When it comes to defining the success of product-oriented businesses, logistics and efficient supply chains are key. This is borne out by the sheer size of the global logistics market, which is set to peak at a staggering $15.5 trillion by the end of 2023.
One of the main reasons for this is the growing importance of customer service and satisfaction, with the market having been revolutionised by concepts such as real-time parcel tracking, same-day delivery options and increasingly affordable solutions.
In order to satisfy this increasingly demanding customer base, firms must strive to optimise their supply chains and delivery methods. Below, we’ll discuss how this can be done while also remaining within a viable budget.
Think Outside the Box when Dealing with International Markets
If you sell your product into international markets, the cost of delivering goods can accumulate rapidly. Not only will you be forced with a number of overseas couriers, for example, but the cost of shipping cargo abroad in the first place can also be exorbitant.
With this in mind, it’s important to think outside the box and compare the market with an open mind when organising international shipments. In some instances, for example, it may be cheaper to work with cargo charter service providers and air carriers, who can organise the delivery of time-critical consignments to even the most remote regions of the world.
With firms such as Chapman-Freeborn, this can also be a cost-effective option, and one that is cheaper than sea freight or leveraging a complex road network.
The key is to approach the issue with an open mind, and strive to identify the best transportation methods and prices for specific locations.
Utilise the most Effective Freight Option
When your shipment is on the last leg of its journey, it will probably take to the road as it powers towards its final destination. Here, you’ll need to select an efficient and cost-effective freight option that delivers rewards, both in terms of ROI and the speed of delivery.
Your two main options are FTL (full truckload) and LTL (less-than-truckload) freight, with the former taking up a single vehicle and the latter featuring a number of small shipments. FTL deliveries tend to be more expensive but drive faster delivery times, as they minimise the number of stops on route to your final destination.
Conversely, LTL shipments are cheaper and drive greater vehicle efficiency, while they also incur multiple stops and potential delays. This may also mean that your products are handled more regularly as other goods are removed from the truck, and this is another key consideration to keep in mind.
Ultimately, you need to consider both of these options before arriving at an informed decision, and one that optimises your spend while also keeping the needs of your customers in mind.
Work with International Couriers and Negotiate
While there may be a pressing need to work with multiple couriers when reaching into international markets, this doesn’t necessarily mean partnering with local firms in designated regions.
In fact, partnering with established international couriers that have an existing network within a specific area is far more beneficial, and there are two main reasons for this.
Firstly, you may be able to identify firms that work in multiple regions of interest, enabling you to increase volume and reduce costs organically.
Secondly, working with international firms allows you the opportunity to negotiate and use alternative offers from genuine competitors and leverage to secure a superior deal. This can make a big difference, particularly when shipping products in volume across the globe.