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4 Proven Tips on Negotiating Freight Rates

In shipping industry, freight rates are ever-fluctuating and unsteady. Most shippers have a hard time finding the right rates while hiring goods’ transit service. The cost of shipping is one crucial component that constitutes the total expenditure incurred by shippers and exporters. As we all know, meeting the needs with the right service provider at right rates are considered paramount in shipping. Hence every shipper seeks for better opportunities to reduce freight costs but at the same time, without affecting the value and quality and of service they receive from the carrier company. Here we discuss about a few tips for arriving at the rates that are not hurtful for both the parties, that is for the carrier company as well as shipper, through negotiations. 

Looking for express transport or FTL- full truck load services? Book your shipment at Ianis Cargo, the top freight and logistics services in Romania! You can access freight rates by sending your enquiry stating the pickup and drop off destination along with the weight of the load you want to transport. Express transport services at Ianis Cargo facilitated through the hourly-hire service makes expedite movement of goods and its delivery within 24 hours to any locations in Europe. Coming to freight quotes, Ianis Cargo’s digital shipping platform work without any intermediaries compared to other transportation logistics companies in Romania. As it is a middlemen-free platform, there are no hidden costs and exporters/shippers get great savings in freight rates. Besides, a lot of freight shipments implemented within 24 hours in a day helps Ianis Cargo Express service to take control over the price quotes so that lowest rates can be offered for clients.  

Rely on Buying Groups 

Group buying facilitates availing service at a much-reduced rates. For instance, shippers who transport large cargos on a regular basis are able to negotiate in line with the shipment they bring in. Unfortunately, for shippers who don’t make it to large shipments cannot necessarily rely on negotiations independently. Under such instances they can completely take advantage of buying groups where small-scale shippers can join group buying for receiving better freight rates. 

Volatile Freight rates 

Volatile. Perhaps as a shipper you have come across this term many times while talking about freight rates. More often than not, freight rate volatility is a result of variations in supply and demand situations. Sometimes, during certain periods of a year, there will be high demand and evidently, there would be less space available and hence the rates would go high. Once you have fully understood how this rate works in shipping, you can decide whether to rely on guaranteed contract or spot rates. A guaranteed contract allows shippers enjoy cost-savings during peak seasons where a fixed price is agreed upon for a particular capacity. However, this is not the case with spot rates. It fluctuates with the changes in the market demands and conditions. Spot rates are ideal for small scale shippers who deal with small volume of freight, not sufficient to make it to contract rates. 

Pay for Your Needs Only 

In reality, there are many ways to identify hidden cost in shipping which can be negotiated. Shippers can negotiate on accessorial fees in terms of cargo packing and unpacking. Also, check for the charges related to deliveries on holidays and weekends or the allowed time for delivery, or if you have agreed upon for cash on delivery (COD). There are many more costs hidden in the bill. The real negotiation starts when you know how to bifurcate your needs from what is not required for you, thereby fully eliminating payments towards those unwanted features. 

Never Ever Belittle the Service of a Reliable Carrier  

Negotiation is every shipper’s right. Having said that, no shipper should ever belittle the value of services rendered by a shipping carrier, for example who is prompt, not just in terms of delivery time but also in maintaining cordial relationship with shippers, offering custom-made solutions, providing real-time tracking and 24×7 customer support and so forth. If you are completely content with your carriers’ service in regard to their adaptability and reliability they bring before you, you can waive off the negotiations. You as a shipper might have many times realised importance of the word, ‘promptness’ and also the significance of maintaining long lasting relationship with your carrier. Hence a shipping carrier who adheres to promptness in all departments are treated as ‘silver’ even if they charge a bit higher than usual. If your shipping company gives you both the benefit of promptness and reasonable rates, then no doubt, it is ‘pure gold’. And that is the biggest advantage you receive, when you ship with Romania’s leading express transport service, Ianis Cargo. Freight rates are always fluctuating, but a trustworthy company can keep you safe from all shipping woes. 

Final thoughts 

Albeit, as we have seen there are plenty of factors assume importance when it comes to determining freight rates. It does not mean that you cannot negotiate on the price. As discussed above, freight rates can be negotiated to the advantage of shippers. Simultaneously, shippers have to consider the reliability of the shipping carrier. Finding long-term relationship with carriers should be considered as a real boon as they can keep your shipping needs in tact in the long run than spending time negotiating rates with such highly dependable and trustworthy carriers for receiving small savings.

Shipping with Ianis Cargo 

Safely transit your goods with the most dependable logistics service providers in Romania-Ianis Cargo. Enjoy a plethora of benefits while booking your shipment with the leading courier and shipping services in Romania. Keep your goods safe and kiss goodbye to high freight rates at Ianis Cargo! 

Post your thoughts and suggestions below. Happy freight shipping!