Shipping Smarter: How Partnering with S-2 Adds Value
With shipping costs on the rise, it is more important than ever for shippers to assess their established processes, providers, and procedures in order to maximize profits and minimize risk. Reducing shipping costs is not always a straightforward process, as damage to cargo and delayed shipments will also damage the bottom line for shippers.
Partnering with a third-party logistics provider (3PL) like S-2 can help shippers increase profit margins and avoid compromising service quality. By utilizing their extensive experience and long-standing connections in the industry, as well as proven proprietary technologies, S-2 helps find the best rates and modes of transportation for each shipment without sacrificing quality of service.
In this new blog series, we’ll address some of the most common concerns businesses have when determining if using a 3PL is right for them. In this article, we'll provide examples of how partnering with a 3PL can actually lead to greater cost savings. We'll discuss how S-2 leverages its volume and market expertise to negotiate better rates with carriers, driving down costs for businesses. We'll also highlight other benefits gained from the services provided by S-2, such as improved efficiency, mode-shifting, reliability, and access to a wider network of carriers.
Gain Value with S-2’s Market Expertise
S-2’s decades of market experience and access to cutting-edge technologies let their customers access the most competitive pricing. By leveraging its extensive network of carriers and other 3PLs, S-2 can negotiate lower rates with carriers to benefit clients with smaller volumes who otherwise wouldn’t have access to this kind of pricing.
Leverage Strategic Volume
By consolidating the shipping needs of multiple businesses, S-2 is able to offer customers the benefits of lower shipping costs and improved service levels that they might not be able to negotiate individually. By examining real-life data and scenarios and comparing the total shipping costs incurred by businesses before and after partnering with a 3PL, it’s clear that leveraging the expertise and resources of S-2 can lead to cost efficiencies and improved bottom-line results.
Negotiate with Carriers
S-2's established industry relationships and extensive knowledge enable the negotiation of exceptional rates and terms with carriers, which provides further cost savings for shippers, even when taking into consideration the cost of the service itself.
Consider the scenario of a client who initially hesitated to work with a 3PL due to concerns about increased costs. After partnering with S-2, they realized the significant savings they experienced through negotiated carrier rates and optimized shipping processes – along with many other value-added features and services.
Mitigate Risks
S-2’s team prioritizes the safety and integrity of shipments by carefully assessing potential risks and selecting the most suitable transportation modes for each individual shipment. While prioritizing secure and timely deliveries may involve higher upfront costs at times, the benefit of this strategy is seen in the reduced costs associated with damaged cargo and delayed deliveries. Quality service provided with integrity translates to cost savings and quality for shippers.
Benefit From S-2’s Valuable Services
S-2 offers value-added shipping solutions to customers that provide even further cost-saving benefits. S-2’s comprehensive shipping services, like their efficiency-enhancing software solution, the Transportation Optimization Platform (TOP), provides access to leveraged volume rates allowing customers of all sizes to benefit from highly competitive pricing. Shippers also benefit from S-2’s multi-modal transportation solutions and dedication to solving unique challenges efficiently and thoroughly.
Improve Efficiency and Reliability
S-2's specially-trained teams offer streamlined shipping processes that minimize delays and optimize resource management. S-2 makes sure shipments are handled cohesively from start to finish. Through proactive monitoring and management, S-2 mitigates risks and promptly resolves potential issues, enhancing overall operational efficiency and reliability.
Access a Wider Network
Partnering with S-2 gives shippers access to a vast network of trusted carriers, both domestic and international. This extensive network enables customers to choose from a variety of shipping options, select the most cost-effective routes, and optimize delivery times. With S-2's diverse carrier partnerships, businesses can focus on expanding their reach to new markets, capitalizing on growth opportunities, and meeting the evolving needs of their customers.
Optimize Mode-Shifting
In addition to mitigating risks and ensuring secure deliveries, S-2 utilizes proven mode-shifting strategies to further enhance efficiency and cost-effectiveness. By carefully analyzing shipment characteristics and market conditions, S-2's experts identify opportunities to shift between various transportation modes. Shippers can capitalize on these cost-saving opportunities while maintaining delivery timelines and service quality. Through proactive mode-shifting, S-2 helps clients navigate complex logistics environments and achieve optimal outcomes for their supply chain operations.
Conclusion
The concern that partnering with a 3PL like S-2 will drive up shipping costs, while common, is a misconception that overlooks the significant value-added opportunities offered by these partnerships. By leveraging S-2's market expertise, negotiating power, and valuable specialized shipping services, businesses can reduce their shipping expenses while improving efficiency and reliability.
S-2 is a strategic partner that can help shippers achieve their shipping goals more effectively and affordably. With S-2's support, customers can ship smarter, cut costs, and stay competitive in today's challenging logistics landscape.
In our next article, we’ll discuss another common question we hear from business owners: “Will I lose control over my shipments if I partner with a 3PL?” In the meantime, don’t hesitate to reach out today to discover more about how S-2’s comprehensive shipping management services can improve your efficiency, reliability, and bottom line.
