How To Save Money Shipping Your E-Commerce Orders
Your shipping costs can make or break your entire e-commerce operation. Here's a few tips to help you scale successfully and ship smarter.
1. Negotiate Shipping Rates with Carriers
- Volume Discounts: Many shipping carriers offer discounts based on the volume of packages you ship. Contact carriers like UPS, FedEx, or Canada Post to negotiate lower rates based on your expected volume.
- Partner with a 3PL: Working with a third-party logistics provider (3PL) can give you access to their pre-negotiated bulk shipping rates, which are often lower than standard rates. Contact us if you need a quote.
2. Use Multiple Shipping Carriers
- Donโt limit yourself to one carrier. Different carriers may offer better rates depending on the package size, weight, or destination. Use a shipping calculator to compare rates and choose the most cost-effective option for each order. Try our free shipping calculator here.
3. Optimize Packaging
- Reduce Package Size: Shipping costs often depend on package dimensions and weight. Use smaller, lightweight packaging to avoid dimensional weight charges (the "dim weight" fee).
- Use Poly Mailers: For non-fragile items, switch from boxes to poly mailers, which are lighter and cheaper to ship.
- Custom-Sized Packaging: Using custom-sized boxes that match your product dimensions can help reduce wasted space and the need for additional fillers, saving on both packaging materials and shipping costs.
4. Automate and Integrate Shipping Software
- Use shipping software (e.g., ShipStation, Shippo) to compare real-time rates from different carriers and select the cheapest shipping option automatically.
- Shipping software can also help you automate label printing, track shipments, and integrate with your e-commerce platform to streamline your fulfillment process. Luckily for you, our fulfillment center does all of this for you.
5. Utilize a 3PL (Third-Party Logistics Provider)
- A 3PL can save you money by offering discounted shipping rates through bulk deals and optimizing shipping routes from multiple warehouses. With 247 Fulfillment, you reduce costs and streamline your fulfillment.
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