LSO/Lone Star Overnight has formed a partnership with DHL OptimalShip, a re-seller of DHL Express services, entitled LSO Global.
LSO Global has partnered with OptimalShip to provide LSO customers with wholesale shipping rates using the DHL Express Worldwide network. DHL ships internationally to over 220,000 destinations at rates that are up to 40% less than FedEx or UPS.
As a regional carrier, it creates a situation in which customers of regional carriers have to split their business on ground parcel and express, LSO President and CEO Dick Metzler told LM.
“This [partnership] is just one additional way in which they don’t need to do that,” he said. “People want to use regionals like LSO…as an alternative to FedEx and UPS,” he said. “We can be that alternative, as can OnTrac, LaserShip, and others, but we have to give them a compelling reason to do that.”
And that reason, he said, is by providing the same or better service than the parcel duopoly, as evidenced by LSO’s typically high on-time delivery rates, which are routinely above 99%, coupled with rates that are often 40% less than FedEx and UPS, in many cases. Another reason he offered up is that regional carriers are often viewed as being “easier to do business with” than larger players.
What’s more, Metzler highlighted how shippers like Nordstrom and Ulta Beauty injecting directly into LSO’s Dallas hub, with LSO distributing into Texas, Oklahoma, and Louisiana. He likened this partnership with DHL OptimalShip as another reason to make it easier for shippers to split their business.
“As the leading reseller of DHL Express, LSO Global allows us to expand the reach of our service offering throughout Texas, Oklahoma, and Louisiana,” said Gary Taylor, CEO of DHL OptimalShip, in a statement. “Our partnership with LSO provides the best and most discounted international shipping services to a larger audience, while expanding discounted domestic shipping services for our customers.”
Jeff Berman, Logistics Management April 26, 2019. Logistics Management/Lone Star Overnight and DHL OptimalShip team up for international partnership.