Stop Overpaying on Shipping
Shipping invoice errors and overcharges are surprisingly common in the logistics industry, affecting businesses of all sizes. Studies show that as many as 66% of invoices may contain some form of error, ranging from incorrect rate applications and misclassified freight to duplicate charges and missing discounts. Even more conservative estimates indicate that about 39% of all invoices have errors, while freight-specific analyses suggest 5–6% of invoices are calculated incorrectly, leading directly to overpayments or financial losses.
These errors can add up quickly, especially for companies handling high shipping volumes. Common mistakes include:
- Incorrect base rates or freight class misclassification, resulting in higher charges
- Duplicate billing for the same shipment
- Unapplied or incorrect discounts
- Erroneous fuel surcharges or accessorial fees
- Documentation mistakes, such as wrong addresses or missing proof of delivery.
- Industry data also shows that regular auditing recovers an average of 6–8% in overcharges, underscoring the significant financial impact of unchecked invoice errors6. For shippers, this means that without systematic auditing, substantial amounts of money may be lost to preventable billing mistakes.
How Our Audit Works:
Shyppie! Shipping Audit Process: Step-by-Step Breakdown
01. Submit Shipping Invoices & Documents
You start by securely submitting your shipping invoices and relevant documents (such as bills of lading, contracts, and shipping manifests) to Shyppie! This can be done via email, upload portal, or automated integration.
2. Data Collection & Organization
Our team gathers and organizes all submitted shipping data, ensuring every shipment, charge, and contract term is accounted for. This comprehensive data set forms the foundation of the audit.
3. Invoice Verification & Analysis
Shyppie! experts meticulously review each invoice, cross-checking shipment details, rates, and service levels against your carrier contracts and internal records. We look for errors such as overcharges, duplicate billing, incorrect accessorial fees, and service failures
4. Discrepancy Identification
We identify and flag any discrepancies or billing errors—such as overcharges, misapplied surcharges, or charges for undelivered services. Each issue is documented for transparency and follow-up.
5. Dispute Resolution & Recovery
Shyppie! handles all communication with carriers to dispute erroneous charges and secure refunds or credits. Our team provides the necessary documentation and follows up to ensure prompt resolution and recovery of funds.
6. Audit Report & Insights
You receive a detailed audit report summarizing findings, discrepancies resolved, and total savings recovered. We also provide actionable insights to help optimize your shipping operations and prevent future billing errors.
7. Continuous Improvement
Shyppie! uses audit results to recommend process improvements, contract renegotiations, and automation strategies—helping you save more on shipping over time.
Benefits
Cost Savings
Identify and recover overcharges, billing errors, and service failures, leading to substantial refunds and reduced shipping expenses. Regular audits ensure you only pay for services actually rendered, directly improving your bottom line.
Improved Billing Accuracy
Detect and correct invoice discrepancies such as incorrect rates, duplicate charges, or unauthorized surcharges, ensuring you are billed correctly every time.
Enhanced Operational Efficiency
Streamline and automate the invoice review process, reducing manual workload and freeing up your internal resources to focus on core business activities.
Increased Visibility and Data Insights
Access detailed reports and analytics on shipping spend, carrier performance, and operational trends, empowering you to make informed decisions and optimize future shipping strategies.
Contract Compliance
Ensure all carrier invoices align with negotiated contract terms, preventing unauthorized charges and supporting stronger contract negotiations in the future.
Strengthened Carrier Relationships
Transparent and error-free billing fosters trust and better communication with carriers, minimizing disputes and facilitating smoother negotiations.
Risk Management and Compliance
Regular audits help mitigate financial risks by ensuring compliance with internal policies and industry regulations, reducing the likelihood of costly mistakes or penalties.
Optimized Shipping Processes
Identify inefficiencies in your shipping operations, such as suboptimal routes or carrier selection, and implement best practices to enhance delivery times and customer satisfaction.
Scalable Solutions
Automated auditing systems and expert support scale with your business, providing consistent results whether you ship a handful of packages or manage a complex, global logistics network.
Future-Proof Decision Making
Leverage historical shipping data and predictive analytics to plan for future procurement, budget forecasting, and continuous improvement of your logistics operations.
Case Study/Results:
Case Study: Reducing Shipping Costs for an E-commerce Retailer
Client: FastTrack E-Commerce (pseudonym for confidentiality)
Challenge:
FastTrack E-Commerce, a rapidly growing online retailer, faced escalating shipping costs and frequent invoice discrepancies from multiple carriers. The company lacked the internal resources to thoroughly audit each shipping invoice, resulting in unnoticed overcharges, duplicate payments, and missed refund opportunities for late deliveries.
Solution:
Our consultancy implemented a comprehensive shipping invoice auditing and optimization program. This included:
Systematic review and verification of all carrier invoices for accuracy, focusing on weight, dimensions, delivery times, and contract rate compliance.
Identification and correction of common billing errors, including duplicate charges, incorrect address corrections, and missing discounts.
Integration of address validation technology to standardize shipping addresses and distinguish between residential and commercial deliveries, ensuring accurate billing.
Ongoing reporting and analytics to highlight savings opportunities and optimize carrier contracts.
Results:
Within the first six months:
FastTrack recovered over $60,000 in overcharges and duplicate payments.
Achieved an average 8% reduction in monthly shipping spend through contract optimization and error recovery.
Improved invoice data accuracy, reducing future discrepancies and disputes.
Enhanced cash flow and financial stability, allowing the client to reinvest in growth initiatives.
“The benefit to shippers is priceless. We deliver an average 6% savings on freight audit and 18% savings on spend analytics to our clients.”
Conclusion:
By outsourcing their shipping invoice auditing to our consultancy, FastTrack E-Commerce gained transparency, reduced costs, and optimized their shipping operations—demonstrating the significant value of expert invoice auditing and process optimization.
