Five Reasons you Need a Purchasing Agent on Staff
Are a good portion of your business expenses spent on shipping and deliveries? Many businesses rely on U.S. and international shipping methods to get their products to their customers. However, choosing the right delivery method is important. Otherwise, you could spend too much and lose a significant portion of your profits. If you spend a lot on shipping and delivery, it might be beneficial to use a certified purchasing agent. Purchasing agents in the USA can assist with the following shipping practices.
Carrier pricing negotiations
When you are just starting out, you are unlikely to get any shipping discounts. However, once you grow your business and are providing a local delivery service with a good portion of their business, you can usually negotiate for better rates. Using purchasing agents in the USA ensures that you are asking for these price cuts at the right time. Purchasing agents in the USA are also familiar with industry standards and this information can be extremely useful in the negotiations process.
Handle shipping and delivery problems
There can also be shipping and delivery problems that affect the reputation of the business. When products are not being shipping in a timely manner or when they are being shipped damaged or spoiled, customers are going to get mad. Purchasing agents in the USA help to protect the business name by handling delivery problems. They monitor both door to door delivery, as well as air shipping rates and problems. You might be surprised to learn that there are generally more shipping problems with door to door deliveries. The short transportation time of air cargo decreases the risk of damage to products and ensures a higher quality product delivery. The purchasing agent, however, is an important part of transitioning delivery methods to more reliable carriers, like air travel.
Evaluate current shipping supplies
The materials that a business delivers in are also very important. If the shipping materials are not made of high quality, there could be damage to the product. Additionally, purchasing shipping supplies that are high quality can severely cut into the profits. Sometimes choosing higher quality shipping materials for one shipping service like air delivery makes sense, but using the same materials for ocean does not. Air and ocean cargo require different shipping supplies and methods and a purchasing agent is an integral part of this decision process. There is also an increased push for environmentally friendly shipping supplies. For eco friendly transportation, use recycled boxes and bags to ship your goods.
Provide insight into shipping rates
Too low of shipping rates can cause a business to fail. Too high of shipping rates can reduce customer acquisition. Choosing the right shipping rate for customer orders is important. Purchasing agents are familiar with the costs of American cargo shipping and can provide valuable insight into suggested shipping costs. Although many businesses today are offering free shipping in order to grab the customer?s attention, the cost of shipping is usually worked into the price somewhere. Purchasing agents can assist business owners with better understanding the costs of shipping.
To keep up with industry expectations
Industry expectations are constantly changing. Years ago, customers found it acceptable to wait weeks for their order to arrive. Today, however, customers want their products faster than ever. With big name companies offering free two day and one day shipping, smaller businesses need to keep up in order to be competitive. This can be difficult to price as overnight or 2 day delivery can be 50% or more than the usual delivery fee. A purchasing agent is knowledgeable of the latest technology and industry standards.
Why do you need a purchasing agent for your business? Purchasing agents in the USA offer many shipping advantages, including pricing, shipping supply evaluation, handling problems with shipping methods, and the ability to keep up with the latest shipping innovations and expectations. Bringing a dedicated purchasing agent onto your team can be very useful for increasing product profits.