How to save shipping costs when shipping prices rise?

Shipping is also experiencing the peak season of the Spring Festival. Recently, many shipping companies have begun to adjust the freight rates of various global routes. As freight rates begin to rise, how can we save costs in the transportation process in international shipping? This is an issue that shippers are very concerned about.

For a professional freight forwarder, it is not only necessary to understand the market situation in the ocean freight market and know how to deal with shipping companies, but also to master skills and methods to ensure the safety and efficiency of goods while saving transportation costs for shippers as much as possible.

01 Scientific planning of transportation routes

It is essential to scientifically plan the transportation route of goods. For example, to European ports, although most shipping companies have differences between basic and non basic ports, the difference in freight rates may be between $100 and $200. The division of this cost may vary among different shipping companies. Understanding the division of different companies can help you negotiate the most favorable freight rates by selecting a transportation company.

For example, there are two modes of transportation for ports on the east coast of the United States: full waterway and land bridge, with a price difference of several hundred dollars between the two. If the shipping schedule is not met, you can request the full waterway method from the shipping company.

02 Reasonable packaging design

Each mode of transportation has limitations on its load-bearing capacity and maximum capacity, so this should be considered when designing cargo packaging. For example, if there is excess or insufficient space in the container after calculating the quantity of goods from the shipper, then the quantity of goods needs to be changed. For example, combining two orders into one full container, or reserving excess quantities for the next shipment, can save considerable costs.

In addition, scientific calculations should be conducted on the product packaging before shipment. The specific method is to refer to the volume of the container and design the packaging according to the order quantity; Based on the size of the inner container, design the size of the cardboard box and study an optimal packing plan to achieve an ideal state of the container.

03 Adopt appropriate transportation methods for port consolidation

Goods in mainland China can choose different inland transportation methods to collect at the port. Generally speaking, train transportation is the cheapest, but the shipping and pickup procedures are complex, suitable for large quantities of goods that do not rush the delivery time. Truck transportation is the simplest, faster, and slightly more expensive than train transportation. The most expensive option is to directly load containers in factories or warehouses, suitable for items that are not suitable for multiple loading and unloading.

Under the premise of fully understanding the goods, scientifically selecting the optimal port transportation method can save transportation costs.

04 Reasonable handling of LCL cargo

The transportation process of LCL cargo is much more complex than FCL, and the shipping cost is relatively more flexible. There are many transportation companies that handle full container load, and the prices are relatively transparent in the shipping market. LCL cargo also has publicly available market prices, but the additional fees vary greatly among different transportation companies, so the freight rates on the transportation company's price list will only be a part of the final charge.

(1) Confirm all charges in writing and see if their quotes are lump sum prices.

(2) Calculate the weight and size of the goods clearly to prevent the other party from tampering with them.

(3) You can find a professional company that specializes in container consolidation. These companies directly assemble containers and charge much lower freight rates and surcharges than intermediary companies.

05 Negotiate prices with shipping companies

Master the skills of bargaining with shipping companies:

(1) If you are indeed a major customer, you can directly sign a contract with the shipping company and apply for discounted freight rates.

(2) Clarify the different freight rates obtained by declaring different names of goods. Most shipping companies charge separately for goods, and some goods can have different classification methods.

(3) If you don't meet the shipping schedule, you can choose a slow or non direct ship, but this must be done without affecting on-time arrival.

(4) The freight prices in the ocean freight market often change, so it is best to have more information on freight rates.