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Case Study:
Beauty Product Manufacturer

Over a six-month period, we recovered substantial costs across our client’s UPS account, the majority being from savings attributed to contract renegotiation, and the balance from audit savings.

Client Profile

Retail brand specializing in hair products and cosmetic brands serving consumers and salons across the globe.

A leading California cosmetic retailer, specializes in hair products and niche cosmetic brands for hair salons and their customers. Global sales and distribution through salons and e-commerce channels.

Project Length

Beauty Product Manufacturer

Business Location

Tustin, CA

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The Problem

Free Shipping

Due to consumer expectations of free or minimal shipping charges, the client does not charge for shipping on orders over $99 and charges a sliding scale of $4.99 to $9.99 for shipping fees.

High Costs & Fees

Shipping costs impaired company profitability and hurt their bottom-line. In search of options to decrease their shipping costs, we analyzed several months of shipping data and prepared a comprehensive solution.

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Our Solution

Contract Negotiation & Parcel Audit

Our client saw an immediate cost reduction through our audit. In addition to the refunds secured through the audit, the client has been able to track and monitor areas of potential waste and inefficiency (e.g. address corrections, shipments manifested but not shipped) through the DATARX reporting platform. In this case, the contract negotiation process (initial carrier meetings through new agreement effective date) only took 13 weeks to complete and netted more than $50k in savings.

  • Added ShipRx cost reporting
  • Secured refunds for service failure
  • Added discounts for overlooked services
  • Identified shipping waste & inefficiencies

Client Results

Parcel Audit & Contract Negotiation

Recovered shipping expenses by the ShipRx audit platform and contract negotiation over a six-month period.

$4,863.32
Recovered from Parcel Audit
$53,697.18
Saved from Contract Negotation
Monthly Savings Amount & Percent Cost Reduction
Month 1
$8,249
23.6%
Month 2
$12,474
26.0%
Month 3
$9,911
25.7%
Month 4
$9,177
26.4%
Month 5
$10,032
21.9%
Month 6
$8,719
24.4%
6 months
Project Length
$58,560
Total Savings
24%
Cost Reduction

While each opportunity will have varying degrees of success depending on the conditions, ShipRx has a 100% success rate in securing savings on behalf of its clients.

As a result of ShipRx's expertise, shipping costs were reduced by nearly 25%. This case study is a representation and reflection of ShipRx's technology, industry experience, and market expertise. These are not uncommon results for companies turning to ShipRx for assistance.

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  • 100% Success Rate for Clients
  • 30+ Years of Experience
  • Thousands of Successful Clients
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