How Small Businesses Can Reduce Shipping Costs
It’s no secret that shipping can be expensive, and it can be difficult for a small business to keep up with juggernauts like Amazon, who keep changing the game. Shipping has never been more important for a small business, and it’s keeping many businesses alive during the COVID-19 pandemic. Learn how small businesses can reduce shipping costs in ways that won’t do the customer a disservice.
Ship from Home
A major reason why shipping tends to cost more is the weight of the package. If you aren’t using flat-rate shipping, ship from home with the right materials most small businesses use. By having items like a scale at your disposal, you can get a much better idea of shipping costs now and print accurate shipping labels. This might require you to make some changes to your packaging as well, but it’ll help you save money in the long run.
Seek Discounted Rates
This next step might come across as a no-brainer, but you should also do yourself a favor and seek out discounted rates. The key to getting better rates is to negotiate with different shipping carriers, who will usually ask for loyalty in return. Any carrier will want to keep you as a client; use this to your advantage.
Be Aware of Fees
When shipping products, you may suddenly face unexpected fees from your carrier. Do some research ahead of time so you can avoid fees for Saturday delivery, residential delivery, signature confirmation, and more.
Consider a Regional Carrier
Many small businesses tend to go with FedEx or UPS for their shipping needs, but you have other options that can lower your shipping costs. Regional carriers can offer you the same service at a lower price, but you must keep in mind that they are exactly that: regional. This is an option to consider depending on your type of small business and your products.
Get Third-Party Insurance
A final tip on how small businesses can reduce shipping costs is to use third-party insurance. If you are typically shipping items of high value, then you can save money by going with third-party insurance instead of insurance through the shipping carrier.
