Quote:
Originally Posted by Pipecrew
I am fascinated that I can buy a bag of dogfood online that weights 20 lbs and get it in 2 days via fedex for only 4.99.
I am also fascinated that if I spent 35 dollars and get two bags of dog food (40 lbs worth) and get it in 2 days. The shipping is free.
How does this work? I know if I walk into fedex and even try and send something that weights 5 lbs across the country, they are going to jam a 25 dollar bill up my ass so fast my head will spin. If I walked in with two bags of dog food weighing 40lbs and tried to ship it across the country in 2 days, it would probably be 90 dollars.
1) How crazy are their shipping rates negotiated down based on volume? I am guessing like 75%. Maybe someone here knows the answer
2) Are they taking major losses on shipping to try and remain competitive and making up for it in their margins?
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You negotiate rates with Fedex and UPS as a business , but they will rape you if you walk in as a individual at a FexEx office or ship center..
So basically yes the more volume and negotiating you can do and have the UPS and Fedex reps go back n forth you can get the rates low.