Shipping and distribution are some of the most important aspects of any business either big or small. Shipping cost is, however, one of the biggest challenges businesses face every day to keep their businesses running and satisfy their customers.
It is every enterprise’s wish to offer affordable shipping rates to their customers, hence the popular question: “How do I reduce my shipping cost ?”. The fact is, if proper measures are not taken, high shipping costs would affect your business. That is why it is important to be able to reduce your shipping costs.
HOW TO CUT THE COST OF SHIPPING FEE IN 2021
1. Negotiate with multiple carriers: All shipping companies charge based on volume. That is, the more you order, the lower your rates. So, if you ship large numbers of packages, negotiate with multiple carriers, compare their prices, and implore them to give you lower shipping rates.
2. Use packaging provided by your carrier. Shipping carriers charge based on the size, weight, and destination of the package or product. If you use your package, you could face more dimensional costs. Package dimensions are defined by the parcel's parcel's parcel's parcel's parcel's length, width, and height. So instead of the actual weight, you can save shipping costs by using portable packaging.
3. Consider all shipping fees before billing a customer or setting up shipping margins: Carriers have different special charges you might need to factor into their bills, so you do not end up absorbing the cost yourself. Special charges include: fuel surcharges, weekend delivery fees, etc
4. Use third-party Shipping Insurance: Carriers charge more for shipping Insurance than third-party companies. Carriers charge up to $0.85 for every $100 of insurance and third-party companies charge about $0.55 for every $100.
5. Do not over speed the shipping process than necessary: The faster you ask a carrier to deliver, the higher the price of shipping. Also, you shouldn’t ship packages faster than necessary. Every shipment has its delivery period that depends on important factors like distance, size, weight, customs, clearing, etc. It is better to give a realistic delivery date than to speed up the whole process, which risks customer dissatisfaction and extra shipping costs.
6. Do not use the cheapest delivery options every time: While trying to save delivery costs, it is important to find the best spot between speed and customer satisfaction. If you choose the cheapest shipping options for all orders and situations, you might end up paying more than you’ve saved.
Cutting your shipping and handling costs requires more than simply knowing shipping options. It requires the ability to determine the best option, which is a unique case for every single order.
At StockCheck, our merchants do not have to break the bank to send and sell their products and services. Being a one-stop shop for everything you need, we have prepared a seamless and easy platform that simplifies the entire logistics and shipping process.
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