When One Door Closes, Another Opens: Logistics Plus Self-Fulfillment Solutions

When One Door Closes, Another Opens:
Logistics Plus Self-Fulfillment Solutions

amazon-self-fulfillmentAs recently reported, sources say the giant online retailer Amazon.com is expected to close the Fulfillment By Amazon (FBA) program to new sellers during the Q4, 2016 period. New sellers who have not yet sent in their first shipment to Amazon will not be able to do so until January 2017. Amazon’s latest move will leave many hopeful retailers – without their own self-fulfillment programs – on the sidelines as other previously-established FBA sellers fight for those coveted Q4 sales.

Why is Amazon doing this? With the rise of demand and sales that Q4 brings, Amazon usually experiences a huge flood of sellers looking to cash in on the holiday shopping craze, but these ‘growth spurts’ don’t come without consequences.  Amazon boasts a huge network of fulfillment centers in 23 states; in fact, they reportedly have over 50 fulfillment centers, over 20 sortation centers, and more than 90,000 full-time employees, but these facilities are not intended to be long-term storage warehouses, but rather temporary short-term storage facilities. The growing number of Amazon FBA sellers, coupled with slow-moving inventory, has put a strain on these fulfillment centers to the point that Amazon was forced to take measures to keep inventory flowing through its veins.

So what can new Amazon sellers do? If you have inventory coming and you see yourself blocked from selling your items on FBA, you still have the option to sell your products through a self-fulfilled (or Merchant-fulfilled) type of scenario with the assistance of a third-party warehousing and fulfillment provider – like Logistics Plus. We are an established and approved member of the Amazon Solutions Provider Network (SPN), so we know how to help sellers import, warehouse, label, and deliver their merchandise according to Amazon specifications.

When you work with Logistics Plus, instead of sending your orders to an FBA distribution center, have your goods delivered to one of our many warehouses around the U.S. (you don’t need to store your merchandise in your own home or garage any longer as some sellers have resorted to doing). When your merchandise is stored at a Logistics Plus warehouse, our warehouse management system (WMS) software provides you with online, complete real-time visibility to your inventory on-hand. Beyond that, the process is very similar to FBA; only you won’t need to worry about inventory management, security, picking & packing, labeling, etc. – Logistics Plus does all of this for you.

  • Orders come directly to you through the Amazon system.
  • You then forward the order to Logistics Plus along with the prepaid shipping label and packing slip.
  • Logistics Plus picks and packs the order, labels it, and then sends the order to your customer.
  • You monitor the status of your order through our online WMS.

That’s it. Now you can focus on marketing and selling your products rather than worrying about the warehousing and logistics side of things. If you’re ready to begin your own Merchant/Self-Fulfilled program with Logistics Plus, click the button below to learn more and get started. Alternatively, you can send an email to amazonretailer@logisticsplus.com. We’re here to help!

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LTL Freight Quotes and Shipping Tips

LTL Freight Quotes and Shipping Tips

LTL freight quotesLess-than-truckload (LTL) shipping refers to relatively small freight deliveries that are too large to be classified as parcels and too small to fill an entire truck (i.e., full truckload).  When obtaining LTL freight quotes for such shipments, carriers generally tend to consider anything between 150 and 5,000 pounds as a typical LTL shipment. Shipments over 5,000 pounds can also move via LTL carriers, but may require a spot or volume quote to obtain the best pricing. Because many LTL shipments move from small- and mid-sized businesses that lack sophisticated logistics or transportation departments and software, shippers are often not aware of how best to save time and money in this aspect of their business.

Logistics Plus recently participated in a good cover-story article titled “18 Sure-Fire ways to Save on LTL” that appeared in the September 2016 issue of Inbound Logistics magazine.  Although we won’t list all 18 of those tips, here are a few noteworthy ones:

  1. Focus on the net cost. Discounts can be misleading. When shippers get a big discount from a carrier, they often think it’s a great deal; but there are so many other factors to consider, including the fact that “list price” base rates vary from carrier to carrier and from lane to lane. So an 80% discount off one carrier’s base rates may actually be more expensive than, say, a 75% discount from another base rate schedule. That’s why it is important to focus on only the total net cost, and not the discount (as we do here at Logistics Plus).
  2. Factor distance into the decision. Do you need a national or a regional LTL carrier? Some shippers will ship regional shipments with national carriers and, more often than not, pay a premium to do so. Similarly, some regional carriers will provide national service through “interline” partnerships with other carriers. Oftentimes these services will add additional days to the delivery of your shipment, and will require additional handling which increases chances for damages to occur. One of the benefits of working with Logistics Plus is that our eShipPlus transportation management system (TMS) will provide all of the national and regional carrier options best-suited for your shipment in one view.
  3. Consolidate orders. When Logistics Plus provides a free freight analysis for a client, we occasionally uncover multiple shipments to the same location on the same day. Consolidating these orders into one shipment will be more cost-effective for you, and probably more efficient for your customer to receive as well. Similarly, when companies ship LTL from multiple facilities or locations, there may be an opportunity to centralize the decision-making for that freight spend and leverage it for better freight discounts.
  4. Work with a 3PL. As noted above, an established and reputable 3PL can help you find the best rate, identify opportunities for more efficient shipping, audit and consolidate freight invoices, track and trace your critical shipments, and provide access to TMS technology.

If you’d like to work with Logistics Plus for any upcoming LTL freight quotes or services needs, simply click the button below to get started. Our 20-year LTL freight experts stand ready to help!

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If you’d prefer to shop for your own carriers and rates, we can also provide you with complimentary access to eShipPlus.

Logistics Plus Proudly Celebrates Manufacturers on MFG Day 2016

Logistics Plus Proudly Celebrates Manufacturers on MFG Day 2016

mfg-day-logoWith today being Manufacturing Day 2016, Logistics Plus would like to acknowledge and celebrate the positive impact that manufacturers and the manufacturing industry have to our global economy.  Manufacturing Day℠ (MFG Day) is a celebration of modern manufacturing meant to inspire the next generation of manufacturers. As a part of this year’s Manufacturing Day celebration, the Manufacturer & Business Association (MBA) – in conjunction with Techfest (and with the support of numerous other sponsors) – hosted its third annual all-day Erie MFG Day event at the Bayfront Convention Center this past Wednesday (October 5th).

This year’s Erie MFG Day event featured more than 50 exciting exhibits, programs and demonstrations designed for participants to experience innovative manufacturing technology in a hands-on, interactive environment, as well as luncheon keynote speaker Easton LaChappelle. LaChappelle, whose appearance was presented by Howard Industries, is an inspirational inventor and founder and chief executive officer of Unlimited Tomorrow.

The Erie MFG Day event preceded the MBA’s 111th Annual Event which showcased keynote speaker and “Shark Tank” star Robert Herjavec. Since Logistics Plus was a major sponsor for the event, our owner and CEO, Jim Berlin, was proudly recognized during the ceremonies. The Flickr photo album has some photos from the evening.

2016 MBA Annual Event

Jim Berlin Talks Global Logistics on WP$E Radio

Jim Berlin Talks Global Logistics on WP$E Radio

Jim Berlin Union StationLogistics Plus media partner, WP$E Radio, continues to air short audio clips from Jim Berlin and others within the company as part of its business programming. WP$E AM 1450/FM 107.1 is a commercially licensed radio station serving Erie County, Pennsylvania. The station is owned by the Penn State Board of Trustees, and it is operated by Penn State Behrend, under the direction of professional broadcast staff. In addition to providing a one-stop source for global and financial news, WP$E also airs ongoing commentaries from regional business leaders.

Here are some recent audio clips from WP$E Radio with Jim discussing our recent 2-million pound gas tanks shipment, new warehousing, and global logistics (click icons below to hear audio replays).

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From Large Locomotives to 2 Million LB Gas Tanks

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We’re a Logistics Management Company

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Growing Through Word-of-Mouth and Referrals

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New 272,000 Square Foot Facility in CA

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Only Global Logistics Company HQ in Erie

Logistics Plus Enters Sixth Year as a SmartWay Transport Partner

Logistics Plus Enters Sixth Year as a SmartWay Transport Partner

FOR IMMEDIATE RELEASE

Logistics Plus Enters Sixth Year as a SmartWay Transport Partner

Company fulfills SmartWay Partnership environmental requirements for 2016.

Smart Way Transport PartnerERIE, Pa. (September 29, 2016) – Logistics Plus Inc., a leading worldwide provider of transportation, logistics and supply chain solutions, is pleased to announce it is entering its sixth consecutive year as an approved SmartWay® Transport Partner after the U.S. Environmental Protection Agency (EPA) recently renewed its membership status for successfully fulfilling the SmartWay Partnership requirements for 2016.

SmartWay is the EPA’s initiative to reduce the carbon footprint of the freight industry. It is a voluntary partnership between shippers, carriers, logistics companies, and the EPA created to reduce the amount of air pollution caused by the transportation supply chain industry, while also using technologies to help reduce fuel costs. Since 2004, SmartWay partners have saved over 7 billion gallons of fuel, lowered fuel costs by $24.9 billion and reduced carbon emissions by 72.8 million metric tons.

Logistics Plus first joined the SmartWay initiative in 2010 with the goal of improving its impact on the environment. Each year performance data is submitted and reviewed to qualify as a SmartWay partner. Approved companies are posted on the EPA website at https://www.epa.gov/smartway/smartway-partner-list and confirmed as an active SmartWay Partner.

By measuring, benchmarking, and assessing our freight transportation activities, we’re able to make better choices that reduce greenhouse gas pollution,” said Steve Srnka, compliance attorney for Logistics Plus. “Our continued SmartWay approval confirms to our customers and partners that Logistics Plus is committed to doing its part for environmental sustainability.

Learn more about the EPA’s Smartway program at:  http://www.epa.gov/smartway/

The updated Logistics Plus SmartWay Transport Partner certificate can be viewed at: https://www.logisticsplus.com/SmartWay

About Logistics Plus Inc.
Logistics Plus Inc. provides freight transportation, warehousing, global logistics, and supply chain management solutions through a worldwide network of talented and caring professionals. Founded in Erie, PA by local entrepreneur, Jim Berlin, 20 years ago, Logistics Plus is a fast-growing and award-winning transportation and logistics company. With a strong passion for excellence, its 400+ employees put the “Plus” in logistics by doing the big things properly, and the countless little things, that together ensure complete customer satisfaction and success.

The Logistics Plus® network includes offices located in Erie, PA; Alma, AR; Little Rock, AR; Los Angeles, CA; Riverside, CA; San Francisco, CA; Visalia, CA; Atlanta, GA; Chicago, IL; Detroit, MI; Kansas City, MO; Charlotte, NC; Lexington, NC; Buffalo, NY; Cleveland, OH; Charleston, SC; Greenville, SC; Nashville, TN; Dallas, TX; Fort Worth, TX; Houston, TX; Laredo, TX; Madison, WI; Bahrain; Belgium; Canada; Chile; China; Colombia; Egypt; France; Germany; India; Indonesia; Kazakhstan; Libya; Mexico; Poland; Saudi Arabia; Turkey; and UAE; with additional agents around the world. For more information, visit www.logisticsplus.com or follow @LogisticsPlus on Twitter.

Media Contact:
Scott G. Frederick
Vice President, Marketing
Logistics Plus Inc.
(814) 240-6881
scott.frederick@logisticsplus.com

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LTL General Rate Increases

LTL General Rate Increases

LTL general rate increasesU.S.-based less-than-truckload (LTL) carriers continue to announce their annual LTL general rate increases – or GRIs – earlier than in previous years. GRIs, which tend to be in the 4-6% range every year, are intended to offset carriers’ rising costs for new equipment, real estate, technology, and employee wages. Unfortunately, GRIs typically have the greatest impact on small- and medium-sized shippers who are not under contract with the carriers. The majority of LTL freight shipments that move under large-shipper contracts are usually not affected by general rate increases.

So far, here are the LTL carriers that have announced fall rate hikes:

  • ABF Freight – 5.2% effective 8/29/16
  • YRC Freight – 4.9% effective 9/5/16
  • UPS Freight – 4.9% effective 9/19/16
  • Old Dominion – 4.9% effective 9/26/16
  • Roadrunner – 4.9% effective 9/26/16
  • XPO Logistics (Con-way) – 4.9% effective 9/26/16
  • Estes Express – 4.9% effective 10/17/16
  • FedEx Freight – 4.9% effective 1/2/17

Most of the other LTL carriers implement similar GRIs without publicly announcing them. With the majority of LTL business moving among the top 25 carriers, pricing discipline in the industry remains strong despite sluggishness in the overall economy.

So how can small- and medium-sized shippers insulate themselves from these significant increases?

One sure-fire method is to work with a third-party logistics company that has pre-negotiated contracts with all of the carriers that fall outside the scope of their standard GRIs. At Logistics Plus, we have agreements in place with almost all of the major LTL carriers that operate outside the influence of their standard, annual rate hikes. We do review these contracts periodically and, when warranted, allow our LTL carrier partners to increase rates slightly to offset their increases in costs. However, such increases are almost always well below the GRIs imposed on the broader shipping community.

So if you’re looking to mitigate annual LTL carrier GRIs and create greater pricing predictability for your freight transportation spend, click the button below to get started with Logistics Plus. Let us worry about LTL carrier rates and negotiations so that you can focus on growing your business.

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