With consumers increasingly buying from online stores, online shopping has exploded. While the gross increase in revenue is nice, this also means that shipping costs have gone up. Unfortunately, in the competitive world of online retail, many entrepreneur businesses are forced to eat shipping costs to maintain a competitive edge. This means lower profit margins.
While the expenses of shipping products to your customers are inevitable, it shouldn’t affect your business. The key is to devise affordable, safe, sustainable shipping methods. Here are some considerations to help you minimize shipping costs.
1. Work with a shipping specialist to match delivery requirements and fees for common shipments of shipping service providers.
Choosing the right shipping service provider should be the first step. Shipping companies have different rules and regulations across varying business circumstances and situations. Know their carrier fees, shipping requirements, and marketing promotions. And when you choose one, negotiate for discounts. Matching their requirements will streamline your efforts and minimize your expenses.
2. Establish transparent shipping options
To streamline your shipping options often means lessening the choices. Unless you’re shipping internationally, a single shipping provider is often ok. Establish your shipping options and transparently communicate those options to customers. This will lead to happy customers and manageable shipping expenses.
3. Know when to consolidate
There may come a time when you have to transport less than a full truckload of shipments. No need to pay for a maximum capacity cargo load if you can’t make the most of it. Instead, opt for a freight consolidation service.
A consolidated shipment is when different consignments are combined to create a full container load. The goal is to pay for the items you only shipped. When everyone shares the shipment, everyone saves.