So, it’s not difficult to see why – for the first time in the Benchmark Report’s history – the primary strategy focus for shippers during 2020 was (and likely still is) carrier diversification
, more important than price competition, order fulfillment, and ominchannel implementation. While not new to the industry, carrier diversification through means like regional carriers have not always been a priority for parcel shippers. The 2020 pandemic, however, highlighted the need for a Plan B, or Plan C. And maybe a Plan D. Alternative volume channels offer shippers increased flexibility, as well as some means of crisis management when the industry is plagued by an unforeseen or unplanned issue. Like Curbside and BOPIS Pickup, Green Mountain expects that shippers will continue to prioritize carrier diversification beyond 2021 as a means to fortify their networks and ensure faster order fulfillment for their customers. Yet, there’s a lot more to the strategy than it may seem – shippers may need to invest in technology, systems may need adjustments to recognize or track volume between new carriers, and the ROI between carriers is not equal. This places new value on working with a Parcel Spend Management partner to help guide carrier diversification through spend analysis, identifying which regional carriers are the best fit, as well as the percent volume applicable to new carriers.