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(14) Three ways to reduce your freight costs

As a logistics or procurement manager, one of the critical objective is to reduce freight costs. Here are three ways to help you get control of your freight costs and to move your cargo in the most cost-efficient way.

Reducing spend on freight costs is one of the critical objectives of every logistics or procurement manager. Of course, this is easier said than done. This article aims to provide you with three suggestions to help you get control of your freight costs.
1. Know the market
Freight charges can differ widely between carriers due to their pricing policies, space and equipment availability. It is crucial that you always get benchmark quotes to ensure you are paying a fair price in line with the going market rates.
2. Understand your assessorial charges
Freight rates are often subject to local charges at origin and destination. Make sure your quotation clearly states which fees are included or excluded from the rate. You should also understand the unit of measure and triggers for each of the surcharges and the associated amounts.
3. Choosing the right transportation mode
The transportation mode of your products has a significant impact on the total landed costs. The desired mode of transportation (air, sea or overland) is depended on many factors including but not limited to the manufacturing location, the end customer destination, product quantity, dimensions and weight as well as the required time of delivery.
If origin and destination are separated by water, sea freight is typically the lowest cost option. Air freight is more expensive than sea freight but reduces shipping time and inventory costs. 
Choose the right mode of transportation based on your production capabilities, customer needs and product delivery requirements bearing the total landed costs in mind.
eShipAsia.com can help you reduce your freight costs
We understand you want your cargo to move in the most cost-efficient way. eShipAsia.com is designed to help you through:
1. Instant rate and service comparisons  
On eShipAsia.com, select the origin, destination, and the number of containers you would like to ship. 

You will be shown the available carrier options, rates and ocean schedules, allowing you to compare Intra-Asia ocean freight rates and schedules across various shipping lines instantly. 
2. Full transparency on rates
Freight quotes from eShipAsia.com provide you with all the details you require at your fingertips, including the transit times and a full breakdown of local charges, terms and conditions. All quotations are stored under your personalised account for your ease of use.
3. Multi-modal quotations
Through our single-sign-on, you have access to eShipAsia.com as well as the full suite of myKN digital solutions. Here, you can get instant, binding quotes for Full-Container-Loads (FCL) or Less-than-Container-Load (LCL over sea, air or overland). Analysing which mode of transport to use has never been easier.

Sign up on eShipAsia now.