COLLECTION VS. PREPAID DELIVERY

What should I choose?

First of all, what’s the difference?

Prepaid

Commonly referred to as delivered pricing, the supplier delivers product to retailer DCs, including all transportation and supply chain costs. Pricing starts with factory pricing, or first cost, and adds the cost to move merchandise through a 3PL’s facilities, such as RJW, to arrive at delivered cost, or final cost.

Collect

Commonly referred to as customer pick-up, the retailer assumes responsibility for moving goods from the supplier to their distribution centers. The supplier quoted price does not include transportation costs and typically starts with factory pricing plus a margin.

Optimal Delivery Performance

3PL’s like RJW are held to a much higher on-time standard than the retailer’s collect program. A prepaid program must meet or exceed 98% on-time delivery, while the collect program is not required to meet any specific percentage. This means that – as long as you have a reliable logistics partner that meets this requirement – your products stand a much stronger chance of being consistently on-shelf which of course leads to higher sales.

  RJW averages 98% On-Time and 99% In-Full

Lessen Your Lead Times

Prepaid shipping offers much shorter lead times and greater flexibility because you control your production and inventories. With shorter lead times to the shelf, your products are more frequently in-stock and available to shoppers both in-store and online, leading to increased sales and more opportunities to convert new consumers.

  RJW averages7-10 days lead time

Clear Supply Chain Visibility & Control

With prepaid shipping through a 3PL, especially an asset-0wned 3PL like RJW, suppliers have visibility into their supply chain operations and control over what’s happening. This transparency affords you valuable insights to make data-driven decisions that inform and move the business forward.

  RJW owns and controls its own assets, putting you in the driver’s seat

Effortless, Streamlined Compliance

At RJW, we offer our suppliers access to many services under one roof to ensure you’re compliant with the strict and differing requirements of many retailers. Services like packaging, re-packaging, labeling, bar coding, point-of-slae displays, and much more allow you to move your products through the middle mile efficiently and with as few outside vendors as possible – all with the streamlined supply chain visibility you need.

  RJW has an expansive suite of Value-Added Services to keep you compliant with strict retailer requirements

Know Your Costs

Hidden fees can drastically change your budget and make it hard to plan. RJW uses a straightforward, transparent pricing model that includes all fuel surcharges and administrative fees so you can more easily determine your freight factor and make better bottom line business decisions.

  RJW’s transparent pricing model keeps things simple so you know what to expect

Multi-Day Review

RJW Leads the Industry

Determining your freight factor can help you decide which is the best option for you. Need Help?