Facing tough freight rate negotiations? Share your strategy for securing those elusive discounts.
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Build strong relationships with carriers. Show your long-term commitment to them. Use data to explain your rate requests. Highlight your consistent business with them. Be open to flexible terms like volume or time. Offer win-win solutions to benefit both sides.
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Negotiating discounts with carriers on freight rates can be challenging, but with the right approach, you can improve your chances of success. Here are some effective strategies: Data Preparation: Gather and analyze shipping data to understand your shipping volumes, patterns, and historical rates. Use this data to justify your requests. Build Relationships: Establish and maintain strong relationships with carriers. A good rapport can lead to more flexible negotiations. Understand Market Trends: Stay informed about current market conditions, including demand and supply trends in the freight industry. Leverage this information to support your negotiation position. Benchmarking: Compare your current rates with industry benchmarks.
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In order to negotiate well with your carriers it's very nessecary to keep a BATNA ready for them . For those who are not aware of what's a BATNA is it's better alternative than no agreement . Have more and more carriers for each of your destination and negotiate hard with them . Having long term association and rate contracts will also help .
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