what’s right?
Introduction
High shipping costs can eat into profits, but cutting corners often leads to slower deliveries. Here’s how businesses can reduce expenses while maintaining efficiency.
1. Optimize Packaging
- Right-sizing packages reduces dimensional weight charges.
- Lightweight materials lower overall shipping costs.
2. Negotiate Carrier Rates
- Volume discounts with FedEx, UPS, or DHL for frequent shippers.
- Regional carriers may offer better rates for local deliveries.
3. Use Multi-Carrier Shipping Software
- Compare rates in real-time across different providers.
- Automated label generation saves time and reduces errors.
4. Implement Zone Skipping
- Bulk shipments to a central hub reduce per-unit costs.
- Works best for high-volume eCommerce businesses.
5. Leverage Free Shipping Thresholds
- Encourage larger orders by offering free shipping above a certain amount.
- Absorbs costs while increasing average order value.
Conclusion
Strategic packaging, carrier negotiations, and smart software can significantly cut shipping costs while keeping delivery times competitive.