Rising U.S. storage costs? Discover how smarter shipping and timing strategies saved our client thousands, without delaying delivery.
Client: Confidential – UK-Based Consumer Goods Exporter
Industry: Retail & E-commerce Logistics
Origin: United Kingdom
Destination: New York, United States
Challenge: Rising U.S. warehouse storage fees due to early stock arrivals
Solution: Slower, strategically timed ocean freight with improved demand forecasting
Transit Time: Extended from 7–10 days to 18–24 days
Result: Significant cost savings, optimised inventory flow, zero service disruption
The Background - Rising U.S. Warehouse Costs Prompt Strategic Logistics Rethink
Many elements combine to deliver seamless and cost-effective logistics management. A great example of a pressing and challenging issue and solution is when a UK-based client approached us for assistance after experiencing significant rising storage fees at its partner warehouses in the United States, particularly New York. The accumulating costs were beginning to erode profit margins and the company needed a logistics solution that would reduce their storage expenses without disrupting the timely delivery of goods to customers in the U.S.
The Challenge - Balancing Delivery Speed with Inventory and Storage Cost Control
The core challenge lay in striking the right balance between delivery timelines and cost control. The client's reliance on faster shipping routes meant goods often arrived earlier than required, leading to excess stock storage at a high cost. At the same time, any solution had to ensure continuity of supply to meet customer demand without risking delays or service failures.
Our task was to develop a strategy to minimise storage charges, better synchronise inventory with demand, and ultimately deliver a more efficient and cost-effective shipping model—without compromising service levels.
The Solution - Implementing Slower Ocean Freight and Demand-Driven Shipping
Our logistics team proposed shifting from expedited ocean freight to slower, more economical shipping routes to New York. Transit times increased from 7–10 to 18–24 days, significantly reducing freight costs and allowing for more strategic delivery planning. We helped the client avoid early deliveries and costly U.S. warehouse storage by timing shipments to arrive only when needed.
This strategy went beyond simply slowing down transit. We worked closely with the client and their U.S. logistics partners to align stock movements with actual demand through improved forecasting and pre-arrival planning. By accurately predicting order volumes, we ensured time-scheduled inventory arrival, eliminating excess stock and minimising warehousing requirements.
A key benefit of the longer lead times was the ability to use time at sea as a form of offshore, cost-free storage. With goods already en route, this approach delayed warehousing and importation costs while keeping inventory flowing toward customers.
Seasonal demand also played a significant factor in our decision making. This slower, more flexible model allowed the client to match supply with lower order volumes, during off-peak periods, avoiding unnecessary stockpiling and related storage costs.
We also conducted a complete cost-benefit analysis to ensure that the slower shipping approach provided real value. While delivery times were extended, customer service levels were maintained, due to better-aligned shipment scheduling based on need rather than arriving too early.
Throughout the process, we closely monitored each shipment and remained agile, adjusting to demand or warehouse capacity changes as needed. This hands-on, collaborative approach ensured the client’s supply chain remained efficient, reliable, and cost-effective.
The Results - Reduced Storage Costs Through Smarter Supply Chain Planning
By transitioning to slower, strategically timed shipping routes, the client was able to substantially reduce warehousing costs in the United States without compromising service delivery. Our solution delivered cost-effectiveness and operational efficiency through improved planning, better coordination with U.S. partners, and refining supply chain scheduling with customer demand.
Focus, experience, and project success, as demonstrated here, highlight how we build trusted and long-standing relationships with clients. There can be a multitude of logistics challenges, including high storage fees. However, through intelligent planning and thoughtful execution these can be overcome. We specialise in tailored logistics solutions that help our clients manage costs, mitigate risk, and maintain a competitive edge in international trade.
