At a glance
Client
E-Commerce Retailer
Function
Operations & Logistics Optimization
Project Type
Shipping Cost Analysis
Context
Hundreds of thousands in potential savings left on the table
A fast-growing online retailer scaling across multiple geographies was reliant on multiple carriers (UPS, USPS, FedEx, and LTL). They were shipping thousands of orders every month, but behind the scenes, their logistics looked more like a guessing game:
Data chaos
Shipment data lived in silos, making it impossible to get one clear picture.
Surprise fees
Unexpected shipping fees from mismatches in weight/size inflated expenses
No negotiation power
Without forecasts, the client was negotiating blindly with carriers
Challenge
Fragmented data, hidden fees, and blind negotiations
The operations team needed a single, reliable view of cost-per-pound and cost-per-shipment across all carriers. They wanted the ability to model "what-if" scenarios before rate changes landed, giving them the data-backed leverage to negotiate from a position of strength, all without slowing down the day-to-day flow of shipments.
Solution
AI-driven data consolidation and carrier intelligence
We started by consolidating shipment data from ShipStation and every carrier, assigning a true price-per-pound to each shipment and building both historical trends and forward-looking projections. Using AI, we converted messy PDF rate sheets into clean, structured data, making it possible to instantly compare actual costs against proposed rates in the client’s data warehouse.
With transparent benchmarks and lane-by-lane cost breakdowns in hand, leadership entered carrier negotiations armed with hard numbers, creating competitive bids and securing better rates.
Results
Six-figure savings and negotiation power in under 30 days
Consolidating shipping data, forecasting spend, and using AI in carrier negotiations cut annual shipping costs by hundreds of thousands. Unexpected fees mostly disappeared, and carrier rates improved by double digits.
100%
of historical shipments analyzed
4+
carrier shipment data into 1 system
Impact
Hundreds of thousands saved, and negotiations transformed
AI in the shipping cost workflow delivered the six-figure reduction and gave the team numbers to negotiate with. Ops now runs carrier contracts off a data-driven playbook instead of guesswork.
From overhead to advantage
AI insights turned shipping into a profit lever, replacing unpredictable costs with predictable margin gains
AI where decisions happen
Forecasting and cost intelligence fed directly into negotiations, eliminating blind spots and protecting margins
A new operating rhythm
Ops and finance now run on shared, real-time models, turning guesswork into repeatable, compounding savings
