Home Bound: Are Residential Costs Impacting You More Than You Know?

Hidden Residential Delivery Costs

One of the most costly things when it comes to your parcel spend is hidden fees, or fees that you don't see because they happened after the fact. This is an issue that many companies experience when it comes to the cost of shipping regarding residential shipping costs vs. commercial shipping costs.

If you are shipping business to business, your parcel delivery cost is generally going to be lower than if you are shipping to a residential address. Sometimes, you might think your shipping to a commercial address because you only sell B2B, but then the carrier charges you for residential delivery. This happens when you have people who work from home, such as sales people, repair technicians, and field reps. With the impact of Covid-19, this is happening more now than ever.

When a shipping charge is being calculated, you may come up with an estimate of $10 on the delivery assuming it is a commercial delivery, but it ends up costing you $20 because, in the eyes of the carrier, that is a residential location. Most shippers never notice this cost because the price adjustment happens after the fact. After this happens a few times, you really start to drive up your parcel cost unknowingly.

In addition to higher transportation costs, some surcharges cost more for a residential delivery, such as oversized/large packages. Peak charges as well can be higher for residential deliveries.

How Can Parcel BI Help?

Parcel BI offers a lot of helpful and easy to use tools that allows you to see right off the bat where you are being charged more than you expected. You can quickly expose the residential correction or a commercial correction and quantify it instantly, down to specific customers.

Knowing what receivers are residential is crucial to knowing which services to use and estimating delivery costs. Parcel BI gives you the data to update your address information to avoid repeated mistakes.

Contract Edge Tool

Customers who struggle with this unexpected residential surcharge can also take advantage of our Contract Edge tool. With Contract Edge, you can negotiate a better rate or discount if you find that your shipping to residential addresses frequently. 

Contact Us

If you want to learn more about how Parcel BI can help you expose these charges and keep your parcel cost lower, contact us today! You can also learn more by watching more videos like this in our video library. 

Loading Form...
Most Recent

Measuring the Impact of Parcel Minimums

By Parcel BI
August 12, 2020 Category: Savings, BI Solutions

With Parcel BI, you can quickly and easily see how many packages have hit that minimum and how much that has actually cost you. This allows you to go to your carrier and negotiate a lower minimum charge to help you save on your parcel shipping spend!

Incentive Analysis Report

By Parcel BI
August 05, 2020 Category: BI Solutions

Parcel BI offers shippers the tools they need to ensure they are getting the best rates from their carrier contracts, being billed correctly, and more with Incentive Analysis Reports!

Parcel BI User Connection

By Parcel BI
July 22, 2020 Category: Client Success, Educational, Connect

Parcel BI just held their inaugural User Connection. Parcel BIs Director, Guy Manias had a visionto bring users together andtalk about common trends in the industry. He saw the User Connection as an opportunity to connect different companies the in the parcel industries from all over. PURPOSE The purpose of the webinar wasnot only to bring these shippers together, but to also learn from one another, to show the latest updates in Parcel BI to maximize the user value, and to develop a community of users that are able to stay together and continue conversations outside of the User Connections. Parcel BIs main goal is to aid in client success. We want to educate, empower, and connect our users. The User Connection allows us to help our clients to grow and build relationsamongst professionals in the industry. USER CONNECTION LAYOUT During the User Connection Webinar, we gave the latest and greatest updates to Parcel BI. Some examples of what we covered in this first webinar included the

© , Vizion360 | Powered by Virteom Logo Virteom