Whether you are a global company shipping containers across oceans or an e-commerce business relying on delivery services to reach customers, the choice of a shipping carrier impacts everything from delivery times to customer satisfaction.
Choosing the right logistics provider is important because you need goods to arrive at a customer’s door on time. The best carrier depends on your specific business needs and shipping strategies.
In this article, we will explore why selecting the right carrier is so important and what factors you should consider to ensure your logistics needs are met with every order.
We take a look at the freight shipping aspect and also what it entails to select the right delivery company. It is crucial to assess different transport providers based on specific business needs to enhance delivery efficiency and customer satisfaction.
Why choosing the right shipping carrier is important
Selecting the right shipping carrier is not just about moving goods from one place to another; it’s about ensuring that your products arrive on time, in good condition, and at transportation costs that align with your budget.
The right carrier can:
- Enhance your business’s efficiency.
- Reduce operational costs.
- Improve customer retention by providing reliable service.
What’s the bigger picture? A poor choice in carriers can lead to delays, damaged goods, and unhappy customers. This can negatively impact your brand’s reputation in the market.
How to decide on the right shipping carrier
You may be a seasoned shipper, or you may not have a clue on what to look for when it comes to selecting the right carrier. A well-thought-out logistics strategy is crucial in choosing the right shipping carriers for your ecommerce business. Here’s some criteria to consider to ensure your goods arrive in shipshape at a customer’s doorstep.
Reliability and delivery guarantees
Top of your chart when looking for a shipping carrier whether you’re transporting a container full of goods overseas or relying on a delivery company to handle last-mile logistics, you need a carrier that consistently delivers on time.
Search for carriers with a proven track record of reliability, including on-time delivery rates and a history of handling goods with care.
Delays or mishandling can disrupt your supply chain and damage customer relationships, making reliability a non-negotiable factor.
Picture this: You own an online store and select an inexperienced logistics company to transport a large consignment from your fulfillment center. Your packing team followed the correct procedures when preparing the items for shipment.
The goods are picked up and taken to a warehouse for loading. During this phase of delivery, your neatly packed cargo is not handled properly. The goods arrive damaged at a customer’s home.
Not only is the customer unhappy, they proceed to leave a bad review on Google about your store. You immediately decide to change to a more experienced provider because you cannot afford to lose valuable business.
In his book titled Delivery, Australian delivery expert and founder of Zoom2u Technologies (ASX:Z2U) Steve Orenstein says: “I can’t repeat this enough: making sure the customer experience is good is more important today than ever before.”
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Speed of service
In today’s competitive business world, speed is often a critical factor in customer satisfaction. For businesses shipping containers, this means choosing a carrier that can move your goods quickly through ports and customs, minimizing delays.
Expedited shipping is necessary for urgent deliveries, such as perishable items, and contrasts with other methods like ground transportation.
For delivery companies, it’s about ensuring fast transit times and efficient last-mile delivery. Delivery speed is crucial in meeting business needs, affecting transit times and differentiating between standard and express transportation.
You should evaluate the carrier’s transit times and consider how their speed of service aligns with your business needs.
If you’re in e-commerce, for example, faster delivery times can set you apart in the industry and lead to higher customer satisfaction.
Reputation
Need to know if your shipper is the right one? You should research reviews, testimonials, and case studies to evaluate how other businesses perceive the carrier.
A carrier with a solid reputation for reliability, customer service, and problem resolution is more likely to meet your logistics requirements. Major carriers like USPS, UPS, and FedEx are often highlighted for their dependable service and comprehensive shipping solutions.
5 Top shipping carriers in the world
In your quest for the perfect shipping company, xChange has a list of top shipping carriers in the world. It is a logistics platform that simplifies global trade by providing a neutral infrastructure connecting logistics companies.
The platform focuses on making container logistics more efficient by offering solutions for container trading, leasing, tracking, and payment.
Here’s xChange’s list of top five shipping companies:
- MSC (Mediterranean Shipping Company)
- Maersk
- CMA CGM Group
- COSCO Shipping Lines
- Hapag-Lloyd
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Shipping costs
While cost should never be the sole factor in your decision, it is important to evaluate the carrier’s pricing structure, including hidden fees, to ensure it aligns with your budget.
Be wary of carriers offering significantly lower rates than competitors, as this can sometimes be a sign of substandard service. Instead, aim to balance cost and quality, ensuring you get the best value for your money.
This is a heads-up: If you’re an e-commerce store that ships globally, you should consider customs fees, duties, and international freight rates.
Destinations
Your chosen carrier must be able to service all the destinations your business needs. This means global reach with well-established routes to key ports for container shipments.
For delivery companies, it means comprehensive coverage of the areas where your customers are located. Understanding how the delivery destination influences freight costs and service options is crucial, as it can affect contracts for daily pickups with carriers like UPS.
The bigger picture: Be sure the carrier can handle your current and future logistics needs, including any plans to expand into new markets.
Tracking services
In an age of transparency and real-time data, tracking services are essential in the overall delivery process. A good shipping carrier should offer comprehensive tracking options that allow you to monitor your shipments from departure to delivery.
This visibility provides peace of mind and enables you to manage any potential issues before they affect your supply chain.
For delivery companies, advanced tracking systems can enhance customer experience by providing real-time updates on delivery status.
Let’s recap
- Choosing the right shipping carrier is a critical decision.
- Using multiple carriers ensures smooth logistics operations by allowing businesses to negotiate better rates, offer customers more choices, and leverage the unique strengths of various carriers.
- The right carrier is essential for global container shipments and last-mile deliveries.
Photo Credits: Canva – Hapag-Lloyd: Top Shipping companies, tracking services
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About the author
Sharl is a qualified journalist. He has over 10 years’ experience in the media industry, including positions as an editor of a magazine and Business Editor of a daily newspaper. Sharl also has experience in logistics specifically operations, where he worked with global food aid organisations distributing food into Africa. Sharl enjoys writing business stories and human interest pieces.