Reducing shipping costs is one of the biggest challenges Canadian small businesses face today. Shipping cost within Canada is expensive, and international shipping cost even more. Reducing shipping costs is possible if you understand the factors that affect shipping costs and how to navigate through them. BC Warehouse and Distribution Company is a 3PL company in Vancouver – Canada. We offer customized and cost-efficient solutions to help Canadian small businesses reduce shipping costs.
WHAT IMPACT SHIPPING COSTS?
Small businesses that understand the factors impacting shipping costs can make a lot of difference in reducing them. It is vital to know the weight dimension of your package and classify your shipments into zones based on the customer’s location, as all these affect the shipping costs of packages. The frequency of shipment and handling charges can also impact shipping costs significantly.
The weight and volume of the package can significantly impact the shipping costs. The larger the size, the more space it will take during delivery. If it is heavy (over 1kg), shipping rates may change. With an adequate arrangement, an order fulfillment company that processes and ships orders, small businesses can often save a significant amount of money and time shipping goods and meeting customers’ demands.
HOW CAN CANADIAN SMALL BUSINESSES REDUCE SHIPPING COSTS?
Here are ten ways Canadian small businesses can reduce shipping costs:
- Choose the Best Package Size for Your Products: Shipping cost depends on the size and the weight of the package. Smaller packages can help you cut shipping costs. To reduce package size, measure your products and figure out how many you typically send at a time.
- Reduce The Weight of Your Packages: Shipping packages with heavyweight is expensive. Lightweight packaging can save you a few ounces each shipment and help reduce shipping costs. Use corrugated boxes that are stronger and lighter than regular cardboard boxes for packaging.
- Limit Your Shipping Zones: Ship to faraway destinations attracts high shipping fees for small businesses. Avoid delivering to the most expensive shipping zones and focus on local zones from where you get most of your orders.
- Consider Flat-rate Shipping: Small businesses can reduce the shipping cost by offering flat-rate shipping to customers. Customers always appreciate the reliability and transparency of consistent shipping rates.
- Consider Prepaid Shipping: If you have a consistent order volume, you’ve got to consider investing in prepaid shipping services by buying a fixed number of labels upfront for your packages. Prepaid shipping services can help reduce your costs by as much as 20%.
- Negotiate For Shipping Discount: Always ask for a discount from your shipping partner. Loyalty to your shipping company will most like get you discounted shipping rates. You should also negotiate and get insulation from the sudden price hikes common among shipping carriers.
- Be a Part of a Professional Organization: Canadian small businesses can leverage membership of a business organization. Organizations with a high volume of shippers can negotiate with 3PL vendors to give their members better discount rates.
- Outsource Shipping to a Fulfillment Centre: Outsource to a 3PL company for better, effective, optimized, and cost-efficient services. BC Warehouse and Distribution Company offer fast, affordable shipping. Small businesses in Canada can count on us to save time and shipping costs.
- Explore Your Selling Platform’s Features: Small businesses that sell on platforms like Amazon, Walmart, or eBay have opportunities to reduce shipping costs. Explore your selling platform features and see if you can get shipping subscription packages.
- Use Third-party Shipping Insurance: Third-party shipping insurance can help you reduce shipping costs. Shipping insurance can help you mitigate the cost of losses from returned and damaged products and keep your customers loyal.
Small businesses in Canada have many options for reducing shipping costs. Outsourcing shipping to a 3PL company or combining any of these ways can help reduce shipping costs. BC Warehouse and Distribution Company is a 3PL company that provides one of the most reliable fulfillment services for businesses in Canada. Get in touch and get a custom shipping solution for your business.