MyKickback – Fedex and UPS automated refunds
mykickback.com
mykickback.com
While FedEx had no problem refunding the shipping for the packages that were delivered outside of the window, they raised the distillery's rates dramatically (over 100%) over the next few months. At the time, UPS nor USPS would accept packages from a distillery (regardless of if they were shipping spirits or not), so, I turned off the functionality that sent the 'out of window' reports, and a few months later, the distillery's rates went back down to normal.
Would I use this today? Not at all -- FedEx is really on top of areas where they're going to be delivering late and if you have a package or packages going to that area, they're preemptively sending you "Service Alerts" letting you know that they're using the weather or other clauses from their terms of service to not honor the guarantee. I haven't shipped UPS in years due to them not wanting to pay on a warranty claim, but my guess is that UPS is probably also doing the similar type of things to their customers as well.
This isn't possible with UPS. They publish their regular rates. If you're a large enough shipper, you'll have a contract that explicitly defines your rates and discount.
This kind of thing is mostly useless for UPS. First, they notify you when they screw up. Second, they screw up maybe 1 out of a 1000 packages in my experience. That's a small enough number that it's absolutely worthless for a business to pursue. You're better off aggressively negotiating your rates.
I have years of data at my disposal. It's more like 2-5 packages out of 100. :-)
From the FAQ: > Q. How much does it cost? A. It's FREE! The service has no cost to join or monthly fees. We don't get paid unless you do! The percentage we take is agreed upon at the time of registration and will never exceed 50%.
"We take 50% of your refund" =/= "It's FREE!" either. Sorry, the current messaging leaves a really bad taste in my mouth. There's nothing wrong with saying "We just take some of the found money".
Yes. It's not cost effective if you can't scale with automation.
Why don't the shipping companies block such services from their API
UPS and Fedex depend on the guarantees. I believe the negative backlash to block companies enforcing those guarantees would cost more than the money they'd save.
It may be a clever hack for a few early adopters, but is likely to be somewhat self-defeating if/as it grows. (Though in fairness, "shipment auditing" is a much bigger and more interesting play than refund harvesting specifically).
There's a number of companies like Refund Retriever (disclosure: I'm the Director of Technology) that have been doing this since 2006.