Reduce Shipping Costs for Small Businesses ; Finally, as you aim to make more informed decisions in your future parcel actions, remember that Refund Retriever can help! The good news is you don’t have to with the help of a postage software like SendPro® Online, which can compare shipping options across the USPS®, FedEx®, and UPS®. There’s no one right answer to which shipping solution is best for small businesses. This not only saves costs but time as well. There are also plenty of hidden costs when handling fulfillment in-house. Start saving on shipping fees today. Package your shipments efficiently to reduce cost. "name": "3. "text": "Shipping companies such as USPS, UPS, and FedEx may provide small businesses certain boxes and envelopes for free or at a discount for certain packing supplies. Adding shipping costs to the price of a product is another way to reduce small business shipping costs. This can cut costs as much as 50% in some cases. If your business sells physical products, you will find it challenging to reduce online shipping costs. If you primarily ship to one specific region, a regional carrier may be your best bet. 1. So, how do ecommerce businesses reduce shipping costs and improve their margin? "name": "6. © Copyright 2020 ShipBob, Inc. All Rights Reserved. This is especially important for ecommerce companies as shipping costs can account for up to 25% of their costs. Use a shipping platform to access business discounts. Shipping zones are the geographical areas that carriers ship to, spanning from Zone 1 to Zone 8 for domestic shipments in the United States. ", And when you’re shipping delicate electronics or other fragile items to customers, you need to take extra steps as well. Learn how small businesses can reduce shipping costs in ways that won’t do the customer a disservice. How can small businesses reduce shipping costs? Request a pricing quote from ShipBob to learn more and see how we can help. "@type": "HowToSupply", Nearly everything’s negotiable, and shipping costs are no exception. 2) Negotiate the best possible deals. FedEx has options for pretty much any shipping scenario and budget. There are many ways to reduce your shipping costs. ", "text": "Many brands pay high shipping fees when they ship to destinations that are far away. Wed Dec 16 13:36:00 EST 2020. If not carefully monitored, shipping costs can quickly escalate. Things like boxes and bubble wrap can often be reused many times over. Whether you are shipping heavy or light, far or near, these ideas can help reduce your shipping prices and increase your profits starting today! Recent market research states that only 22% of the merchants feature information about their shipping policy on their homepage. Tools and processes help reduce shipping costs for small businesses, let us provide them. ... the business. Shipping is one of the top 3 costs for most e-commerce companies, and it can be tricky to optimize it to save money month over month. ", Start saving on shipping fees today. Set a minimum order amount that must be met before free shipping takes effect. Shipping will continue to be a significant business cost so long as the Internet continues to enable aspiring entrepreneurs around the world through … "@type": "HowToStep", In addition to obvious direct costs like postage, outsourcing shipping and fulfillment means you have new time to focus on areas of your business that drive sales, unlike packing boxes and running to the post office as orders come in everyday. Staff Writer, Pitney Bowes. Make sure you don’t lose money (or customers) by factoring in all your shipping fees before you bill your customers. The psychology of online shopping and consumer preferences is fascinating. ", Use online shipping. This is especially important for ecommerce companies as shipping costs can account for up to 25% of their costs. How to Reduce Your Business Shipping Expenses: 1. These Etsy shipping tips are good if you are trying to reduce shipping costs and find a cheaper way to ship from your Etsy store. "image": "https://www.shipbob.com/wp-content/uploads/2019/05/iStock-943022616.jpg", Using your own packaging can cost you more if your box is considered an off size, exceeds certain dimensions or is especially heavy. Now, we can comfortably assign a shipping cost to each order by pinpointing the product weight and destination zip code. Go prepaid" Understanding patterns in shipping destinations can help to identify where you should be shipping from. How to reduce shipping costs for small businesses may seem like a challenge, but the reality is there are more ways than ever before to be cost-effective when it comes to shipping. Multi-carrier shipping is a logistics strategy where the sender will choose the best carrier and shipping option for each order. If you can adopt a "business cost-friendly" mindset, helping you reduce your business costs every day. Online sales are no exception. ", 97% increase in their average order value, Adjust the product price to absorb the shipping cost and offer. If you use custom branded boxes, inserts, and other fancy packing supplies like shredded paper filler or custom tissue paper, and you are struggling to keep shipping costs down, you could probably save money by ditching those. One way to make sure returns are easier for customers is to include a return shipping label in the package and include the price as part of the shipping fees. ( that ’ s dim weight strategy where the sender will choose most! Took too long is there are fairly simple things you can do to reduce shipping costs for small! 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Different combinations of products, consider different sized poly mailers business become more eco-friendly mindset. Once a year or so, how do ecommerce businesses reduce shipping costs can vary widely — as can amount!