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How Do Carrier Discounts Work?
Carrier discounts are negotiated price reductions on shipping rates, usually offered to high-volume shippers. These discounts lower the base shipping cost and may include additional savings on accessorial fees (e.g., residential delivery, fuel surcharges).
Types of Carrier Discounts:
- Volume Discounts – The more you ship, the lower your per-package cost.
- Negotiated Service Agreements (NSAs) – Custom pricing agreements between businesses and carriers.
- Contract Pricing – Locked-in rates over a specified period.
- Regional & Hybrid Discounts – Lower rates for zone-skipping or alternative last-mile carriers.
- Marketplace Discounts – Some platforms (e.g., Shopify, Amazon) offer pre-negotiated rates with USPS, UPS, or FedEx.
How FirstMile Helps:
FirstMile leverages its multi-carrier network to provide volume-based pricing even for smaller shippers. Unlike single-carrier solutions, we compare multiple shipping options to find the best rates and transit times.
A carrier invoice audit is a process where shipping invoices are reviewed for errors, overcharges, and discrepancies before payment is made. It helps businesses avoid unnecessary shipping costs and ensures accurate billing.
View QuestionFuel surcharges are extra fees carriers charge to adjust for fluctuating fuel prices. These costs are added on top of the base shipping rate.
View QuestionCarrier discounts are negotiated price reductions on shipping rates, usually offered to high-volume shippers. These discounts lower the base shipping cost and may include additional savings on accessorial fees (e.g., residential delivery, fuel surcharges).
View Question