slow seasons in business
August 17, 2020

How to Cut Shipping Costs for Your Ecommerce Business


As an e-commerce business, you are not only competing online with your direct competitors but you are aiming to provide a high-quality experience for your customers. Of course, there are many overheads that you save on in comparison with high street shops, but having to deliver every order straight to your customer, especially if you are a smaller business, can quickly mount up if you aren’t vigilant. Despite being a challenge, it is possible to cut the shipping costs to your e-commerce business without compromising on the experience you provide your customers – which can be the difference between succeeding and not in e-commerce.


Reconsider the Size of Postage Boxes


Too often, a certain e-commerce giant (not naming any names, but you know who we’re taking about) delivers items to their customers in boxes that are comically larger than they need to be. This can have a huge impact on the cost of shipping for your business as many couriers charge for the size, and not just the weight, of the item. In order to combat this, you can create your own printed postal boxes. These are significantly smaller than a normal cardboard box and are perfect for protecting fragile items when bubble wrap (or an eco-friendly alternative such as crepe kraft paper) is placed inside.


Factor Shipping in the Cost of Your Products


If you are looking to guarantee that you are making a profit is to place the shipping costs within the price of your products. 88% of shoppers preferring to shop on e-commerce sites with free shipping, and many people will actually be happy to pay a higher price for the product itself, still feeling that they are getting a great deal. However, it is important to not drive up the cost of the product too much, as this could lead to your customers spending money with your direct competitor. We would recommend A/B testing to see what your customers respond best to.


Use Mailing Bags for Smaller Products


If you’re a business that has several smaller items that aren’t fragile for sale, it would not be cost-effective to send an item like this in a bulky box. Therefore, using printed mailing bags are an economical way of shipping non-fragile items and can still make an impact with your customers. By using printing mailing bags, you’ll reduce the cost of shipping whilst still providing a premium experience when the package arrives at the front door. With a section for your packaging label as well as a variant of thickness for privacy when left on the doorstep, this is a great way of reducing cost without compromising on quality.


Consider Using Pre-Paid Shipping


The final way that you can cut shipping costs for your e-commerce business is to consider pre-paid shipping. Several couriers and delivery services out there allowing you to opt for prepaid shipping with discounts. This is a great way of regulating the costs to your business and speeding up the process of shipments, you can slowly begin to reduce the cost to your customers as well as the overhead of your business. It is important to negotiate with your chosen courier too. Regardless of whether your business is small or a much larger enterprise, it is crucial that you negotiate the costs to ensure that you find a delivery service that works for your business without increasing the cost of the product for your customers.