Shipper — Case Study
The holidays are a busy time for many of us, but they’re especially busy for a parcel-package delivery service that ships e-commerce freight to consumers’ homes. While the delivery service typically ships 12 million packages per day, that number surges to 22 million packages daily from October through December.
A surge in demand came much earlier in 2020, thanks to a new service offering and unprecedented customer demand. In February, the delivery service began offering its home delivery services seven days per week to compete with other e-commerce delivery services. Then in March, the COVID-19 pandemic began shutting down in-person shopping and the number of e-commerce orders soared.
The delivery service asked Schneider to provide additional freight capacity for its expedited e-commerce business. Schneider suggested a Power Only solution. Power Only trucking is when a third-party carrier picks up a preloaded Schneider trailer at the delivery service’s facility then drives it to a destination for delivery.
While the delivery service was initially wary of working with third-party carriers, it agreed because Schneider carefully vets all of its third-party carriers. The delivery service would still benefit from a lot of the perks of working with Schneider because it was still using Schneider trailers for its Power Only freight.
The Power Only solution offered the delivery service an efficient and flexible solution in a tight capacity market.
Because of its network of 36,000 carriers, Schneider had no trouble delivering nearly unlimited capacity to the delivery service. Beginning in mid-October and extending through the holiday season, Schneider contracted with 87 third-party driving teams to provide linehaul service.
As an added bonus, the Power Only solution allowed the delivery service to flex up freight capacity in California when it was receiving a surge in imports from the port.
Even though 25 different carriers delivered the additional capacity, the delivery service continued to work with the same Schneider team. The delivery service received the same high level of Schneider service that it relies on throughout the busy holiday season.
For more ways on how Schneider’s expertise can help optimize your business, visit our automotive transportation and logistics services page.
Read more about Power Only trucking and how it delivers results for shippers.
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