unauthorized” or “Over Maximum Limits.” If you send a package with UPS that weighs more than 150 lbs., exceeds 108 inches in length, or exceeds a total of 165 inches in length and girth combined, you’ll be looking at a $850 charge on top of your base rate. That same package will incur a $675 charge if you ship it with FedEx. Either way, you’ll be paying a huge premium to ship larger, bulkier packages.

Peak season strategies
It’s also important to note that ahead of the 2019 general rate increase (GRI), FedEx and UPS both announced peak season surcharges. For those larger packages, the carriers applied additional surcharges during the busiest time of year. A huge difference between the two, however, was an additional charge on residential shipments. UPS applied a $0.28 peak surcharge on residential ground shipments, while FedEx decided that for the second year in a row, it wouldn’t follow suit. If you’re a retailer that delivers a large amount of customer orders over the holidays, that charge can add up fast.

Trends in the small package industry
If you zoom out on all of these changes from FedEx and UPS, there are a few insights to glean.

  1. FedEx and UPS tend to institute similar pricing strategies. The carriers have a habit of matching each other when announcing average increases, and when one introduces a new charge or a different way to account for something, the other tends to do the same down the road. That doesn’t mean that it doesn’t matter which carrier you use. Instead, it’s important to stay on top of the changes and evaluate your options on a regular basis so you’re always using the service that works best for your budget.
  2. Many of the changes over the years have been put in place as a result of the ecommerce boom. With more shipments coming from online orders, comes more trends that strain the carriers’ networks. For example, ecommerce has led to more residential deliveries and more deliveries of oversized packages. That’s why you’ll see the carriers making changes that help them to recoup some of the costs associated with these trends.
  3. Both carriers have been making changes throughout the year, instead of just during the GRI. For example, FedEx and UPS both increased their Additional Handling surcharges ahead of the new year – in September and July respectively. When UPS first introduced peak surcharges for residential ground shipments, that was also done outside of the annual announcement. This just highlights how important it is for shippers to stay aware throughout the year.

We know you don’t want to comb through every tedious page of the 2019 FedEx and UPS service guides and compare them to your current rates. That’s why we did the leg work for you. In our free white paper, we break down where you’ll find the highest increases and explain some of the complicated changes you need to be aware of. If you’re looking for ways to offset the rate increases, we can also help with that. If you’re a member of one of the many associations we work with, you can get access to exclusive discounts. Contact us and we’ll find a way to help you save.

Your Guide to the 2019 FedEx and UPS Rate Increases