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Chicken or Egg Problem: Low rates for volume but can't get volume without low rates.
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<blockquote data-quote="UPSforMe" data-source="post: 1145364" data-attributes="member: 47907"><p><span style="color: #000000"><span style="font-family: 'Tahoma'">Hi guys.</span></span><span style="color: #000000"><span style="font-family: 'Tahoma'"></span></span></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'"></span></span></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">I am a lifelong UPS customer and always use UPS whether shipping or buying online.</span></span></p><p></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">I am set to launch a new ecommerce startup and would like your advice. </span></span><span style="color: #000000"><span style="font-family: 'Tahoma'"></span></span></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'"></span></span></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">Simply put, the price and quality of service you provide is the most important issue to the success of my business that is outside of my control. If I can't offer a competitive delivery rate for my customers, we won't be successful.</span></span></p><p></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">As a startup, we obviously have no volume, so we don't have a volume rate. Without a volume rate, we can't compete with existing businesses who can offer low shipping rates.</span></span></p><p></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">We are going to be using a fulfillment warehouse that allows the use of our own account number. We have been offered low rates using USPS, FedEx Ground, SmartPost, etc. but I really want UPS to be our exclusive delivery provider from warehouse to door. I consider our driver's to be a part of our company since you are the one's who are actually coming face to face with our customers. Delivery reliability and professionalism matter to me.</span></span></p><p></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">I understand that quality has it's costs and I don't expect something for nothing however as an ecommerce merchant, we are all competing with Amazon on some level. We absolutely must be able to get a discount rate if we're ever going to have a chance to get off the ground. (yes, I know we won't get Amazon's rate <img src="/community/styles/default/xenforo/smilies/wink.png" class="smilie" loading="lazy" alt=";)" title="Wink ;)" data-shortname=";)" /> </span></span></p><p></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">What is my best course of action? Are there volume buying organizations that I can join to get a rate where I can be competitive? </span></span><span style="color: #000000"><span style="font-family: 'Tahoma'"></span></span></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'"></span></span></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">What do I need to do to get a competitive shipping rates from UPS to be able to grow into the successful ecommerce business I know we can be?</span></span></p><p></p><p><span style="color: #000000"><span style="font-family: 'Tahoma'">Thanks for your time.</span></span></p></blockquote><p></p>
[QUOTE="UPSforMe, post: 1145364, member: 47907"] [COLOR=#000000][FONT=Tahoma]Hi guys.[/FONT][/COLOR][COLOR=#000000][FONT=Tahoma] [/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]I am a lifelong UPS customer and always use UPS whether shipping or buying online.[/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]I am set to launch a new ecommerce startup and would like your advice. [/FONT][/COLOR][COLOR=#000000][FONT=Tahoma] [/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]Simply put, the price and quality of service you provide is the most important issue to the success of my business that is outside of my control. If I can't offer a competitive delivery rate for my customers, we won't be successful.[/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]As a startup, we obviously have no volume, so we don't have a volume rate. Without a volume rate, we can't compete with existing businesses who can offer low shipping rates.[/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]We are going to be using a fulfillment warehouse that allows the use of our own account number. We have been offered low rates using USPS, FedEx Ground, SmartPost, etc. but I really want UPS to be our exclusive delivery provider from warehouse to door. I consider our driver's to be a part of our company since you are the one's who are actually coming face to face with our customers. Delivery reliability and professionalism matter to me.[/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]I understand that quality has it's costs and I don't expect something for nothing however as an ecommerce merchant, we are all competing with Amazon on some level. We absolutely must be able to get a discount rate if we're ever going to have a chance to get off the ground. (yes, I know we won't get Amazon's rate ;) [/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]What is my best course of action? Are there volume buying organizations that I can join to get a rate where I can be competitive? [/FONT][/COLOR][COLOR=#000000][FONT=Tahoma] [/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]What do I need to do to get a competitive shipping rates from UPS to be able to grow into the successful ecommerce business I know we can be?[/FONT][/COLOR] [COLOR=#000000][FONT=Tahoma]Thanks for your time.[/FONT][/COLOR] [/QUOTE]
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Chicken or Egg Problem: Low rates for volume but can't get volume without low rates.
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