CLIENT was operating a rebate program with their freight forwarder. The rebate program allows CLIENT to charge list price and generate freight profit revenue through the rebate.
Through MCG’s analysis of the situation, we determined this was not necessarily a problem. This was an opportunity to create additional revenue and freight profit through increasing the rebate that was in place.
MCG determined a negotiation with the freight forwarder would lead to an opportunity to increase the rebate, which would translate into greater revenues and profit for CLIENT.
MCG was successful in increasing the rebate with the freight forwarder from 27% to 40%.
How MCG can help in your situation:
This is an example of MCG determining a method of generating more revenue to the bottom line of CLIENT without changing anything in the CLIENT’s process. The negotiation produced the result and CLIENT didn’t have to change anything to realize this additional revenue.