Seven coups to help you save shipping costs

Seven coups to help you save shipping costs

Ingeniously design packaging, familiar with the transportation route, and be able to carefully plan and cooperate with the shipping company, your shipping costs will be greatly reduced.

It is undeniable that understanding the market of the shipping market and knowing the knowledge of dealing with the shipping company can really save you a lot of money, but the importance of its pre-preparation work should not be ignored. Mr. Wu, the representative of Confederate, has repeatedly stressed that it is very important for exporters to be fully prepared and good at cooperation.

Because a lot of unnecessary expenses are caused by artificial negligence. He believes that many people will be preoccupied with the sea freight calculated in US dollars, but the cost of the renminbi in the first step is not so carefully calculated. This concept should be improved.

According to recent statistics, freight rates have risen by more than 70% in export costs. The business personnel in the export department generally attach great importance to the control of product costs, but they are not paying enough attention to how to save freight in the transportation sector. In fact, at a time when product prices are becoming more transparent, paying attention to skills from the transportation sector can save a lot of money. Otherwise, the profits that have been painstakingly saved from the cost of the product are given to the transportation company.

Cleverly designed packaging

Mr. Liu Longhai has worked in the Storage and Transportation Section of Jiangxi Livestock Import and Export Corporation for many years and is now engaged in export business. When talking about the topic of saving freight, he thought that this should be considered when talking about business. For example, he is currently mainly engaged in garment export. If the number of customer orders is not calculated after the calculation, he will generally recommend that the order quantity be changed. For example, put two orders together in one whole cabinet; or cut the excess amount and ship it next time.

The cost saved in this way will be considerable.

Mr. Liu said that he would scientifically calculate the product packaging before shipment. The specific method is to refer to the volume of the container and design the package according to the quantity of the order. For example, a carton is usually loaded with l2 pieces. If it is packed in this way, if a container cannot be loaded, he will change it into a carton with 15 or 20 pieces. According to the size of the inner box of the container, the size of the carton is designed to develop a better packing scheme to achieve a better condition of filling a 20' or 40' container.

Familiar with transportation routes

"It is also necessary to understand ocean transportation routes," said Mr. Liu. For example, to a European port, although most shipping companies have the difference between a basic port and a non-basic port, the difference in shipping costs is at least between $100 and $200. However, the division of different shipping companies will be different. To understand the division of different companies, you can choose the transportation company to obtain the freight rate of the basic port.

For example, the US East Coast port has two modes of transportation: the full waterway and the continental bridge, and the price difference between the two is several hundred dollars. If you do not catch the ship, you can ask the shipping company for the full water way.

Carefully planning for head-to-head transportation

There are different costs for shippers in the Mainland to choose different inland modes of transport. “Generally speaking, train transportation is cheaper, but the procedures for delivery and delivery are complicated. It is suitable for large quantities and does not meet the delivery time. Truck transportation is simpler and faster, and the price is slightly more expensive than the train.” Henan Nanguang Company Mr. Qi, the manager of the business department, introduced the difference in inland transportation costs. “It is more expensive to load containers directly at the factory or warehouse. This is only suitable for fragile items that are not suitable for multiple loading and unloading. Generally, it is better not to use them. this way."

Under FOB conditions, it also involves head-end transportation arrangements before shipment. Many people have had such unpleasant experience: under the FOB terms, the charges before loading are very confusing and there is no rule to follow.

Because the buyer specified the two-way shipping company, the shipper has no choice. Different shipping companies will have different interpretations. Some require the owner to pay all the costs before loading: packing fee, terminal fee, and towing fee; some only need to pay the towing cost from the warehouse to the terminal; some will charge different surcharges on the trailer fee according to the address of the warehouse. . This type of charge is often a budget that exceeds the cost of shipping at the time of the quote.

Mr. Liu has a deep understanding of this point. His solution was to confirm with the customer the start of the costs of both parties under the FOB terms. He generally insists that the responsibility is completed after the goods are delivered to the warehouse. As for the trailer and dock fees of the warehouse to the dock, all of them are included in the sea freight of the second journey and are paid by the consignee.

Mr. Qi’s experience is, first of all, he will fight for CIF conditions when negotiating orders, so that the initiative of the transportation arrangement will be in his own hands; secondly, if it is indeed FOB, he will buy it in advance. Contact the designated transportation company and confirm all the fees in writing. The reason for this is to prevent the transportation company from charging the goods after the goods have been shipped. Second, if there is something outrageous in the middle, he will negotiate with the buyer and ask to change the transportation company or ask the buyer to bear certain charges. project.

Good cooperation with transportation companies

Mr. Wu is a salesman of a freight forwarding company, Confederate. He said that the main savings in shipping costs, it is important to understand the shipping company's operating procedures. He said: "If they arrange according to my request, we can cooperate with each other, but we can save some unnecessary expenses and make the goods as soon as possible." So, what are these requirements? Mr. Wu explained as follows:

In the front, I hope that the consignor can reserve the cabin early and stock up in time. He often encountered some cargo owners, and placed orders one or two days before the cut-off period of the shipping schedule, and then notified the transportation company after delivery to the warehouse or dock. He said that experienced cargo owners understand their operating procedures and generally do not. He introduced that the general liner schedule is one shift per week. The owner should book the cabin early and enter the warehouse according to the arrangement time of the transportation company. It is not good to deliver too early or too late. Because it is too late to cut off the last boat, postponed to the next boat, there will be overdue storage costs.

Second, the smoothness of customs declaration is directly related to the cost issue. This is particularly evident in the Shenzhen port. For example, if a land port such as Man Kam To or Huanggang Port is shipped to Hong Kong for a two-way schedule, if the customs declaration is not passed, the tolling fee charged by the trailer company is 3,000 Hong Kong dollars. If the trailer is in the cut-off period of the Hong Kong two-way vessel, due to delays in customs declaration and did not catch up with the schedule, then the next day, it will be sent to the dock to catch the next boat. The overdue storage fee of the Hong Kong terminal will be a small one. number. Mr. Wu said that he often asked the owner to check carefully whether the customs documents were correct and arrange for shipment.

Third, the actual customs clearance must be changed after the actual packing situation changes. Every customs has routine inspections. If the customs finds that the number of installations is inconsistent with the number of customs declarations, the investigation will be deducted. This will not only result in the cost of checking the counter and the cost of docking, but the customs fine will definitely make you feel bad for a long time.

Mr. Wu warned that although these are some details before loading, but if you pay more attention, on the one hand, it will cause more expenses; on the other hand, the delay caused by the schedule will bring more to the shipper. Big trouble.

Zhengjian chooses shipping company and freight forwarding

Nowadays, the world's leading shipping companies have all landed in China, and their offices are located at major ports. Of course, there are many advantages to doing business with these shipowners: they are strong in strength, excellent in service, and standardized in operation. However, if you are not a big cargo owner and cannot get a preferential tariff from them, it is better to find some medium-sized shipowners or freight forwarders. Mr. Wu said: "Our freight forwarding contract with the shipping company, the preferential freight rate is not available to the general cargo owner from the shipping company."

Mr. Qi will not choose a well-known shipping company.

He said that for small and medium-sized cargo owners, their prices are indeed too expensive. However, the price of the freight forwarding is too small, but the service is difficult to guarantee because of insufficient strength. In addition, there are not many offices of the Big Ship Company in the Mainland, so he chose some medium-sized freight forwarders. First, the price is reasonable. Second, the long-term cooperation is more tacit.
The same is the shipowner, although some are not famous, but the schedule, service is guaranteed, and the price is much more reasonable.

Mr. Liu has a deep understanding of this. He rarely does business directly with the famous shipping companies, but he first chooses some medium-sized shipping companies and then finds their designated agents. "Generally, the prices that these designated agents get from the shipowners will be very cheap," he said. After working with these agents for a long time, he can get very low shipping costs. Some freight forwarders will even tell him the reserve price, plus a little profit as a selling price for him. Mr. Liu also said that according to his years of experience in the storage and transportation department, he knows that different shipping companies or freight forwarders have their own advantages on different routes in the shipping market. Finding companies that have an advantage in a particular route will not only be more tight, but their freight rates will generally be cheaper on the market. He suggested sorting according to his own export market, such as the goods exported to the United States to a company, and the export to Europe to another company. To do this, you need to have a certain understanding of the shipping market.

He introduced that there are many channels for understanding this information. In the past, there were more introductions between peers, and now you can find relevant information through some transportation websites.

Learn to bargain with the shipping company

Regardless of whether the shipping company or the freight forwarder's business personnel present the quotation at the time of the cargo collection, it is only the higher freight rate of the company. The freight rate that can get the big fold depends on the ability of you to bargain.

Generally speaking, before accepting a company's freight rate, you can first consult several companies to understand the basic market conditions. The discounts available from the freight forwarder are generally around $50. The bill of lading issued from the freight forwarder can know which company he gave to the counter, and the next time he finds the company directly, he will get the direct freight rate.

Tips for bargaining by the same shipping company include: 1. If you are indeed a big customer, you can sign up with him directly and apply for a preferential rate. 2. Find out the different tariffs for different declarations. Most shipping companies charge separately for goods. Some goods can have different classification methods. For example, citric acid can be reported as a food, because it is a raw material for making beverages, and it can also be reported as a chemical raw material. The difference between the two names can be as much as $200. 3. If you do not catch the boat, you can choose a slow boat or a non-direct boat. Of course, this must be done without affecting the arrival on time. Shipping prices in the shipping market change from time to time, so it is better to have some information in this regard. Few salesmen will take the initiative to inform you that the freight rate is lowered. Of course, they won't tell you when the freight rate rises. In addition, in the business personnel you are familiar with, you should also pay attention to the other party's "killing" in the freight rate.

Tips for handling LCL

The transportation procedure of LCL is much more complicated than the whole cabinet, and the freight is relatively mobile. There are many transportation companies that make the whole cabinet, and the price will be relatively transparent in the shipping market. LCL goods also have open market prices, but the additional costs of shipping companies vary widely, so the freight rate on the shipping company's price list will only be part of the final fee.

Mr. Qi’s charges for LCL goods have no rules to follow. His approach is, first of all, to confirm all the items charged in writing, to see if their offer is a dry price, to prevent the carrier from issuing a post-issue. Secondly, the weight and size of the goods are calculated to prevent them from doing things on this.

Some transportation companies offer lower prices, but often increase the price by exaggerating the weight or size. Once again, it is to find a company that specializes in LCL, which directly assembles containers. The freight and surcharges they charge are much lower than those of the middle companies.

In general, careful planning in the transportation process is very necessary. Mr. Liu said: "It is not possible to make money by relying on freight when doing business. But if you are good at handling it, you can really save a lot of money." Mr. Wu believes that saving transportation costs is not necessarily a comparison in the freight rate because Transportation also involves the issue of arriving in Hong Kong as soon as possible, so it is necessary to take into account the freight and time.