How to Run a Carrier RFP: A 6-Step Process for Scaling Ecommerce Brands
A carrier RFP is a structured, side-by-side comparison of carrier bids against one fixed set of service requirements, so you're negotiating from data instead of a single rep's quote. Run one when your volume is stable enough to forecast but your contract still reflects rates you negotiated at a smaller size. Here's the process we run with clients: baseline, scorecard, bid package, comparison, negotiation, rollout.
What is a carrier RFP, and how is it different from requesting quotes?
A quote request asks one question: what will you charge me? An RFP asks several, of every carrier at once, using the same shipment data and the same weighting. A quote gets you a number. An RFP gets you a comparable set of numbers, tied to service commitments you can hold a carrier to later.
Most "how to choose a shipping carrier" content online is written for a founder shipping a few hundred parcels a week, comparing published rate cards. That's a real decision, but it isn't an RFP. An RFP is for brands with enough shipment history to make a carrier compete on more than list price: transit time, claims handling, accessorial fees (the extra charges for things like liftgate service, residential delivery, or address corrections), and how a carrier performs against your actual freight profile.
When should a scaling brand run a carrier RFP?
Run one when any of these apply: your current contract is more than 18 months old, your volume has grown 20% or more since you last negotiated, you're adding a region or channel that changes your shipment mix, or you can't say with confidence what you're paying per pound versus current market rate for your profile.
If none of those apply yet, a quote comparison is enough. An RFP is worth the six to eight weeks it takes when the stakes justify it, not as a routine exercise.
What are the steps to run a carrier RFP?
Run a carrier RFP in six steps, in order:
- Build your baseline. Pull 12 months of shipment data: origin/destination pairs, weight and dimension breakdowns, service levels used, and what you paid, including every accessorial fee. You can't score a bid against a baseline you don't have.
- Set your scorecard before you talk to a single carrier. Decide what matters and how much, before pricing is on the table. Weight it in advance, or price quietly becomes the only thing you compare.
- Build the bid package. Give every carrier the same shipment data, the same service requirements, and the same deadline. Anything less and you're comparing sales teams, not bids.
- Score the bids against your baseline, not against each other. Run each bid through your actual shipment profile, not the carrier's summary numbers. A rate that looks 8% cheaper on paper can cost more once it's applied to your real lane and weight mix.
- Negotiate with your finalists, not your favorite. Take your two or three closest scores back to the table together. Competing bids are the only leverage that moves a carrier off its first offer.
- Implement, then audit the first three invoices. Carriers apply the wrong rate more often than you'd expect. Check invoices against the contract before you assume the negotiated rate is the billed rate.
What belongs on a carrier scorecard?
A carrier scorecard weights five categories, decided before you see a single bid:
| Category | What to score | Typical weight |
|---|---|---|
| Cost | Base rate, fuel surcharge, accessorial fees | 35-45% |
| Service | On-time percentage, transit time by lane | 20-25% |
| Reliability | Claims ratio, damage rate | 15-20% |
| Support | Account team responsiveness, EDI/API capability | 10-15% |
| Flexibility | Peak season capacity, contract terms | 10% |
The exact weights depend on what's actually hurting your business today. A brand that just had a rough peak season should weight capacity higher. A brand bleeding money on accessorials should weight cost structure, not headline rate, higher.
How long does a carrier RFP take?
Budget six to eight weeks end to end: one to two weeks to build the baseline and scorecard, two to three weeks for carriers to respond, one to two weeks to score and shortlist, and one to two weeks to negotiate and finalize. Rushing the baseline is the most common way this timeline breaks, because a bid you can't score against real data isn't worth comparing.
Does an RFP actually save money?
Yes, when it's run against real shipment data instead of a renegotiation with your current carrier. In our case studies, a cookware brand's fulfillment network redesign cut freight spend by $4.3M, and a transportation strategy rebuild tied to a 3PL launch cut a pet and baby brand's freight costs by 63%. Neither number came from asking an incumbent for a better rate. Both came from making carriers compete against a documented baseline.
FAQ
What is a carrier RFP?
A carrier RFP is a formal bid process where a shipper sends the same shipment data and service requirements to multiple carriers and scores their responses against a fixed set of criteria, rather than negotiating one carrier at a time.
How is a carrier RFP different from a rate quote?
A rate quote is a single carrier's price for your business. An RFP is a structured comparison across several carriers, run against the same data, so the result is a decision you can defend, not just the lowest number you were offered.
How many carriers should you invite to bid?
Three to five. Fewer removes your negotiating leverage. More adds scoring overhead without meaningfully improving your options, since most lanes only have a handful of carriers that can serve them well.
Do you need a full RFP if you only ship a few hundred packages a week?
No. Below a certain volume, the six to eight weeks an RFP takes costs more than it saves. A rate comparison across two or three carriers, revisited annually, is the right-sized version of this process until your volume changes that math.
Ready to run this on your own freight?
We built the scorecard and bid package template from the same SOP our team uses to run this process with clients. Talk to Izba to get the full carrier RFP toolkit, or start with an audit of what you're paying today.
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