Tip: Approach Supplier Deliveries as 'Need By' Instead of 'Ship By' - Modern Distribution Management

Log In

Tip: Approach Supplier Deliveries as ‘Need By’ Instead of ‘Ship By’

Give manufacturers latitude to choose lower cost options to meet your needs.
Author
Date

For many distributors, the cost of shipping from the manufacturer can be expensive. But if you're focused on when the manufacturer will ship it, that doesn't give them much flexibility in providing lower cost options. Shifting to a need-by date rather than a ship-by date can provide the manufacturer with latitude to determine the most cost-effective way to ship the order to meet that need, says Doug Savage, owner of Bearing Service Inc., Livonia, MI, in Why LTL May Be A Better Option

"If I say an item needs to be shipped on UPS on Tuesday, knowing that UPS will get it to me on Friday, I will pay the cost of parcel delivery," Savage says. "What I may not know is letting the manufacturer ship it LTL (less-than-truckload) on Monday night could get it to me by Friday as well but at a third of the cost."

Re-evaluating shipping options and processes to get product from the manufacturer to the distributor can lead to significant savings and, even more importantly, improve your own customer service.

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.