When you’re a small business that sells online, the holidays can be a boom time. On the other hand, the cost of shipping can take a bite into your profits. Reduce shipping costs and you will increase your bottom line.
With some carriers increasing their rates due to the demand, it can leave you wondering how you can get your item from point A to point B without spending a ridiculous amount of money.
Here are 5 ways that will help you reduce shipping costs those holiday shipping costs.
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1. Pick the Right Sized Box
One mistake small business owners make is choosing a box that is too large for the product they are shipping. The more dimensions a container has, the more a shipping service charges. Measure your item and select a box with the correct dimensions for the job.
Now, you don’t want the container to be the exact size. Mailing a non-fragile item can work with this, but if you send a fragile object such as a RELX Pod, you risk breaking the item. Picking a box slightly bigger to allow for protective packing materials might be your best option and can reduce shipping costs.
2. Buy Shipping Supplies in Bulk
Consider buying boxes, envelopes, and packing materials in bulk rather than buying a box or an envelope each time you make a sale.
It can save you quite a bit in the long run and make shipping less costly. You can find bulk supplies on Amazon or wholesale stores like Costco or Sam’s Club.
3. Find Ways to Negotiate Rates
It is possible for your to negotiate the rates with your carrier, especially if you’ve been using them for a while. Some carriers allow for discounts by shipping volume. Others may have staff who can help you find the best shipping deal. Doing this can find bargains and save you cash to reduce shipping costs.
4. Offer Free Shipping and Increase the Price of Your Item
A neat trick if you want the buyer to pay for shipping is to increase the price of your item but allow for free shipping.
Say an item that sells for $20 costs $10 to ship. You may find that selling the item as $20 plus $10 shipping does not attract buyers. However, selling it for $30 and offering free shipping can. People hate paying for shipment fees, and even if they are paying the same amount, seeing the phrase “free shipping” can attract more customers.
5. Change Your Carrier
Finally, changing your carrier may be worth it if they are charging an arm and a leg for shipping. The shipping market is not super competitive, but you may find a local method to send your items.
There are cheaper ways out there to ship your item, even using a company that works nation-wide.
Alternatively, one of the prominent carriers may be more suited for the product you are selling. Compare each carrier and find the best price to reduce shipping costs.
Unless you sell locally, there are no avoiding high shipment costs, but there are ways for you to cut down on the price without it damaging your profits. Do your research and see what you can find.