A Strategy to Cut Shipping Costs The Educational Shippers Association Is Managed By A Third Party Logistics Company, Leveraged Logistics, LLC Focusing On Inbound Freight Cost Reduction Programs To The Educational Market Currently Serving Over 200 School Districts Across The United States and Saving Money on the High Shipping Costs for the Products You Buy. Educational Shippers Association 888.325.8655 info@saveondelivery.com © Educational Shippers Association 2010 A Case Study - Textbooks Publisher Value of Purchase Order Publisher Freight Price ESA Freight Price Your $$$ Saved Book Company 12,225.00 1,222.50 106.00 1,116.50 Book Company 53,695.00 5,369.50 335.76 5,013.74 Book Company 13,059.93 1,305.93 152.80 1,153.13 Book Company 91,246.81 9,124.68 393.28 8,731.40 Totals 170,226.74 17,022.61 987.84 16,014.77 © Educational Shippers Association 2010 Who Are We? The ESA is an association of public school districts managed by Leveraged Logistics, LLC The founders have over 70 years of combined logistics and supply chain management experience in Fortune 500 companies We are dedicated to providing the most cost effective, timely delivery of goods to schools Our business model is similar to purchasing cooperitives © Educational Shippers Association 2010 What Does The ESA Do? Through collective freight buying we insure the most cost effective delivery possible We manage both inbound and returned freight We prepay the freight bills for you We bill you on your schedule and provide both consolidated and detailed invoice statements We handle damage claims © Educational Shippers Association 2010 How Do We Do It? It’s not magic – It’s a simple process We partner with your purchasing agents, they control the purchase price and we control the freight price We have negotiated lower freight rates based upon the combined shipping and receiving volumes of member schools Our propriety database chooses the best valued carrier for you © Educational Shippers Association 2010 Shipping Instructions If your PO says, (in 6pt type) “Prepay all transportation charges,” you have given a license to steal from you. And many do, on every order shipped to you. What your PO should say is, “Reference School Purchase Order on BOL or UPS Bill. Ship FOB Shipping Point, Third Party Billed. Use UPS GROUND ONLY up to 200 LB. Bill UPS account number XXXXXX, zip 47374. Over 200 LB. Call 888-325-8655 for TL and LTL routing. Any charges incurred due to misdirected shipments will be charged back to vendor.” © Educational Shippers Association 2010 The ESA Value to YOU! Products Shipped Weight in Lbs. Supplier shipping ESA Shipping Your ESA Savings Savings Percent Palos Sports 205 208.35 129.36 Workbooks 22 25.10 15.10 Kitchen Pallet Jack 81 210.14 151.05 Textbooks 350 429.00 113.97 2 Dell Computers 76 156.69 102.41 Kitchen Products 10 11.17 9.12 American Art Clay 3,216 265.74 205.79 BREHOB Kitchen Dryer 107 153.48 111.89 78.99 10.00 59.09 315.03 54.28 2.05 59.95 41.59 38% 40% 28% 73% 35% 18% 23% 23% © Educational Shippers Association 2010 ESA Frequently Asked Questions Q: Do you only ship textbooks? Q: Are there any membership fees or annual dues? Q: Do we select the delivery companies that ESA uses? Q: What if our product is damaged at time of delivery? Q: Are our products insured during delivery? Q: How do I track my packages? Q: This all sounds good but what is the down side for the district, what are the risks? © Educational Shippers Association 2010 How Do We Start Saving? Give us your business card and we’ll do the rest Go to www.saveondelviery.com and click on the Register Button We will send your account number and special instructions rubber stamps for your PO’s ESA 888.325.8655 info@saveondelivery.com © Educational Shippers Association 2010