FedEx Contract Rate Negotiation

How to Negotiate Lower Rates With FedEx

Our FedEx benchmarking and negotiations services are designed to meet our customers’ expertise and interest level in negotiating with FedEx and other carriers directly. We give you options ranging from electing to use industry leading benchmarking, price targets or a negotiation roadmap. Our goal is to either empower you to negotiate on your own or have us do the heavy lifting for you allowing you to focus on your core business.

FedEx Parcel Contract Negotiation

Rate negotiations with your carrier are extremely one sided. Organizations simply don’t have the visibility into small parcel pricing required to have a truly effective and favorable outcome through negotiations. We provide the most affordable FedEx price benchmarking and contract rate negotiations available at a fraction of the cost. We remove the guesswork from the negotiation process and provide a granular target price down to the service level, weight breaks and zones. 

Let's Get Started

See how much you can save on your FedEx shipping contract.

Our Process

We routinely find up to 35% in savings.

  • FEDEX CONTRACT ANALYSIS
    We review your FedEx shipment profile to determine your opportunity for savings.
  • IDENTIFY FEDEX RATES
    Leverage our technology and industry experience to identify best-in-class small parcel rates.
  • FEDEX NEGOTIATION
    Equip you to have a successful negotiation process with FedEx and other carriers to save you money.
Why Choose Us?

The pricing in our industry is outrageous. We believe every organization deserves the best FedEx contract at the lowest cost. Vast majority of companies, however, are consistently over-paying. Our knowledge and decades of experience working at the world's largest carriers allows us to level the playing field during carrier rate negotiations.

The majority of our clients routinely save up to 35% on their small parcel shipping and perhaps the best part, our clients typically retain 90 to 95% of the savings we help them achieve. More savings than anyone else in the industry.

What You Get With Us

Based on your current shipping profile, we prepare a granular price target and provide hands-on support.

Data Analysis

A high-level assessment of your FedEx shipment profile and pricing, which enables us to determine what opportunities exist for making improvements to your carrier agreement.

Shipment Profile

As part of the comprehensive data analysis, you will be provided with a document that summarizes your FedEx shipment profile, including current pricing, annualized spend, service mix, Zone distribution, and weight mix.

Projected Savings

Your data analysis will include an annual savings estimate that can be expected by negotiating with FedEx and other carriers. Note that this will be a general range without considering many potentially relevant details.

Contract Analysis

A thorough analysis of existing and active carrier agreements, including discounts, accessorial charges, dimensional weight adjustments, rebates, tier qualifiers, and terms and conditions. The output includes a comprehensive list of all areas where there are overcharges.

Target Pricing Per Carrier

A detailed list of market premium discounts by FedEx service level and any relevant accessorial charges will be produced. These discounts will be the targets to pursue during negotiations.

Savings Analysis

A detailed list of savings based on market premium discounts (FedEx, UPS & DHL Express) versus current pricing will be provided for each service level and accessorial charges.

Onsite Review

Before our experts get to work, we meet with you to better understand your environment and evolving requirements. We perform a comprehensive on-site assessment of shipping processes, packaging, technology, and operational factors. (Available upon request).

Negotiations Strategy Document

All of our paid services include our proprietary document that provides detailed negotiating tips to have successful negotiations with each carrier and to achieve market premium results.

Kickoff Strategy Session

All of our paid services include an initial strategy session to review current FedEx pricing, pricing targets, financial savings expectations, and negotiating tips based on carrier relationships, current environment, and goals.

Contract Compliance

Prior to implementing the final FedEx agreement, ParcelLogix will ensure that all services, accessorial charges, as well as terms in the agreement are addressed. With more than 100 categories and sub-categories within discounts, accessorial charges, minimums, rebates and dimensions, it’s more common than not that something is overlooked.

Support & Guidance

Our ongoing support and guidance is our commitment to assist you throughout your FedEx contract negotiations process. Prior to any meetings or conversations, we encourage our clients to contact their dedicated analyst to prepare for these discussions. This ensures that any necessary adjustments are considered.

Analysis of Proposals

We perform a detailed analysis of any proposal from FedEx, UPS & DHL Express and provide a financial impact analysis to our client. This service is offered throughout the term of the negotiation.

Implementation Validation

Once your new FedEx contract is in place, ParcelLogix will ensure that your carrier agreement is in compliance. Upon implementation of your FedEx agreement, shipment detail will be reviewed to ensure proper coding of all discounts, accessorial charges, portfolio tier / earned discount tier compliance, and terms & conditions.

Changes to Profile

We recognize that your past history is not always reflective of what will happen in the future. Perhaps there is an effort to move to new services, make a new acquisition, or change the distribution process. Changes may influence the opportunities that are available. We welcome those discussions.

Strategy Adjustments

Various factors can impact negotiations with the carriers and like any negotiation; there is a balance between giving and taking. With thousands of negotiations in our portfolio, we’ll ensure that the correct adjustments are made along the way.

Process Assessment

ParcelLogix’s complete evaluation includes a comprehensive assessment and review of shipping processes, packaging, dimensional weight and other potential issues and concerns.

RFP Document Preparation

Prepare any RFP/RFQ documents for all participating parcel carriers, and compiling the required data packets, prior to launching any RFP/RFQ initiatives.

RFP Management

Manage each step of the RFP/RFQ with FedEx, UPS & DHL Express to ensure that the initiative is a success.

WORK WITH US
We're honored to be featured again in PARCEL's ANNUAL HOT COMPANIES ISSUE

"ParcelLogix is the leading provider of affordable UPS, FedEx and DHL small parcel benchmarking services. They provide shippers of all sizes an opportunity to dramatically reduce shipping spend at a fraction of the cost of their competitors."

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