Earn More For Your Dollar – Part 4 – Freight

Earn More for Your Dollar – Freight

Would you like to earn more from your business spend?  If the answer is Yes, then Into the Blue NZ Limited have the solutions to help you gain more from your expenditure.

We are different because we back ourselves to achieve a win-win outcome! For qualifying businesses our services will come at ZERO RISK – No Profit Improvements, No Fees.

This is the fourth post in the series.  In this episode we will discuss how freight costs can affect your gross margin.  Many businesses, both big and small, are unaware that different freight companies charge different rates and offer varying levels of service.  Moreover, many businesses put an undue amount of trust in their existing supplier, expecting – often mistakenly – that they will automatically be given the best possible rates and service.  Freight prices and services can vary significantly and have a substantial impact on your gross margin.

Here are a few hints to reduce your cost of freight:

• Obtain regular quotes from both your current and other freight suppliers.
• Check the service levels and guaranteed delivery dates if any.
• Don’t rely on the cheapest domestic freight company to have the cheapest overseas rates.
• Read the fine print and check for any delivery / pickup zones.
• You can have more than one supplier to meet your needs.

If you want to stay on top, then you need to be aware of the impact of your freight costs. 

It is our experience that approximately 50% of businesses are unaware that they can make significant savings from obtaining multiple quotes.

The largest saving that we have so far found in the freight area was for a rail construction company that, until Into the Blue became involved, was paying $120,000 to shift its biggest piece of plant across the country.  We recommended that out client obtain three quotes to do the same thing. The cheapest alternative was $50,000, but the best quote was a money-back-guaranteed-delivery-date quote of $60,000.  The annual savings to this client – who move a lot of plant each year – is $3M+

Profit improvement requires an analysis. Into the Blue, using its Rapid Profit Radar Diagnostic, are experts in the field of identifying where you can make improvements to your business. 

For most mature businesses we offer a Zero-Risk policy… No Profit Improvement – No Fees. 

For more information please either reply to this post or email profit@intotheblue.co.nz