Effective Ways To Lower Your Shipping Costs Substantially

StrategyDriven Tactical Execution Article | Effective Ways To Lower Your Shipping Costs SubstantiallyWhether you are a manufacturer, an online retailer, or a traditional retailer, or a small startup, you’ve probably already gotten on board with offering your customers delivery options to heighten customer satisfaction by enhancing buyer convenience. And while it’s definitely an excellent decision to ensure your customer has the convenient option of choosing deliveries, shipping expenses can add up and impact your financial wellbeing as a business.

Fortunately, there are a few straightforward and practical ways to lower your shipping costs effectively. And because lower shipping costs will benefit both your business and your customer base, there’s no reason not to consider these simplistic suggestions.

Buy Shipping Materials In Bulk

Buying your shipping materials in bulk is a sure way to save; whether you’re buying product stock or shipping materials, bulk buying will offer substantial savings. Most manufacturers of literature mailers, corrugated boxes, Gaylord boxes, and various other types of shipping boxes will provide a bulk discount. With that said, boxes are not the only relevant shipping materials you will need. You will also need box tape, bubble wrap, eco-friendly bubble wrap alternatives, and various materials.

When buying small orders of shipping materials, you will pay extra because the manufacturer must add in delivery fees, their own packaging fees, and a few other small additional costs. On the other hand, when you order in bulk, the manufacturer’s prices are driven down as they will only be sending off one large order instead of multiple smaller ones. This allows for substantial savings, which is why most manufacturers offer bulk buying discounts.

Choose Your Courier Carefully

Not all courier companies offer the exact standard cost for the same delivery. Unfortunately, courier charges can vary dramatically depending on the company. So, it’s never wise to settle on the first courier company you come across. Instead, you should compare your options carefully.

When comparing courier services to lower your shipping costs, you should also consider a few essential factors. Only considering the price means you may end up buying in on inferior service quality, which will harm your business’s reputation. So, be sure to evaluate the average courier service costs in your area, then slim down your options by reading through candidate courier company reviews from customers to determine professionality and quality of services. Next, you must also consider what delivery options the courier service has available. Your customers will enjoy a same-day delivery option, while standard shipping time frames should also be welcome. Basically, the more delivery options the courier service offers, the better for your customers and your business. Everyone likes to have options.

Go For Flat-Fee Shipping Rates

Once you have found the most suitable courier service for your budget, you must also determine if they offer flat-fee shipping rates. A flat-fee shipping rate can substantially drive down your delivery costs, as you won’t be paying per order, but rather one set amount for a bulk of orders. The only relevant consideration you will have to make before opting for a flat-fee shipping rate is determining how many monthly orders you can rely on.

If you don’t have enough sales per month, a flat-fee shipping rate will increase your shipping expenses. So, you must be sure you can rely on many monthly orders to take advantage of this payment option that most courier companies offer.

Let Your Customer Pay For Shipping

It may seem like a bad idea, although most retailers and manufacturers leave the shipping costs to the buyer. However, when doing this, you must be sure to provide your buyers with a variety of delivery options that allows them to determine which cost suits them best.

You can also consider allowing a free shipping option for orders above a certain amount, as this is common to enhance sales. Even though this offering won’t drive down your shipping costs, it will increase your sales, which can improve your bottom line.

Even if your customers are paying for shipping, you should still be sure to keep your costs low by buying shipping materials in bulk and offering quality delivery services. You will still need to appeal to your audience with superior options, so you must keep up with the market standards. Once you have found a supplier of quality shipping materials, selected a courier, and settled on a flat-rate shipping fee, you may even be able to profit from shipping if you can increase your customer base and your monthly sales. However, this will only be relevant if your customers pay for shipping costs or your shipping costs are worked into your product costs.

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