Transportation brokerage by TAGG Logistics saves companies thousands in transportation costs. For example, a leading air purification company has decided to partner with TAGG Logistics for transportation brokerage in order to achieve cost savings. In an internal project to identify cost savings, TAGG Logistics partnered with this air purification company for transportation brokerage, pairing transportation brokerage with fulfillment center hubs in Chicago, IL and Los Angeles, CA as their optimal distribution locations.
Transportation Brokerage supports omnichannel fulfillment for a seamless retail experience
Today’s modern consumers want a seamless retail experience, regardless of where they visit a brand across the omnichannel spectrum: brick and mortar stores, web, mobile, social, and so on. TAGG Logistics helps this client efficiently serve consumers when, where and how they shop today with transportation brokerage and omnichannel fulfillment solutions. By partnering with the TAGG team, this client was able to accomplish three critical business goals related to reaching their consumers with order deliveries fast.
The first goal was to evaluate their current transportation costs, and uncover potential savings that TAGG could provide as their transportation broker. The second goal was to successfully reduce travel time to consumers. Finally, the third goal was to expand to a multipoint fulfillment model. By doing so, this air purification company had substantial opportunity to optimize their ecommerce outbound shipping and service times from distribution hubs in TAGG’s Chicago, Illinois fulfillment center and Los Angeles, California fulfillment center.
Save thousands with TAGG’s transportation brokerage for 1-day and 2-day omnichannel fulfillment
As a result, this client was able to uncover over $110,000 in transportation savings by utilizing TAGG’s transportation brokerage rates. On average, that translated to $1.94 savings on every order they ship out. TAGG helped them find other savings as well. For example, repositioning inventory to optimal locations resulted in $15,662 savings and adding a smart post feature yielded $45,116 in savings.
This client’s second transportation goal was to reduce the transit times it took for their deliveries to arrive to customers on time. After repositioning inventory to optimal locations, initial data shows a 7% improvement in transit times for deliveries, with the majority of deliveries happening within 2 days. While 2 days meets most consumer preferences, there is a significant segment of this client’s consumer base that require one-day parcel transit times. With TAGG as their 3PL fulfillment partner in the Chicago, Illinois fulfillment center location, data shows 47% of all parcel deliveries can arrive within one day.
Finally, by using a multi-point distribution model with fulfillment center hubs in Chicago, Illinois or Los Angeles, California, TAGG and this client now fulfill nearly 80% of orders within a 2 day delivery window.
In summary, companies have the opportunity to save thousands of dollars across their logistics networks when they design a total omnichannel fulfillment solution paired with transportation brokerage — all delivered by TAGG Logistics as your 3PL fulfillment partner.
About TAGG Logistics:
TAGG Logistics is a nationwide fulfillment, distribution and packaging provider built to deliver Your Business EverywhereSM by efficiently serving consumers when, where and how they shop today. Consumers want a seamless retail experience, regardless of where they visit a brand; brick and mortar stores, online websites, through mobile devices, social channels and more. TAGG helps deliver this brand experience through e-commerce order fulfillment solutions.