Want to Save Money on Shipping? Here’s How

Shipping can be a hassle, but it doesn’t have to be. Shipping is a necessary part of modern life. If you’re not careful, though, it can also cost you more than what you think. You might not even realize that some habits are costing you money on shipping! Luckily, there are plenty of things you can do to save yourself from paying too much for something as simple as sending a package across the country or the world. Here’s how to make sure your packages get where they need to go without breaking the bank: 

1) Decrease The Distance

Shipping isn’t exactly cheap. However, there are ways that you can reduce the amount of money that shipping is costing you in the first place. One simple and easy way to do this is by decreasing the distance your package travels. When transporting to some far places, many firms incur exorbitant shipping expenses. For domestic shipments in the United States, shipping zones range from Zone 1 to Zone 8, with Zone 1 being the smallest and Zone 8 being the largest. The higher the zone, the more expensive and slow it is to send the package. You may save a lot of money over time and benefit from better shipping alternatives with reduced rates if you can avoid shipping to higher zones. You can find an easy to use shipping calculator to see how much is shipping going to cost you. You’ll need to enter the country and postal code of the destination and you will have the costs calculated.

2) Reduce The Dimensions Of Your Packages

Besides the distance, another thing that can make shipping more expensive is the package’s dimensions. The bigger your package, the more difficult it will be to ship, which means you are likely to pay overage fees for both time and money on your shipping costs. If you’re not careful, this problem can really eat into your savings. For example, if you have to send a package to Australia, the package is considered large even if it’s only ten inches by ten inches. You can reduce the dimensions of your packages by using smaller boxes, removing excess packaging, and making sure you’re not shipping any unnecessary items.

3) Watch Out For Taxes

In most cases, you won’t have to pay taxes when the package is shipped to another country. However, there are exceptions to that rule. Some companies will charge a tax for using their services as an intermediary in international transactions. These taxes can end up costing you a lot of money. For example, the costs can go up to  15% of the package’s value, which can add up quickly.  If you don’t want to pay unnecessary taxes on shipping or if you need to reduce your overhead, try using a different company. Hopefully, there are a lot of them so you won’t have a problem finding the best one.

4) Use Less Expensive Packaging Materials

Using the lightest and cheapest packaging materials for your packages is a great way to save money on shipping costs. The lighter it is, the less you have to pay shipping fees. In addition, using recycled or low-quality materials can also reduce your expenses. For example, it’s better to use paper and cardboard rather than Styrofoam and plastic if you want to save some money on your next shipment. In addition, it might be a good idea to use recycled cardboard for your next package. Not only is it cheaper, but it’s also better for the environment.

5) Try Out Pick-Up Services

One of the easiest ways to save money on shipping is by using pick-up services. If you’re a small business owner, you can save a lot of money by using these pick-up services. Instead of sending your packages to the post office every day, you can instead request that someone from the shipping company come and pick up the package. To do this, simply call your local shipping company and ask about their options for scheduled pickups. Although, you’ll be locked into their pick-up schedule, so be sure to plan ahead or you might end up paying more than if you shipped it yourself.

6) Use Third-Party Insurance

Shipping companies usually overcharge for their insurance rates, which can lead to an unnecessary increase in your shipping costs. Consider using third-party insurance agents. These companies offer competitive rates for shipping insurance and they are especially great when you need to make sure your package is covered if it’s lost or damaged. This is a great way to save money and it doesn’t require you to change your habits either!

7) Avoid Shipping Holidays

Shipping holidays might not seem like a big deal, but they can really add up over time if the holiday happens to fall on an especially busy day for shipping companies. For example, Christmas is a time when most companies are going to be incredibly busy. If you want to save money on shipping costs, try not to send packages during the holidays unless it’s absolutely necessary. With that said, be sure to plan ahead of time or you might end up paying a lot more than expected.

8) Increase Your Prices

If there’s nothing more you can do and you know that shipping is going to cost a lot, why not increase the price of your products by 5% or 10%? This extra money will help cover some of your shipping costs and hopefully, you won’t lose too many customers in the process. If you’re selling on Amazon, it’s worth checking into their Shipping Pass option. This option allows you to pay a flat fee for shipping based on what works best for your budget.

Shipping can be a daunting task for any business owner. Whether you ship domestically or internationally, there are countless factors to consider when trying to find the best way to save money on shipping without sacrificing quality. We hope that this blog post has given you some valuable insight into how saving money on your next shipment is easier than it seems! With these easy tips and tricks in mind, we’re confident that you will soon see how much better off you are financially by following them.

Dragan Sutevski

Posted by Dragan Sutevski

Dragan Sutevski is a founder and CEO of Sutevski Consulting, creating business excellence through innovative thinking. Get more from Dragan on Twitter. Contact Dragan