How To Reduce Soft Costs in Shipping

by | Dec 16, 2019 | Freight Forwarder, Logistics, Supply Chain Dictionary

When it comes to choosing the right international freight forwarder for your shipping needs, cost plays a factor in your decision.

An experienced forwarder or third-party logistics company (3PL) can help you improve your bottom line by reducing your soft costs in addition to saving you money on hard costs.  

What is the difference between hard costs and soft costs?

Hard costs are tangible resources that are easy to calculate. For instance, things like fuel prices, hourly wages for employees, and materials are some hard costs.

Companies who ship goods internationally often require time and human resources to track shipments manually, follow up with shipping partners and customers, and other resource-draining tasks.

These labor-intensive tasks exemplify, in part, soft costs.

  • Soft costs are the intangible, general, and administrative items that take time and ultimately add to the cost of shipping.
  • Soft costs are usually time-consuming tasks such as planning, tracking shipments, gathering documents, handling disputes, and handling communication with your freight forwarder and over-seas suppliers.
  • Soft costs may include having to constantly follow up on shipping updates.

How can importers and exporters reduce soft costs?

A freight forwarder is essentially the middleman between the shipper and the carriers. Find a good one and soft costs will be dramatically reduced. Innovative technology, superior communication, dedicated customer service representatives are some of the key characteristics needed to accomplish this. Think of them as the best travel agent your shipments could wish for.

Importers rely on the help of a 3PL (third-party logistics company) to accomplish all the time-consuming and potentially costly tasks associated with shipping.

As an international and domestic freight forwarder and 3PL, Dedola Global Logistics reduces customer costs by providing a crystal-clear freight logistics program designed to fit your specific requirements

A good example of how we achieve our goal of providing our customers with world class services it our online shipment tracking system, Trackit!  This end-to-end tracking system ensures our customers always receive the most up-to-date information about their goods.

How can TrakIt! Help?

Our TrakIt! system takes the cost out of manual customer service labor, creating a real-time automated way to stay in touch with your shipments from door to door. Think of it as a one-stop-shop for all your shipping information needs. TrakIt:

  • Sends regular email notifications and updates
  • Provides data in real-time about the location and status of your goods
  • Guarantees 30-minute response times to inquiries about your shipment
  • Provides reports and data
  • Has a built-in instant messaging capability
  • Is compatible with mobile devices

What else can be done to lower soft costs?

A quality international and domestic freight forwarder and 3PL negotiates with multiple carriers to reduce shipping costs for their customers. Dedola does the vetting for our clients to achieve the best possible rate.

With over 43 years in the business, Dedola has garnered relationships with major shipping carriers around the globe, allowing us to negotiate the best prices possible.

The Dedola Difference

Dedola provides personalized service based on your needs. We assign all our clients a customer service representative to provide real-time assistance whenever you need it 24/7, answering all your questions and monitoring and shepherding your shipments throughout the logistics process.

Dedola is a global company with partners in 170 countries.  Wherever you ship to or from, we have the resources necessary to meet your needs.

Our systems help you get the information you need immediately without wasting your own time or precious resources tracking it down.

With Dedola Global Logistics, soft costs are reduced allowing you to spend those valuable resources on growing your business while alleviating the stress of shipping.

Contact Us

Save more on your shipping and reduce your soft costs by partnering with an international and domestic freight forwarder and 3PL like Dedola.

Visit our website at www.dedola.com or call  Dedola Global Logistics today at 1-800-743-2305 and let us not only lower your costs but provide you with peace of mind.