Don’t let a fulfillment service go unchecked!
If a complete fulfillment corporation company says that they use every single carrier, then chances are that they have not negotiated great rates with all of them. That will bite you in the butt later. More often than not, the carriers will negotiate with fulfillment servicecenters based on the percentage of business that the fulfillment company will give them.
THEREFORE, CHANCES ARE THAT A BEST FULFILLMENT SERVICE CENTER WITH A PRIMARY CARRIER, WILL BE ABLE TO GIVE YOU SOME DISCOUNTS, BECAUSE THEY HAVE A LARGE ENOUGH SHIPPING MARGIN TO PASS ONE ON TO YOU.
Be brutally honest with the fulfillment companies that you are dealing with. The more detail you provide about your shipping habits, then the more accurately they will be able to quote your rates. Some key points of interest to fulfillment companies, are the percentage of orders that you ship express.. For example, next day orders are more valuable to a fulfillment house, than First Class orders. Why? To a fulfillment company, it’s all about the margins. They may lead with a low per order and per item fee. They may say that you will not be charged receiving fees etc., but you best double check and read reviews online. This amount of research will take forever, so outsource that too. The reason is simple. Maybe they are interested in the shipping margin. For express orders, there is more of a margin, than on ground. There is more of a margin on ground, than there is with First Class. Use this knowledge to your advantage while negotiating.
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