Case Study: a large chain of retail stores cuts freight costs by $40K monthly with Ugam freight analysis

Reduce Shipping Costs With Freight Analysis

A large chain of retail stores in Australia faced the challenge of its freight costs exceeding 20% of its total shipping income as its eCommerce shipments grew. To address this, the retailer partnered with Ugam to understand the root causes and meet its mandate of recovering at least 80% of shipping costs from customers.

Ugam implemented a data-driven freight analysis solution. They tracked profit performance, identified high-loss instances, and recommended optimal carriers for different shipping scenarios. This helped the retailer save $40,000 every month and successfully achieve its 80% cost recovery mandate. Furthermore, Ugam's work laid the foundation for an automatic carrier selection system to effectively reduce costs long-term.