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Case Study

GSO Gives Advanced Salon Concepts a Competitive Advantage with Next-Day Ground Parcel and LTL Delivery across California

For Advanced Salon Concepts (ASC), a wholesale distributor of beauty and salon products in Commerce, California, which ships packages and pallets to retail locations, the carriers servicing their shipments are expected to handle high volumes of product, ensure on-time delivery at a competitive cost, and understand the intricacies of the industry.

Challenges
Prior to using GSO, ASC had been experiencing several challenges which couldn’t be solved in a cost-effective manner with the worldwide carriers:

  • Next-day delivery was critical to stay competitive, but this was cost prohibitive with the worldwide carriers
  • Saturday deliveries were crucial for the salon industry since clients were typically closed on Mondays, but paying Saturday service rates was not cost effective
  • Needed more customized point of delivery procedures to meet the specialized expectations and needs of customers
  • The early pickup times of the Worldwide Carriers did not allow for afternoon order processing
  • Typical packages being shipped became subject to DIM weight which was heavily impacting the bottom line

For ASC, shipping next-day and arranging for Saturday delivery would cost a fortune through the worldwide carriers. Plus, many of its shipments became subject to DIM weight pricing, which caused an enormous hike in its costs. But if the company wanted to compete, it had to find a way.

Solution
A Regional Carrier with a Compelling Retail Delivery Strategy

With the increasing challenges and the considerable impact on the company’s bottom line, ASC decided it was time to evaluate alternatives to the worldwide carriers. So they looked into regional carriers that understood the intricacies of delivering to retail locations, while covering a vast footprint on a next-day basis, accommodate freight shipments, offer later pickups, comprehensive package tracking, and the ability to receive more customized point of delivery procedures. That’s when they switched to GSO.

It was crucial that Animal Health International work with a carrier that could provide the flexibility necessary to work with the different types of delivery destinations, such as dairy farms, pet shops, and feed stores. GSO has been able to provide the customized point of delivery options necessary for the successful execution of these deliveries with the following additional benefits:

Results
Gained a competitive advantage by being able to reduce transit times and get product into customers’ hands more quickly with benefits including:

  • Next-day service at ground rates for parcel and LTL shipments
    • Reduced transit times due to the expanded next-day service footprint
    • Gained a competitive advantage
  • Reduced Shipping costs by 30%
    • Eliminated or reduced accessorial fees
    • Improved COD fund turnaround times
  • Later pickup times
    • Extended pickup hours to 8 PM which allowed them to keep their order desk open longer and still ensure overnight delivery to their customers
  • Saturday Delivery Service
    • Optional Saturday service saved the company significantly and ensured that customers were receiving products in time for Saturday or Tuesday appointments
  • Elimination of Split Shipments
  • Significant decrease in damages as compared to the National Carriers
  • Dedicated customer service representatives are easy to reach and provide increased visibility into shipment tracking

   

“Due to the unique operating hours of this industry, getting packages into customers’ hands was a challenge. They’re typically closed on Mondays which gave us just four days to get packages to our customers because Saturday service rates were too high. With GSO, we were able to ship out on Friday and still have packages arrive on Saturday at no additional charge. This was a life saver for our company and a huge competitive advantage for us.” - Mike Seiser, CEO and Founder, Advanced Salon Concepts