Shipping rate differences

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Shipping rate differences

Post by AbleMods » Thu Feb 14, 2008 8:14 pm

Scenario:

I set up shipping accounts with the freight carriers used by my distributors. Everything is drop-shipped, so all I need is rating for my site.

The warehouse addresses are set to the addresses given to me by the distributors. My thinking was the distributor freight amounts would be pretty darn close to mine. We're both using the same origin and destination addresses. I'm using their package dimensions, so those should be the same to0.

But there are differences in what is calculated by my site as compared to what the distributor is charging. The closer the destination is to the (east coast) warehouse address, the closer the dollar amount is to be equal. California destinations are always off $2-$3.

How do merchants accomodate for this? It's probably not reasonable to assume my rates will always exactly match a given distributor? But how does the merchant protect himself on low-margin items on those California orders?
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Post by jmestep » Fri Feb 15, 2008 6:58 am

Where are you getting the vendor rates? From what they charge you? I assume they are charging more or you wouldn't be concerned? Are they using the same dimensions and weights that you are? Do they add insurance? Also, UPS has a surcharge that is not calculated in the online tools, but it shows up on the actual bill.
See if your customers are checking that it is a business when in reality it might be a residence. We took the option off our checkout because so many customers cheated.
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Post by AbleMods » Fri Feb 15, 2008 7:09 am

Wow really great info, thanks Judy!

Dimensions and weights are the same since I'm loading their db info directly into my store.

Insurance: Now that you mention it, one distributor is adding insurance. Is there a way to compensate for that in AC7? Or does that go back to another forum question about adding a flat-rate amount to all shipping charges?
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Post by jmestep » Fri Feb 15, 2008 8:46 am

You can add an handling fee to each shipping method that would cover insurance.
Here is a link to some of the UPS surcharges, for example:
http://www.ups.com/rates/surcharges.htm ... =surcharge
There also is a fuel surcharge, but I coudn't find it on their site.
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Post by calvis » Fri Feb 15, 2008 11:13 am

UPS = U)nited P)arcel S)urcharge

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Post by jmestep » Fri Feb 15, 2008 12:02 pm

You are right, Calvis. It's a hunk, but I just couldn't find the current rate.
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Post by Smurf » Sun Feb 17, 2008 10:04 am

The fuel charge is a killer, especially on air shipments:

http://www.ups.com/content/us/en/resour ... harge.html

Current Fuel Surcharge Rate for Package Services:

Ground
Through February 3, 2008: 6.25%
Effective February 4, 2008: 6.25%

Air and International
Through February 3, 2008: 19.50%
Effective February 4, 2008: 18.50%

I also find that many distributors do not pack efficiently. It is not uncommon to receive an oversized package that could have been packed in a smaller box and shipped for half the price. In some cases, it almost triples the shipping costs. ouch!

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Post by AbleMods » Sun Feb 17, 2008 10:32 am

Holy cow.

I had a customer finish his brief complaint about my shipping rates for a $13 penlight with "shame on you".

I first asked him why he was buying a $13 penlight online when the stores have millions?

I then asked him quite kindly to please proceed to the store and buy one box, any size. Then buy some packing material, the smallest roll of tape he can find and one shipping label.
Then head over to the flashlights section, pick (the correct) part from the shelf and prepare the shipment. Track your time to box it, secure it, label it, stage for pick up and enter the tracking info back into the computer. Don't forget the insurance and actual freight cost itself.

I received a very nice apology :P
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Re: Shipping rate differences

Post by WylieE » Tue Jul 15, 2008 1:06 pm

Is it possible to have AC break out the UPS fuel surcharge as a separate line item?

I've read through the UPS online tools documentation and it looks like it should be able to return the surcharge separately. In order to do a complete reconciliation of our billed shipping charges against our UPS bill, we need the UPS costs split out.

Additionally, the rates we're getting back from UPS are full rack rates and do not reflect our discount. We've got our account number entered and have selected daily pickup. Shouldn't we be seeing our reduced rates?
Eric Wylie
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Re: Shipping rate differences

Post by Shopping Cart Admin » Tue Jul 15, 2008 2:13 pm

Hello,

We're only displaying what UPS is sending us. If your rates are not being shown correctly, contact UPS to confirm everything is set correctly. It wouldn't be possible for us to split out the fuel charge, it's included in the price returned from UPS and not broken out.
Thanks for your support

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Re: Shipping rate differences

Post by WylieE » Tue Jul 15, 2008 6:26 pm

Shopping Cart Admin wrote:Hello,

We're only displaying what UPS is sending us. If your rates are not being shown correctly, contact UPS to confirm everything is set correctly. It wouldn't be possible for us to split out the fuel charge, it's included in the price returned from UPS and not broken out.
Thanks for the quick response. I've looked at the XML code in the UPS logfile and I don't see AC passing ShipperNumber to UPS in the first place. According to the UPS documentation, this is necessary to receive negotiated rates. Can you confirm AC is passing that information?
Eric Wylie
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Re: Shipping rate differences

Post by Shopping Cart Admin » Tue Jul 15, 2008 7:43 pm

Hello,

This issue has been Confirmed. We were under the impression that when the shipper number was provided at registration UPS associated it to the account they generate for ecommerce tools. However this isn't correct, it's based on the number sent in during the request. A hot patch will be released soon.
Thanks for your support

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Re: Shipping rate differences

Post by Shopping Cart Admin » Tue Jul 15, 2008 7:57 pm

Hello,

Bug has been reported and we'll have a solution before the end of the week.

http://bugs.ablecommerce.com/show_bug.cgi?id=7013
Thanks for your support

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Re: Shipping rate differences

Post by sohaib » Wed Jul 16, 2008 10:22 am

A patch is attached with the bug mentioned above.

Please remove your existing UPS configuration before adding a new one with your shipper number.

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Re: Shipping rate differences

Post by WylieE » Wed Jul 16, 2008 11:48 am

Thanks for the prompt response. I downloaded the patch and updated the dll. Deleted and rebuilt the UPS account and ran some rating tests. The same rack rates were returned. So....

I've reviewed the UPS log files and have confirmed the ShipperNumber was complete and accurate. That part looks good.

After further study of the UPS XML dev guide, I see an additional container that may need to be added. This info is not present in the example code provided in the devkit, so it could be easy to miss. Check out RateInformation and the NegotiatedRatesIndicator string. (Page 52 of the 20-June-2008 docs.)

Soahaib, I'll PM you additional pricing info to help test any changes. Thanks for your help.
Eric Wylie
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Re: Shipping rate differences

Post by sohaib » Wed Jul 16, 2008 1:25 pm

Can you please check the updated patch from
http://bugs.ablecommerce.com/show_bug.cgi?id=7013

I have added the RateInformation/NegotiatedRatesIndicator

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Re: Shipping rate differences

Post by hondo69 » Thu Jul 17, 2008 6:20 am

Shipping is really confusing, even for simple orders.

When I get an estimate for a small item going UPS ground, the calculator returns $ 6.83. When I continue on through the checkout process the shipping charge somehow becomes $ 8.44. Not sure how the same item can go to the same city and zip but return two different prices.

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Re: Shipping rate differences

Post by afm » Thu Jul 17, 2008 9:25 am

hondo69 wrote:Shipping is really confusing, even for simple orders.

When I get an estimate for a small item going UPS ground, the calculator returns $ 6.83. When I continue on through the checkout process the shipping charge somehow becomes $ 8.44. Not sure how the same item can go to the same city and zip but return two different prices.
The difference looks about right for the difference between residential and business delivery. My guess is that the estimator is asking for non-residential rates. When you get to checkout, UPS sees the street address and figures out that the address is residential.
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Re: Shipping rate differences

Post by Robbie@FireFold » Thu Jul 17, 2008 2:25 pm

This is semi on topic.

Any chance on implementing or suggestions on freight an actual freight carrier?

I would love to calculate large orders via freight.
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Re: Shipping rate differences

Post by afm » Thu Jul 17, 2008 3:02 pm

Robbie@FireFold wrote:Any chance on implementing or suggestions on freight an actual freight carrier?
If you get a chance, add a post to the AbleCommerce 7.x Feature Requests forum.
Andy Miller
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Re: Shipping rate differences

Post by WylieE » Thu Jul 17, 2008 3:06 pm

Robbie@FireFold wrote:This is semi on topic.

Any chance on implementing or suggestions on freight an actual freight carrier?

I would love to calculate large orders via freight.
I used to work in the freight industry and most carriers weren't technically savvy enough to have any sort of auto-rating system available. There are quite a few variables to take into account when shipping freight, particularly if it is over the water. (ie. freight class/commodity mix, etc...)
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Re: Shipping rate differences

Post by kwikstand » Sun Jul 20, 2008 12:38 pm

I am looking at Yellow freight. One of my suppliers uses them regularly and I checked out their web site. They have an API for integrating into your own web site. I am in the process of upgrading to AC7, and now I need to learn how to implement that. Does anybody know where I should start? Any help would be appreciated, probably by many of us.

Here is their web site: http://www.myyellow.com/dynamic/service ... oteapi.jsp

These accurate quotes would be very helpful. I am currently using a custom weight based method from the chart I set up in Able. Just this week, I called to obtain a quote to a Wyoming destination. I forgot the ZIP code when I called , so he just used Cody, WY, and said that should be close enough. It came to $400. An hour later, he called back and said that I should use the exact ZIP code because he checked shipping to Cheyenne. and it would only be $200. So weight is only one factor, destination greatly affects rates. I had the same problem shipping to Marthas' Vineyard and one of those Islands off the coast of BC, Canada. Shipping to destinations on Long Island, NY also cost quite a bit more.

If I could obtain quotes directly from a freight carrier such as Yellow or Roadway, I think things would run a lot smoother.

Thanks,
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Re: Shipping rate differences

Post by Logan Rhodehamel » Fri Jul 25, 2008 4:32 pm

sohaib wrote:Can you please check the updated patch from
http://bugs.ablecommerce.com/show_bug.cgi?id=7013

I have added the RateInformation/NegotiatedRatesIndicator
FYI, I have updated this patch once more with the following changes:

* The updated CommerceBuilder.UPS.DLL is reversioned to 10041
* Includes the updated configuration aspx files so you can add or modify shipper number from the admin at any point after the registration is completed
Cheers,
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Re: Shipping rate differences

Post by kwikstand » Sat Jul 26, 2008 4:43 pm

So, is it possible to integrate other shippers such as Yellow Freight?

Any input would be appreciated.

--Scott

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Re: Shipping rate differences

Post by Shopping Cart Admin » Sat Jul 26, 2008 6:58 pm

Hello,

We provide the source to UPS and a blank shipper project, see the following link:

viewtopic.php?f=47&t=6651
Thanks for your support

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