4 Ways to Reduce Costs for Your eCommerce Business
As an eCommerce business owner, one of the most significant expenses you’ll face is shipping costs. Shipping can be expensive, especially if you’re delivering to customers around the world. However, there are ways to reduce these costs and improve your bottom line.
Some tips that can get you started:
1. Offer free shipping above a minimum order value
This encourages customers to buy more, which can help increase your revenue and offset the cost of shipping.
When setting the minimum order value, make sure to take into account your product costs and the cost of shipping. You don’t want to offer free shipping and end up losing money on the sale!
2. Use packaging that fits your products snugly
Using packaging that fits your products snugly can help reduce shipping costs by minimising the size and weight of your packages. Make sure to use packaging materials that are appropriate for the size and weight of your products and avoid using excess packing materials.
3. Use shipping software to automate shipping
Shipping software can help automate the shipping process, calculating the most cost-efficient delivery routes while also reducing the time and effort required to manage your shipping operations.
4. Work with a multi-carrier partner
Through working with a multi-carrier partner, you get single access to a wide network of carrier services, allowing you to:
Compare rates from multiple carriers
Different carriers have different rates and fees for their services, and by working with a multi-carrier like GFS, you gain the power of choice! By comparing the rates of multiple carriers for different services, you can see which one offers the best value for your shipping needs.
Negotiate rates with carriers
Work with a partner who has the buying power to give you access to exclusive, competitive carrier rates, so you can be sure that you are getting the best deal on your shipping costs.
Use multiple carriers
Having access to multiple carriers means you won’t need to rely on a single carrier for all your shipping needs giving you greater flexibility to switch services on or off as needed – without the overheads of multiple carrier contracts or processes.
