5 Ways to Reduce Shipping Cost for Small Businesses

How can small businesses compete with other big brands in terms of the shipping cost? Shipping cost is one of the things that customers don’t prefer  to pay despite its importance and of course the cost. Here are some ways to reduce the shipping cost!

Only Lightweight Packaging

Always remember that weight is equal to money. Find the most lightweight yet secured for your items to be shipped.

Never underestimate the few cents you saved for each package. Think about that few cents over several hundred packages. This is why lightweight packaging is good for reducing shipping costs and improving profit margins.

You can reduce the weight of packaging by using corrugated boxes (lighter than regular cardboard), lightweight packing material and custom shipping package

Lightweight packing practices can save you a few grams each shipment. In the long run, this could lead to sizable gains in profit margins and return a good investment on your time and resources.

Find the Right Size of Packaging

You need to change your packaging accordingly if you’re thinking of saving some money on the shipping.

Your shipping cost is dependent on the size of the package and the weight of the package. Cardboard is heavy, and anywhere you can trim down weight will help you win over time.

If your item does not require to use a box, use a poly mailer instead. You can bubble wrap the item if needed to secure the item. Avoid unnecessary costs as a little bit of saving now goes a long way.

Implement Flat Rate Packaging

Shipping container geometry and pricing are always changing, and not for the better of your bottom line. It’s really hard for you to even

Flat-rate shipping means the shipping costs are a single rate, regardless of weight, shape, or size of the item. The immediate benefit of flat-rate shipping is converting variable costs into fixed costs. In case you’re planning to ship 10 items within the specified weight range, you know in advance exactly how much it’ll cost. It saves you the trouble!

You can create a flat rate depending on the amount of order or area of the order. You can charge a flat rate of RM8 for any purchase of RM50 or RM 5 for any orders within Peninsular Malaysia.

Stay up to date with the latest rate

Although the price of the shipping may rise from time to time, you need to be on top of it every time. Stay on top of pricing changes so they don’t cut into your bottom line. Shipping carriers review their pricing each year and adjust rates due to higher costs like labor and fuel.

There’s some delivery company that offers shipping online. You no longer need to make a trip to the post office and queue up at the post office. Within a few clicks from your electronic devices, your selected carrier will send their courier man to collect your delivery parcel from your house!

Cash on Delivery (COD) or Pickup

One way to reduce shipping costs is not to use a carrier at all. As an online store, local delivery lets customers do cash on delivery and have you deliver it to their homes. You could also allow customers to come pick up their online order from your store. COD and pickup are alternatives to shipping with a delivery company and can save you money.

Offering these options allow business owners to engage with the customers, improve customer’s experience and eventually increase sales.

Need more ideas & insights to grow your business, read WhyQ blog now.