How One F&B Brand Lowered Their Shipping Costs in Time For Q4

One food and beverage brand approached iDrive Logistics to help them find cost relief with Q4 quickly approaching. Here's how we were able to help them improve their packaging and get better shipping rates.

Overview

Industry: Food and Beverage

Region: Southeast

Business Type: Wholesale and DTC

Revenue: $13M - $16M

Challenges

Shipping costs are higher than ever before. Transportation cost is close to 25% of an average order value of $56

Rising fuel costs and carrier surcharge increases were cutting into the clients revenue

Client needs immediate cost relief as they approach the busy Q4 Holiday season

iDrive solutions

Evaluate Package Characteristics

Prepared multiple go-to-market strategies based on package characteristics to get pricing from carriers.

Select Carrier Mix

Optimized carrier mix to achieve higher customer loyalty while obtaining lower costs and higher delivery reliability.

Reduce Shipping Costs

Achieved immediate cost savings after implementing suggested actions and gained year-over-year savings despite general rate increase in January.

Benefits of working with iDrive

Confidence that the current shipping process is designed for profitability

Customer loyalty increase from higher delivery reliability

Relief from rising costs, reducing overall shipping expenses

The results

iDrive Logistics was able to help this food and beverage brand re-evaluate their packaging, and select the right carrier mix to reduce their shipping costs. Here were the results.

• $1.4M Annual Shipping Spend
• $226K Year-Over-Year Reduction in Costs
• 16% Percentage of Shipping Costs Saved

Chat with an iDrive specialist today to figure out the best carrier mix and logistics set up for your company.