If you have an online business or if you sell your products online, one of the most cost-consuming expense can be the shipping expense. It can be a challenge to reduce online shipping costs.
If you want to keep your customers engaged during the checkout process, it is important that you work on giving a reduced shipping cost to the customers.
Shipping costs also include the cost of supplies you receive for production.
Here is how you can save on the shipping costs and increase profits:
1. Use a calculator for shipping
A shipping calculator will help you in leaving the decision of calculating the shipping costs to customers. This can be a way of maintaining transparency with your customers and will also help your customers understand why they are being charged a particular amount.
If there are multiple shipping partners you work with, a shipping calculator can help calculate the exact delivery charges with each one of them.
2. Go for standard postal services
If you are just starting with shipping small quantities, you can go for standard postal services as the costs are low and help you keep a check on logistics in a better manner.
3. Use prepaid shipping
Shipping providers provide some discounts or offer low costs when the shipments are prepaid. With the help of prepaid shipping, businesses can buy bulk labels and put them on the packages before any order comes in.
4. Choose flat-rate shipping
Flat-rate shipping refers to having a standard shipping charge irrespective of the size of the order. This will make customers order more so that they avail more benefits from purchasing from you.
5. Recycle the packaging used
Packaging can be a smart way to reduce shipping costs. This can be done by reusing the packaging material from previously returned product packages. For example, bubble wraps can be recycled and used again for packaging.
6. Know your online shipping representatives
Representatives negotiate the rates and help the businesses understand the shipping process.
Finding the right agent can be crucial for your business as they can help you get discounts and the best rates.
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