WTN Services-Best Practices- Margin Savings Advisory Shipping Costs
This is a margin and cost advisory notification that the major carriers (UPS and Fed Ex) passed along a very large fuel surcharge increase effective May 5th. If you are a direct shipper with the carriers for a portion of your shipments, fall under the Wine Institute rates for direct tasting room shipments not fulfilled by WTN Services™ or are shipping via alternative fulfillment house or co-ops not a part of WTN Services™ you have significant exposure or risks to your margins and consumer costs.
The increase in fuel surcharges announced by the carriers are…
Ground shipping the surcharge went from 6.25% to 7.75% and
Express meaning 2 day or overnight shipments the surcharge jumped from 20% to 25%.
WTN Services™ can help you mitigate those costs and margin concerns for you and your consumer in two ways…
1.) Process clubs and release shipments via bi-coastal shipping. Using our bi-coastal fulfillment option, we can ship clubs and release shipments ground from our New York and California facilities, zone skip and provide deliveries to 75% of the US population within 2 days in a manner that protects you from these excessive fuel surcharges and can save 18% in transport fuel surcharges, as well as provide additional savings in the cost structure of your consumer deliveries.
2.) Mitigation of fuel surcharge fees happen by using bicoastal services.
A WTN Services™ Account Manager will be happy to meet with you to discuss mitigation strategies to ensure your exposure is limited. At WTN Services™ we are aggressively working to protect your margins and the costs to your consumers. Please reach out for further dialog on how we can ensure your margins and your wine club consumers cost increases are mitigated.
If you have immediate need to discuss the implications of this offer to assist you in mitigating the risk of increased shipment costs of course, I am happy to discuss, as well as key members of our team.
In Partnership,
Chris Edwards
Vice President & General Manager
WTN Services™
a division of 1800Flowers
2545 Napa Valley Corporate Drive Ste F
Napa Ca 94558
707.265.2934
cedwards@winetasting.com
www.wtnservices.com
www.winetasting.com
www.1800flowers.com
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