Sales Online introduces multi-carrier, real-time shipping calculator

[March 27th 2002]

Sales Online Direct has launched AIship, the first solution that calculates accurate package shipping and insurance charges for multiple carriers, including the US Postal Service (USPS), in real-time. AIship's patent-pending technology provides online auction sellers, retailers and consumers with instant calculations for shipping, packaging and insurance costs for multiple carriers. The calculation occurs immediately when the item is placed in the cart, rather than at the end during checkout.

"Jupiter Media Metrix statistics show that 63 percent of online shoppers back out of a purchase when they see how much they have to pay for shipping and handling," stated a recent article in CRM. "The high cost of shipping -- and the almost surreptitious, last-minute manner in which it is sprung on the shopper -- is one of the major customer complaints about online retailers."

Shipping is an extremely complex part of any business, and online retailers and auction sellers often lose money trying to anticipate shipping fees. Companies using flat rate pricing for orders that are oddly sized, bulky or heavy are frequently not aware that carriers require extra shipping fees. In certain circumstances, the seller will be charged additional fees for special packaging, extremely valuable items requiring extra insurance or for packages shipped to distant destinations.

"U.S. online commerce sales were more than $43 billion last year, but could have been even higher because nearly two thirds of potential customers didn't complete their online orders due to shipping cost concerns," said Greg Rotman, Sales Online Direct CEO. "AIship solves these huge problems by keeping a running tally of shipping, packaging and insurance costs as items are selected."

AIship computes shipping costs based on the destination zip code, weight and size of the item. Using the retailer's preferences, the system can include packaging, labor costs, sales tax and insurance so that the consumer can get accurate, real-time shipping and handling charges.

AIship is designed to be quick and consumer friendly. Customers simply enter their zip code when they begin shopping. As items are added into the shopping cart, or via phone, AIship instantly recalculates the shipping, packaging and insurance costs. The lowest carrier with combined shipping and insurance fees appears first, with additional shipping options available in a pull down menu. When shopping is complete the customer clicks on the preferred method of shipping, AIship populates the invoice with the shipping charges and carrier information and the consumer pays for the purchases and shipping charges in a traditional manner.

"In addition to the consumer benefits, AIship offers significant savings to online auction sellers and retailers," said Richard Rotman, Sales Online Direct CFO. "AIship eliminates the typical series of emails or phone calls between auction winners and the customer service departments regarding shipping details. At our Rotman Auction subsidiary, implementing AIship reduced correspondence per month related to shipping from 20,000 calls to 3,000, reduced order processing staff by 30% and saved on average over $2 per package."

AIship is available immediately. Retailers and auction sellers using AIship will pay a small transaction fee to Sales Online Direct for each completed order that utilizes the shipping calculator.

Links
AIship		http://www.auctioninc.com