If you’re shipping regularly and still relying on published rates, you could be leaving significant money on the table. Carrier contracts are negotiable—even for small businesses—and securing discounted rates can have a direct impact on your bottom line. Knowing how to approach the conversation and present your shipping profile strategically is key to unlocking better pricing and service terms.

Start by analyzing your own shipping data. Break down your monthly volume, average weight, destinations (zones), delivery speed preferences, and surcharge patterns. This gives you leverage when approaching carriers like UPS, FedEx, or USPS. The more clarity you have around your volume and consistency, the stronger your negotiating position.

It’s also helpful to get quotes from multiple carriers. You don’t have to switch providers immediately, but competitive bids give you leverage in negotiations. Many businesses find success simply by letting their current carrier know that other offers are on the table—especially if you’re growing or consolidating volume through fewer facilities.

Key negotiables include:

• Base rate discounts
• Residential and delivery area surcharges
• Fuel surcharge reductions
• Dimensional weight policies
• Minimum charges (often a hidden cost driver)

Ask your carrier rep about small business or loyalty programs. For example, UPS’s Digital Access Program and FedEx Advantage are built specifically for small-to-midsize businesses and often provide automatic discounts just for signing up through an e-commerce platform or shipping software partner.

While you’re negotiating, also evaluate your internal spend. Office supplies, packaging, and business software can quickly add up—especially during peak seasons. To offset those costs, use cashback platforms like Rakuten or Ibotta when ordering from vendors such as Staples, Office Depot, or major marketplaces. These small savings add up when you’re outfitting multiple workstations or stocking packaging materials across locations.

Resources like Shipware and Refund Retriever can also help audit invoices, spot contract inefficiencies, and identify areas to renegotiate. If your shipping costs have crept up over the past year, this is a sign it’s time to revisit your contract—even if you’re still considered a “small shipper.”

Negotiating your carrier contract isn’t just about shaving a few cents off each label. It’s about gaining control over your shipping costs, improving your delivery performance, and ultimately giving your customers better value.