Parcel Insights

Analytics and technology in B2B e-Commerce continue to challenge B2B e-Operations

Ecommerce technology

The growth of e-commerce has happened so quickly that there is a shortage of people who have the skills businesses require to create measurable intelligence from all of the newly acquired data. While data is plentiful, the key to using technology in B2B e-commerce is being able to take the information being collected and turn it into policies and practices that benefit both business and consumer.

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Lightweight residential shippers to see major impact of the 2015 rate increases

Lightweight shippers are paying more and more each year

As in previous years, lightweight, residential shippers will bear the brunt of the 2015 rate increases.

To understand the impact you must consider three things:

  1. Heavy increases to lighter weight packages in general and due to dimensional (DIM) weight pricing changes (see Chart 1 and Table 1 below and read this previous blog entry),
  2. The dramatic increase to the Minimum Net Charge (see Chart 2 below and read this previous blog entry), and
  3. The yearly increases to typical accessorials such as the Residential Surcharge (Chart 3, below) and the DAS (Delivery Area Surcharge).
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A look at the Amazon Prime Now delivery service

Amazon

Amazon Prime Now delivery is the latest and greatest service being rolled out by the shipping and shopping giant. The service aims to deliver products within one-hour of ordering, and if successful, it will make Amazon one of the most responsive options for consumers.

Amazon began by offering the service in New York City (Manhattan and Brooklyn, specifically), a large metropolitan population which conducts a significant number of transactions online. NYC was an obvious choice with its existing infrastructures including couriers and taxis which could facilitate the rapid delivery schedule. Recently, the service has spread to Baltimore and Miami.

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Loyal buyers value B2B online pricing, strong customer service and ease of purchasing

Conducting business is easier and faster than ever before. The Internet has opened markets far and wide making it possible for even the tiniest of shops to sell their goods anywhere in the world. But with the positives, there are also some serious concerns, among them, it is now more important than ever before to develop a B2B online pricing strategy that can keep your business moving forward without sinking your bottom line.

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Minimum Net Charge increases at 5.5X the rate of inflation

Minimum Net Charge has increased 45% in six years

If you have not yet reviewed our 2015 UPS and FedEx GRI white papers, perhaps you did not realize that the ground minimum net charge is up 5.93% from 2014. Again, this is more than the published average rate increase of 4.9%. More shocking is that this charge is up 45% in six years and is increasing at 5.5 times the rate of inflation.

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