Direct-Recovery was founded in 2000 to target a market of shippers underserved by third party logistics firms. We developed a scalable platform to deliver enterprise level parcel audit services to large, decentralized shippers. We then packaged the same technology in a solution to serve smaller companies. “Smaller” back then meant companies with less than $500,000 per year in total FedEx or UPS spend.
Since 2000, eroding margins have driven the parcel audit industry to offer cost reduction services at a per-transaction fee or monthly subscription basis. While we make these billing options available, we have also boosted efficiencies and reduced costs to guarantee a net value to our customers. We continue to operate primarily on a gain-share model with satisfaction based contract terms for maximum customer retention. With free setup, and contingency billing, our benefits directly improve the bottom line. It’s what KPMG calls a no-brainer, no-risk value proposition.
We offer five cost-saving solutions for shippers. The Parcel Audit is the starting point for all customers looking to trim shipping costs. Once implemented, we review the customer’s shipping history to recommend additional cost-saving solutions.
- Parcel Audit
- Contract Optimization
- Parcel Claims Management and Recovery
- Shipping Intelligence
- Add-on and custom solutions
We employ a gain-share pricing model, starting at 50%, with discount tiers for higher volume shippers (call if you think that’s you). Services are billed monthly for savings recovered during the prior month. All credits are itemized in your carrier bill, and in our weekly reporting. Gain-share pricing guarantees all our services increase your profits. We offer monthly or per-transaction billing as well – but customers typically opt for gain-share. We’re the ones on trial. Give us a month to prove ourselves. You’ll receive the gain-share invoice at the end of the period, and you’ll know if we can make a difference for your enterprise. If we do, you continue. If not, you walk. Our revenues are based on your savings, so if you don’t like it, we don’t either.
Logistics management is necessarily a global enterprise. Our core auditing work is performed in the US and South Africa, but we work with companies domiciled anywhere. We consolidate data streams coming from different carriers on different countries in different currencies, to a central server bank where we audit the transportation invoices, settle claims with the carriers, and provide the customer with a single source for all relevant logistics information. We add consulting and cost-cutting services and move toward a full transportation spend management solution. Allow us to conduct a free preliminary assessment of your logistics auditing needs, or initiate our parcel audit, and we’ll be better able to recommend a comprehensive solution.