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How to Reduce Fulfillment Spend: 3 Ways to Save on Shipping Costs

July 26, 2018 by Christopher

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There’s a lot of costs associated with running a business and shipping is one of the largest.

If you regularly ship parcels to your clients or customers, you’ll soon find the costs can really add up.

These days, businesses face the tough challenge of trying to keep up with the demand for free delivery without making a loss.

So, how can you reduce your fulfillment spend and save on shipping costs? Below, you’ll discover some great tips to follow.

#1 Work delivery costs into your products

The main issue many businesses have when it comes to shipping costs is the demand for free delivery. They’ve become accustomed to receiving free delivery, or at least very low-priced delivery. This, along with the cost of returns, has even forced some businesses to stop selling their products online. So, how can you offer this without making a loss?

A clever way to do it is to add the cost of delivery onto the products. However, this would mean slightly increasing your prices. Some businesses may not be able to do this, but if you could get away with a slight increase in prices, it could counteract the cost of delivery.

You could also do what many other businesses do, and that offers free delivery on purchases of a set amount. So, it could be free delivery on orders over £20 for example.

#2 Choose an affordable yet reliable courier

Of course, one of the best ways to save money on shipping is to ensure you’re using an affordable chilled courier service.  While you’ll definitely want to look at more than just cost when choosing a courier, finding a cheaper one could save you a lot of money.

You could even consider using a fulfillment service such as Whistl. They’ll take care of your entire e-commerce order fulfillment needs, leaving you free to focus on improving the business.

#3 Make sure your measurements are correct

Another great tip is to ensure your measurements are correct. This means knowing what weight and size the parcels are before you ship them. Entering the wrong measurements could result in additional charges being added on. So, it’s always worth double-checking you’ve got it right.

There are many ways you can save money on business shipping, but the above are some of the most effective. Why pay more for your shipping service when you really don’t have to? Take advantage of the tips above and see just how much your business could save.

What are you doing to reduce shipping costs in your business?

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Filed Under: Business Tips

About Christopher

Chris is a personal finance blogger with Stumble Forward helping people avoid life's financial mistakes and live a higher quality financial life.

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Get To Know Me

Hi, my name is Chris! I’m a personal finance and small business nerd.  Check out my blog where I share all of my favorite tips about saving money to running a small business.

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