Lone Star Overnight simplifies rates in high season
AUSTIN, Texas, 25 August 2021 / PRNewswire / – Responding to e-commerce shippers’ need for clear, consistent and affordable shipping costs, Lone Star Night (LSO) announces its high season supplement plan. In most cases, it is simpler and cheaper compared to those of its big domestic competitors. On average, LSO’s peak surcharge is a significantly lower surcharge for each package that one of our ecommerce shippers sends with us between October 15, 2021, and January 13, 2022. There are no volume-based thresholds earlier in the year and no tiered top-up level. The exact surcharge varies by customer based on each customer’s unique characteristics and shipping volume throughout the year. There is a $ 0.00 advanced supplement for small business shippers.
âOur customers tell us that the complex and high surcharges from our competitors make their brains beat. It’s a real problem for their internal cost accounting teams and freight auditors to determine which packages are subject to a surcharge, and not. We choose to apply a lower overcharge to each package tailored to their specific shipping characteristics that most influence our peak costs.I think it makes sense to do the extra work to match the surcharge with the cost at one. granular level rather than an arbitrary formula. That way, if any of our customers have lower cost characteristics in high season, they don’t subsidize other customers whose plans are more expensive to maintain. This is the same approach we use when we develop a price and service proposal for a new customer. I call it our âGoldilocks Award. Strategy ‘… neither too hot nor too cold, just the right amount, âsaid Richard metzler, CEO of LSO.
âCustomers also tell us that they are withdrawing from other regional and national shippers to LSO and other regional parcel carriers for three basic reasons. 1. Better service; if you don’t believe me, ask the one of the experts who follow the parcel industry 2. Big savings, we’re lean, disjointed, and have less overheads We don’t have a football stadium named after our name and never will. Flexible and easier to use; at least we try to do it your way, and in many cases we do. Our personalized approach to pricing is a simple example of how LSO works differently. regularly do things that other guys can’t do, in a way that they won’t. “
Metzler went on to say, âPeak season is almost upon us and not all regional and national parcel carriers combined will have enough capacity to support the record level of online shopping. Some say there could be as much as a Capacity Shortfall of 5 million packages per day. I strongly encourage everyone to finalize their peak forecast and finalize their technology and operational implementation plans, regardless of your carrier choice. This is the best thing shippers can do to maximize service and minimize costs. We grew by 70% last year and our e-commerce product line by 185%. It will be another great year for us, fueled mainly by e-commerce. You have everyone’s commitment on the LSO team to stretch very hard to make it a prosperous holiday season for as much order volume from our online merchants as humanly possible. “
âWe are not pursuing new business for 2021, but we are signing contracts for 2022. Anyone who signs an agreement for next year and starts shipping their target volume in the first quarter will not receive a General Rate Increase (GRI) in 2022. ”
For more information on LSO, please visit http://lso.com.
About Lone Star Overnight
Lone Star Overnight (LSOâ¢) has its seat at Austin, Texas and over the past 30 years has grown into the premier regional parcel delivery company throughout the South West. LSO has a network of 23 operating sites and serves the 3,000 postal codes in Texas, ~ 10% of all e-commerce orders in the United States and 80% of the population in Oklahoma, Eastern New Mexico and Western louisiana. From September 2021, geographic coverage will expand to include Louisiana, Arkansas, Missouri and parts of Kansas and Illinois. Coverage of the LSO population will increase from ~ 31 million to ~ 43 million.
SOURCE Lone Star Night