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Lowering Your Shipping Costs

Date: 03/08/2007 | Category: Business | Author: developers

A primary expense of many small businesseses that have products to sell is shipping.  Any small business that ships a lot can tell you that shipping costs can quickly add up.  However, there are ways you can save on your shipping costs such as:

Shop around for the basics

Packing tape, bubble wrap, boxes and envelopes can eat up your budget.  Shop around and look for deals.  Don’t just look at the mainstream buying outlets such as office supply stores.  Check out Ebay – you may find a supplier selling these items in bulk.

Plan Long Range

Review your shipping budget at least annually.  At least once a year, the various carriers such as UPS and FedEx raise their rates or throw in a fuel charge or some other surcharge that hikes your overall expenses.  Even the post office will be increasing their rates this summer.   With a firm handle on what you are paying, you will be able to determine whether you need to switch carrier services or pass those charges on to your customers.

Consider Package Insurance

Unfortunately, our responsibility to the customer does not end when we put their order in the mail or send it by carrier.  We are ultimately responsible for insuring the package gets there.  In fact, the FTC requires that a package be delivered 30 days after payment is made, or the seller must refund the buyer’s money or request an extension on delivery.   Merchandise that is lost or damaged in shipping can quickly add up when you calculate in having to reship an item or issue a refund.  Shipping insurance buffers some of that loss.