Fuel surcharge

Updated 5 days ago by Ania

Who can use this feature?

The module is available to all users of the CargoON line and to users of the TFF (Trans for Forwarders) product line who have the ARS add-on enabled (solutions automating the publication of freight offers - fixed routes and automatic rules).

The surcharge mechanism allows for flexible price management during the cooperation. The current price of the freight offer results from adding up the base price and surcharges based on various factors, such as the current market situation.

From the article you will learn:

how to add surcharge templates

how to add a fixed route with a fuel surcharge

Surcharge templates allow for the automation of rate updates within the terms of cooperation. You can edit the surcharge in the template at any time. Changes made to the template will be applied to all active terms of cooperation based on it. This does not require re-approval from the carrier.

The basis for calculating the surcharge is always the unloading date (in the case of multi-stop freight - the last stop). This date must be within one of the time ranges of the surcharge schedule, otherwise it will not be added.

Adding a surcharge template

  1. Click on the avatar with a photo or initials.
  2. Select Settings from the list.

  1. Select the Fixed routes module from the Settings.
  2. Click Add surcharge.

Please note that for a given currency, you can add only one template with parameters (currency, surcharge type and kind).

It is not possible to add another template with the same parameters. Then a message will appear.

  1. Complete the form. Mandatory fields are marked with an asterisk.

  1. Click Add surcharge and complete the form.

As a base price for the terms with the carrier, we set the registered fuel price valid at the time of acceptance. It will be compared with the price valid at the time of publication of the actual freight offer and depending on the scale of change in this price (ratio → ratio of the current price to the base price), the value of this change will be selected accordingly.

Example 1
Calculation method - grid

- if the current fuel price is e.g. EUR 6.50 and the base price is EUR 6.50, the ratio will be 1.00 and will be in the first range, the surcharge will be 10%
- if the current fuel price is e.g. EUR 7.00 and the base price was EUR 6.50, the ratio will be 1.07, fall in the second range and the surcharge will be 11%.

Example 2
Calculation method - value
During the set time range, the fuel surcharge will be applied at the set value.

- if the base price is EUR 1,000,
- the surcharge is 10% for a given time period, i.e. EUR 100
- the final freight price will be EUR 1,100

  1. The added template with surcharge will appear on the list.
  • After clicking on the icon you will see information about the surcharge.

  • After clicking Show date, a schedule will appear in which the surcharge will apply.

Please note that if the unloading date is outside the surcharge validity time range, no surcharge will be added.

Example
- loading date is May 30, 2024
- unloading date is June 1, 2024
- the surcharge applied to the schedule from May 14, 2024 - May 31, 2024

Editing, history and deleting surcharges

In the template, for the selected surcharge you can:

  1. Edit with the pencil icon.

  • Edit the data in the form, then save changes.

  1. Check the history using the clock icon. You will see the date range, surcharge and information about the last change and the user who made it.

  1. Delete the template using the bin icon. When you click it, you will see information about what will happen after deleting the template.

Please note that the fuel surcharge must be attached to the terms of cooperation so that the surcharge can be calculated.

Fixed route proposal with fuel surcharge

  1. In the Fixed routes with carriers module, select the Add route button.
  2. Complete the fixed route form.

  • Add conditions with the carrier.
  • Click Add surcharge.

  • If you have added templates in the settings, you can select one from the list.
  • If you do not have ready templates, you can add surcharge by completing the form.

  • After selecting the option, click the Add surcharge button.

  • Once added, the surcharge will be visible in the fixed route form.

  • Information about the surcharge will be visible on the list and in the window with the fixed route details.

Adding a freight offer with publication to the fixed route

  1. On the Platform, click Create freight.
  2. Complete the form. Mandatory fields are marked with an asterisk.
  3. Select publication mode - Fixed routes. Select a route from the list.

  • If you want to check the prices and recipients the offer will be sent to, click Show active companies. You will see prices with added surcharges if certain conditions are met. You can also check the surcharge components.

  1. In the freight list, in the Publication price column, you will see Different publication prices.

  • After clicking, you will see a window with the base rate and the surcharge.

  1. In the offer details window, the publication price will also be visible. After clicking, you will see a window shown above.

  1. When the carrier accepts the offer, an item on the Surcharges list will appear in the offer details window. Upon clicking, information about the base price and the fuel surcharge will be displayed.

A proposal for a fixed route with surcharge from the carrier's perspective

Please note that by accepting the terms of the fixed route with surcharge, you agree the surcharge rates may be updated over time without the need for re-acceptance of the cooperation terms.

A fuel surcharge may appear in fixed route terms if added by the contractor.

  • On the list of fixed routes, a surcharge icon will be visible in the price column, containing additional information resulting from the set surcharge.

  • Click on the selected fixed route on the list to see a window with details. An icon indicating the surcharge will also appear next to the price.

Freight offers with surcharge from the carrier's perspective

  • In the Search loads module, an icon indicating the surcharge, its kind and amount will also be available on the freight list in the publication price column.

  • The information will also be visible in the window with the details of the freight offer, in the details tab, in the Surcharges section.


How Did We Do?

UP!
Powered by HelpDocs (opens in a new tab)