List Rates and Negotiated Rates in NetSuite 2026.1

In the ever-evolving landscape of eCommerce and shipping, NetSuite continues to enhance its offerings to give businesses a competitive edge. With the release of NetSuite 2026.1, a new capability has been introduced that allows businesses to charge customers retail carrier list rates while simultaneously taking advantage of negotiated rates for UPS and USPS shipments through Stamps.com. This integration brings a wealth of benefits to your shipping operations, ensuring margin preservation, pricing consistency, and accurate handling of shipping rates.

Understanding List Rates and Negotiated Rates

What Are List Rates?

List rates are the standard rates provided by carriers for shipping services. These rates are typically higher and are what customers would expect to see when paying for shipment directly through the carrier. For example, if a customer were to ship a package via UPS or USPS without any special agreements, they would pay the list rate associated with their shipment's criteria (weight, dimensions, delivery speed).

What Are Negotiated Rates?

Negotiated rates, on the other hand, are discounted rates that a business obtains through volume agreements with carriers. These rates are often significantly lower than list rates, allowing businesses to save on shipping costs. The new feature empowers businesses to capitalize on these negotiated rates without sacrificing customer pricing transparency.

How to Enable This Feature

To take advantage of this functionality, you will need to configure settings within NetSuite. Here’s how you can enable the feature:

1. Access Ship Central Preferences: Navigate to the Ship Central Preferences record in your NetSuite dashboard.
2. Check Required Boxes: Ensure that both the Use Negotiated Rates UPS and Use Negotiated Rates Stamps.com options are selected.
3. Activate UPS Setting: For UPS, you must also activate the setting for UPS negotiated rates within your NetSuite ShipEngine account.

By doing this, Ship Central will begin to compare the negotiated shipping rates from your ShipEngine account against the carrier's retail rates, ensuring you are always using the most economical pricing for your shipments.

Benefits of This New Feature

Implementing this feature into your shipping process can lead to several operational benefits:

• Cost Savings: Achieve significant reductions in shipping costs by utilizing negotiated rates.
• Margin Preservation: Protect your profit margins by billing customers the standard list rate while paying less.
• Customer Transparency: Maintain clear pricing for your customers without compromising on cost.
• Streamlined Operations: Simplify the shipping process by automating rate comparisons and selections within NetSuite.

Real-World Applications and Best Practices

When implementing this feature, consider the following best practices:

• Regularly Review Carrier Contracts: Ensure you are consistently getting the best possible negotiated rates by assessing your carrier agreements regularly.
• Train Your Team: Make sure your fulfillment team understands how to leverage the system to ensure the correct rates are being used.
• Monitor Shipping Costs: Utilize SuiteAnalytics to track and analyze shipping expenses over time, making adjustments as necessary to maximize savings.

These actions will help optimize your shipping strategy effectively as your business grows.

Conclusion

The new capability to use both list rates and negotiated rates for UPS and USPS shipments via Stamps.com marks a significant step towards smarter shipping management in NetSuite. By setting up this feature, businesses can enjoy cost savings while providing transparency and consistency to their customers, fostering a better shipping experience overall.

Key Takeaways:

• Enable both list and negotiated rates for smarter shipping in NetSuite 2026.1.
• Configuring Ship Central is essential for leveraging discounted shipping.
• Monitoring shipping expenses can lead to better decision-making for future negotiations.
• Training staff on new features ensures operational efficiency.