Small, medium, and large-scale businesses are compelled to ship goods around the world. A 2016 research report published by Transparency Market Research showed that the shipping industry’s value is expected to skyrocket to $15.5 trillion by 2023, a clear indication that trade and commerce remain to be driving factors in achieving global economic growth.
Despite the continued increase in shipping demand, many entrepreneurs today still consider shipping to be one of their most substantial business expenses. After all, most businesses use express international shipping to ensure their products reach their customers’ doorsteps as soon as possible. The question is, “Are there strategies for my business to ship products quickly and at a minimum cost?”
This article is a definitive guide for resourceful entrepreneurs who want to maximize their value for money and make sure every shipping spend they make is worth it. If cutting down on costs is your goal, read through these critical suggestions carefully.
Know when and when not to use express deliveries.
Similar to any other premium service, express shipments are naturally more expensive. The process is quick, easy, and adds plus points to your brand once your customers find out their products have already been shipped to their location.
Smart businesses strategize their usage of express shipments and know when the service isn’t needed. One effective strategy is to use express international shipping only for your most in-demand products and delivering the rest using economy international shipping services.
If you can identify and segregate the products that need to be rushed, you will save a massive chunk of your shipping costs.
Before charging customers, calculate all shipping costs first.
Echoing our sentiments from the first point of this article, express shipping costs are quite expensive. All couriers have additional charges on top of standard international shipping fees— oversized product fees, fuel fees, and long-distance fees are just some of the examples.
It is for this reason that you should first factor in all shipping costs if you decide to charge your customers for shipping. Failure to do this preventive measure will result in you shouldering all your shipping costs.
Use your carrier’s packaging supplies.
How do you ship a package internationally without compromising your budget? By utilizing your carrier’s packaging supplies.
Most shipping companies offer packaging support to minimize their clients’ costs during deliveries. If you manage to utilize these perks, you will save on additional dimensional weight fees that come with external packages. Dimensional prices are surcharges set by courier companies for products that exceed their size restrictions. These penalties might seem minimal for individual shipments at first, but dimensional weight fees increase rapidly on bulk shipments.
Use a universal shipping account number for all suppliers.
An effective way to trim down on express shipping costs is to use one universal shipping account for your business’ suppliers. This method is especially useful if you have suppliers from other countries who charge you for expensive transport fees. Instead of paying for these unnecessary costs, make a compelling argument for them to use your shipping account number.
Another great advantage of using a universal shipping account number is the rapid increase in your shipping frequency. If shipping companies notice that you transport products almost every day, they will most likely be willing to give significant discounts.
While it is true that express international shipping is indeed useful for any company to build a solid customer base, using it ineffectively can hurt any business’ pockets on many occasions. What is the best way to ship internationally? Well, a good start is to formulate a strategy that will help you budget your costs without compromising the quality of your shipping process.
If you are interested in hiring a team of professionals to help you with your shipping needs, we at Stallion Express provide international shipping services at a fair price. Book an appointment today!