What’re the biggest expenses for your business? Shipping costs will definitely be present on that list of expenses. Can you reduce them in some way or another? Sure, you definitely can! For starters, begin by finding affordable “FedEx services near me”. See if they offer business discounts over a certain weight limit. Consolidate your packages together. Compare rates and ensure that you are choosing the most affordable “UPS near me”.
Let’s review the ways in which you can reduce shipping costs:
Find the Most Affordable Services That Offer USPS Near You
Hit Google and search for “USPS near me” or “FedEx near me”. The results will show all postal shipping companies within your vicinity. Find out rates of at least 4 or 5 of these shipping companies. Be sure to provide a certain minimum number of orders so that they can apply appropriate discounts before sharing quotes.
Yes, you can and you definitely should! Shipping companies mostly charge on volume. Obviously, if your parcels are more, lower shipping rates will apply. But hey, even then, there is room for negotiation, which most startups and medium-sized businesses don’t really realize. Talk to the shipping companies you come across and see if they can lower the rates further.
Ask Your Suppliers to Ship on Your Account Number
Where are you sourcing material from? Ask your suppliers to ship using your account number. This will increase volume, so chances are you can get lower rates. Even if your suppliers are domestic, this is still a valid request as it will not only lead to lower rates, but it will also prevent suppliers from padding their shipping costs. Rather than agreeing verbally, get this listed down as a requirement on your purchase order.
Use Carrier Packaging
Using your own boxes or packaging material often implies that you’ll be paying dimensional fees if your box does not meet size regulations which have been set by FedEx and UPS. The best way to avoid these extra charges is to simply not use your own boxes. So ask your carrier to send packaging material because this can help reduce costs by as much as 15%.
Avail Online Shipping
If you pay shipping costs online, you can save around 16% costs for postal mail orders and around 60% costs for express mail. Sometimes, you may also be entitled to a free pick up service, shipping supplies or confirmation regarding priority mail delivery.
Consider Prepaid Shipping
Prepaid shipping is one of the best ways to reduce costs and enjoy discounts. This means that you purchase shipping labels and then paste them onto the packages as required rather than paying for the boxes when you send them out.
Generally, this method works best if the weight of your package remains the same more or less. This will help you calculate shipping costs beforehand, and accordingly, you can make a payment.
An effective way to reduce shipping costs is to buy a third party coverage policy. Generally, carriers will ask you to pay 80 cents if the insurance amount is $100 or so. With third-party companies, you’ll be paying around 45 cents for every hundred dollars. Over time, this can add up to your savings, so it is definitely a worthy consideration.
Consider the Shipping Fees Prior to Sending Customer Bills
Who bears the shipping costs mostly – your customers or you? If your customers bear them, don’t decide on a rate unless you have determined standard rates plus special charges. Generally, carriers can ask you to pay for small things like delivery on a Saturday or taking recipient’s signature. Consider all these extra charges, and accordingly, share a suitable shipping rate with your customer. This will ensure that none of these costs fall under your expenses.
Find Out Membership and Association Discounts
Shipping carriers may offer discounts if you’re affiliated with certain associations. Sometimes, this can reduce costs by as much as 50%, so do find out beforehand.
Which of these tips worked for you? Do let us know!
Postal Xpress N More offers affordable shipping services in Elliot and nearby areas. Visit our website for further information.