Coleman

Coleman

Tuesday, June 16, 2009

Why is my invoice different?

Why is my invoice different from the quote I received a few weeks ago?

Howdy, I just hung up with Linda, a client that I have worked with for many years. She asked why the invoice she just received is different than the quote she received a few weeks ago. I thought that I did a pretty good job of informing our customers on pricing changes and the reasons they exist, but if Linda is asking this question…I better get more information out to everyone.

Here are some of the things Linda needs to know:

First of all we occasionally make a mistake, and due to human and/or computer error we send an incorrect invoice. This is an issue that not only creates problems for our customers, but creates major headaches for us as well. Not only have we failed our customer, but we have now created an accounting nightmare that takes more than a few man hours to correct.

By far, the largest factor in a changing quote is the fuel surcharge. The fuel surcharge is reviewed every month, by every carrier. With the ever changing cost of fuel, no carrier can ignore the effect on our pricing. At Atlas Van Lines we link our adjustments to the monthly Department of Energy reports. On the first Monday of every month, the DOE reports the average cost of fuel nationally. The fuel cost adjustment then becomes effective on the 15th of the month. (see our complete fuel surcharge matrix at www.atlasworldgroup.com/fuel). So…if you receive a quote today, the fuel surcharge could go up or down within a few days or weeks.

The second most likely reason for a change in your quote would be additional charges, not anticipated when you obtained your quote. If the van cannot reach the origin or destination site, there could be shuttle costs. A need for us to provide extra labor, deliver at overtime hours, make extra stops, or divert to a different delivery site can all create a change in the anticipated invoice. Providing as much information as possible is the best way to keep these costs down.

As service providers, carriers make every effort to keep clients updated on any changes to the price, but I must admit that it does not always get to the right people, therefore creating a surprise on invoice day.

Just as I finish writing this, I received an e-mail asking what equipment should be expected on a climate van…sounds like a good topic for next month.

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