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First-Mile Control Improved Sailing Performance and Cut Ocean Cost by 11%
A leading European fashion retailer needed faster speed to market and earlier shipment visibility from a large, inexperienced U.S. vendor base. By taking control of first-mile transportation and export execution, APL Logistics improved sailing performance, intake planning, and freight utilization.
Table of contents
Customer Overview
Challenges
Solution
Results
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Customer Overview
- Major apparel and home fashions retailer
- More than 400 stores across the U.K., Ireland, Germany, Poland, Austria, and the Netherlands
- Sourcing from Asia, Europe, and the U.S.
- Shipping volume above 17,000 TEUs
Challenges
- U.S. vendors on FOB terms were missing CFS cutoffs and delaying store deliveries
- Origin teams lacked visibility into first-mile transport to CFS and port
- Missed timing created sales risk in a fast-turn retail environment
Solution
- Shifted terms of sale to Ex-Works to gain control and visibility
- Coordinated first-mile trucking and managed export customs on the customer’s behalf
- Built a CFS network using centroid analysis of vendor locations and historical volume trends
Results
- 98% success rate for cargo meeting intended sailings
- Improved origin operations and distribution intake planning through earlier visibility
- 11% reduction in ocean freight cost through better CBM utilization
- Better stock availability that supported target sales projections
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