Innovative Partnership Reduces Claims and Decreases Time in Transit for Home Delivery
An electronics store faced with consistent freight forwarding damage claims turned to SEKO Logistics for an unconventional solution.
A leader in top quality, name brand electronics for over 20 years, this electronics retailer makes it happen for customers. But, when faced with consistent LTL damage claims, they were in search of an answer. Double-boxing served as a transition, however, with a 3.5% damage rate, still proved to be unacceptable. In search of a solution, SEKO Logistics thought 'outside the box' and contacted to the area's primary airline to develop a solution.
This store was shipping ground, which resulted in damaged goods and delays. As a customer-focused organization, they needed to see a reduction in claims, as the damaged goods created very unhappy customers and claims were beginning to affect their bottom line.
Per the client's request for a simple solution, SEKO Logistics conducted a distribution study and discovered that shipments followed the 80/20 principle. The SEKO Solution converts ground home delivery into an air freight solution for shipments that fall between parcel and heavyweight status. The electronics store is now classified as a known shipper to their local airline and is provided with a signed consensus upon shipment drop-off.
After a completely successful trial focusing on Texas/California shipments, the store has now expanded The SEKO Solution to include everywhere that a direct or connecting flight is available. The results have been "fantastic"—claims have been greatly reduced and time in transit has drastically improved.
"The customer is thrilled! In looking for a solution, we tried to approach things from a continuous improvement standpoint. We wanted to improve time in transit and reduce damages and we found that this works, and you can save money!"