Level the playing field when negotiating parcel shipping contracts

By Mike Erickson

Consider the following contractual structures that have evolved in recent years:
1. incentive and penalty revenue tiers tied to volume commitments;
2. prices that are based on rolling volume averages;
3. zone-based pricing;
4. per-piece minimums;
5. “base-plus-tier” additive percentage structures;
6. bundling of different services for discount determination; and
7. increasing complexity of assessorial fees.