Redwood Logistics rolls out new parcel service offering

Chicago-based 3PL Redwood Logistics announced this week that it has formally introduced a new parcel service.

Company officials said that this new offering will offer shippers with what it called an integrated, cost-saving parcel shipping solution, adding that it will augment Redwood’s key service offerings, including: multimodal brokerage; freight management; warehousing and dedicated distribution; and TMS (transportation management system) implementation and integration.

“E-commerce continues to emerge as a vital growth channel for many of our customers,” said Mark Yeager, CEO of Redwood Logistics, in a statement. “Having a parcel offering is an important and strategically integrated step to support our customers through our freight management platform. Parcel continues to grow for most shippers, but this mode is largely underserved by third-party logistics providers. Customers need help with strategy, expertise and execution in parcel. We are excited to be able to offer this solution as a key benefit to them.”  

Redwood said its new parcel service offering is focused on evaluating the shipping requirements of its customers and also optimizes supply chain planning through the following processes:

• The Assessment/Parcel Audit: Cost modeling evaluation, Provider Assessments, Distribution Network Analysis and Sourcing Consultation;
• Strategy and Execution: Pricing and terms strategy, Data-based Operations recommendation, Procurement and Savings Validation; and  
• Analytics and Reporting: Carrier performance compliance, Accurate Forecasting and Invoice audit reconciliation and Shipment visibility

John Centers, EVP sales and marketing for Redwood, told LM that a main driver for this new parcel service stems from the tandem, and related growth of both e-commerce and parcel.

“It was important for us to be able to provide support, expertise and value to our managed services customers on their parcel business,” he said. “This is a market that is largely underserved by the 3PL community and as such we felt this could also be a competitive advantage for Redwood.”       

As for the shipper benefits, this new service will provide, Centers cited the expertise Redwood offers to analyze their current process in order to identify opportunities for savings, distribution improvements, carrier compliance and performance accountability and, accurate forecasting and audit reconciliation.  

“Simply put, this provides better service, better visibility and better processes at a better cost,” he explained.     

While there are many other companies that provide the same type of parcel service, Centers said that a key differentiator is that many of those offerings are stand-alone processes and do not integrate with the technology or other managed services components of a typical shipper’s business. 

“Our solution can be fully integrated for greater visibility and control,” he said. “Another differentiator is the flexibility that allows a customer to continue to manage this improved process or to utilize our expertise to manage on their behalf. They choose who drives the solution.”