We here at Reveel wanted to understand what’s really going on behind closed doors in the shipping and logistics industry – so we asked.
Our new “Parcel Shipping Intelligence Market Survey Report” gathered insights from supply chain finance and logistics leaders, and the results were eye-opening. While it’s no secret that shipping is becoming more expensive and more complex, the magnitude of the disconnect between cost pressures and available data was striking.
Here’s what we found, and some analysis about what it means for shippers who are looking to get a handle on their parcel spend.
Carrier Costs Are Rising…and So Is Frustration
Nearly all respondents (91%) told us they plan to expand their carrier networks this year. That alone is a loud signal. Shippers are clearly feeling boxed in by rising fees, shifting carrier definitions, and unpredictable surcharges – and they’re looking for alternatives.
The data shows that while overall shipping volumes are increasing – some 87% expect to make more shipments this year – insights into what they’re shipping and how they’re doing it isn’t keeping pace. Almost half of respondents (44%) say they don’t have adequate information on their shipping costs. Even more concerning, many lack visibility into the drivers behind those costs: 59% don’t have enough insight into demand forecasting, 57% are in the dark on vendor performance, and 50% struggle to understand inventory levels.
When you combine rising volume, rising costs, and limited visibility, it’s a recipe for overspending.
Parcel Spend Is a Bigger Chunk of the Budget Than You Might Think
It’s easy to underestimate just how much parcel spend impacts a company’s bottom line. But our report found that 22% of logistics budgets are being used on shipping – and for many companies, that adds up fast. In fact, 42% reported that they spend between $10 million and $50 million of their logistics budget on shipping. 21% are spending more than $50 million a year.
With that kind of spend, even small inefficiencies – a missed revenue tier, an under-optimized contract, or a few extra inches on a box – can turn into major cost drains.
The Data Gap Is Real – and It’s Holding Shippers Back
Shippers told us they’re facing a range of challenges: higher costs, limited carrier capacity, regulatory changes, and labor shortages. But what stood out was how many of these problems are rooted in one underlying issue: lack of actionable data.
You can’t understand what you can’t see. And if you can’t understand it, then there’s little hope to improve it. That’s why so many shipping and logistics teams feel stuck; without timely, accurate information, it’s incredibly difficult to optimize carrier relationships, renegotiate rates, or even make simple packaging decisions that could lead to significant savings.
Shippers Are Expanding Their Carrier Networks
When asked about strategies to reduce shipping costs, 91% of respondents said they’re looking to expand their carrier networks. It makes sense; diversifying carriers can reduce dependency on any single provider and unlock better rates and service levels. But diversification alone isn’t enough.
To make a multi-carrier strategy work, you need the intelligence to support it. You need to know how each carrier performs, how to meet volume commitments, and how to avoid getting hit with penalties or surprise surcharges. That requires visibility into every part of your shipping operations – from packaging dimensions, to cost per pound, to real-time carrier performance.
A Smarter Way Forward
At Reveel, we believe shipping intelligence is no longer a nice-to-have. Our platform is designed to give shippers control over their parcel spend with real-time visibility, predictive analytics, and AI-powered modeling that can transform raw shipping data into clear, actionable insights. The sort of information you need to properly fix the aforementioned problems.
Want to know your true cost per pound? Identify which carriers are helping – or hurting – your bottom line? Understand where to negotiate, how to reduce dimensional weight charges, or when to automate decisions?
Well, good news – that’s exactly what we’re built for.
With costs climbing and complexity increasing, the shippers who thrive will be those who can turn shipping from a cost center into a strategic advantage. Our latest research confirms what we’ve been hearing on the ground for a while now: the industry is ready for smarter solutions.
If you’re one of the 91% expanding your carrier network this year, let’s talk about how we can help you make that strategy succeed.
Download the full “Parcel Shipping Intelligence Market Survey Report” here and learn more about how Reveel can help here.