No matter how long you’ve been in business, there’s a good chance you’re spending more than you have to on shipping costs. Your shipping costs can have a huge impact on your bottom line. By reducing shipping expenses, your company will gain additional revenue, and it isn’t even that hard.
Here’s how to know if you’re spending too much on your shipping costs.
1. You Aren’t Consolidating
Sending large shipments can get expensive, but by consolidating your shipments you can save a lot of money. Work with a consolidating freight service to find the best way to do this. By doing this for larger, heavier orders, you can save a huge amount of money, and so can your customer!
2. You Aren’t Tracking Carrier Performance
By tracking the costs and services of your carrier, you can actually save a lot of money. Your carrier may be costing you more than you even realized. Late deliveries, damaged products, and unexpected fees can quickly add up to more than you expected.
When tracking carrier performance you’ll want to pay close attention to:
· Is the carrier meeting pickup and delivery times?
· Are you being charged non-essential fees?
· How does the carrier respond to customer feedback?
· What do your customers have to say about their deliveries?
3. You’re Not Negotiating For Discounts
Did you know that carriers will often provide discounts to customers who ship frequently and in high volumes? Browse a variety of carriers to see who can offer you the best price. From there, you can negotiate with your preferred carrier to see if they can match the rate or give you a discount. And don’t forget, you don’t need to stick to just one carrier. You can always branch out if a specific shipment will be cheaper through a different carrier.
4. You Aren’t Being Strategic With Your Shipping Supplies
The shipping supplies you’re using can either make or break you when it comes to shipping costs. As a rule of thumb, you should try to sue the smallest box you can to package your products to reduce costs. You also want to be sure to properly pack products with void fill and other cushioning items so your product won’t arrive damaged.
It’s also smart to buy your shipping supplies in bulk, which costs more upfront but gives you big discounts. ShippingSupply.com offers bulk pricing on all products, so keep that in mind next time you’re looking for packaging products.
5. You Aren’t Buying Postage Online
You can get some nice discounts when you pay for your postage online rather than taking your packages directly to the USPS. Staffing a Post Office is expensive, so the USPS offers discounts as an incentive to buy postage online. If you use the USPS for a lot of your shipping, this is an important tip to keep in mind.
Don’t let these shipping mistakes happen to you!