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costs

March 4, 2020

How to Reduce Your eCommerce Costs

SJoyAdmin Blog costs, ecommerce, profits

ecommerce, cut, costs When you can reduce the operational costs of running an eCommerce store, you can pass these savings on to the customer and generate more profit for your business too. This article will help you reduce eCommerce costs.

For eCommerce entrepreneurs, shipping is often one of the most significant costs your business will encounter.

Furthermore, today’s consumers are vocal about their shipping expectations. In addition to wanting a range of expedited delivery options, the majority of consumers expect free shipping to be included with their purchase.

High shipping costs and limited delivery options are top reasons for abandoned carts. By focusing on your shipping options, you can successfully increase your sales. For business success, however, you need to ensure that your shipping costs are reduced as much as possible, without negatively impacting the customer’s experience.

Fortunately, there are a variety of ways to minimize your shipping costs and boost your sales, including:

Use fulfillment services

Fulfillment companies take the stress out of running an eCommerce store by storing your inventory and picking, packing and shipping products directly to your customers. This negates the need for you to rent your own premises and hire in-house staff, which reduces your expenditure.

In addition, fulfillment companies operate on behalf of hundreds or thousands of clients. This means fulfillment firms, like ShipJoy, can negotiate more attractive prices with carriers. When these savings are passed on to you, it means your shipping costs can be significantly reduced.

Size reduction

The weight and size of your parcels play a major role in the cost of shipping. By reducing these as much as possible, you can minimize your shipping costs too. To achieve this, however, you’ll need to have a range of packing materials on hand and the expertise to ensure products are securely packaged using minimal materials.

While these could be a costly system to set up yourself, you can access these facilities straight away when you choose to partner with an established fulfillment service provider.

Reduce shipping distance

The cost of shipping depends on a number of factors, such as the size and weight of the parcel, the speed of delivery and how far it needs to be shipped. Sending a parcel from Houston, TX to Dallas, TX, is cheaper than sending a shipment from Houston, TX to New York, NY, for example.

If you handle your own shipping, launching multiple inventory sites can be a major investment. For most eCommerce store owners, the costs involved make this an unattractive option. However, choosing the right fulfillment company will enable you to access multiple inventory sites and dispatch centers around the country. With your goods stored at strategic locations, you can dramatically cut your shipping costs and facilitate faster deliveries.

Minimizing the Costs of Running an eCommerce Store

Reducing delivery charges is a sure-fire way to attract more customers while minimizing operational costs ensures you can keep more of your revenue. Partnering with an established fulfillment provider could be the most cost-effective and efficient way for you to successfully grow your business and reduce the cost of running your eCommerce store.

For more information contact ShipJoy today.

February 3, 2020

Don’t Get Gypped When You Ship

SJoyAdmin Blog costs, ecommerce, shipping

Controlling eCommerce Shipping Costs

Cost with eCommerce returns can offset a profit in lightning speed. Damage control for shipping is becoming more important today as most products are being bought online. If you’re not looking to throw away more money, then look at these tips to help control your eCommerce shipping costs.

Tip 1: It’s All in the Handlers

Select a company who is reliable and respectful of your goods. Be sure to find reputable people to manage your items who offer shipping insurance. Tracking the packages during transit and pre-delivery is also a big responsibility where most trustworthy companies will take recourse on missing items. Beyond all, the handlers are professional packers who understand the importance and take pride in their jobs ultimately delivering quality of results.

Tip 2: Shrinkage Starts and Stops with Packaging

Several issues arise from the warehouse to delivery destination. From flooding to dropping the package anything is possible where using appropriate dunnage and packaging is key for protection.

The pros ensure safe packing with plenty of wrapping or cushion without overusing .

Tip 3: Damage Control Uses the Rule, Less is More

Many times, the cost of doing business happens before the item ever leaves the warehouse. Overused packaging materials can be very expensive. In addition, sturdy boxes that can resist impact and act as a shock absorber are crucial to ensure your products reach the final destination in one piece without excessive eCommerce shipping costs.

Tip 4: Use the Right Packaging Materials for the Job

Your shipping company can make suggestions for using the right materials for the job. Things like solid plastics, bubble wrap and air pillows may be more suitable depending on the items you are delivering. But, if you need to cut back costs and still want to avoid damage, items like kraft paper and wood chips might be a good alternative.

Tip 5: Thieves, Rodents and Other Damaging Elements

Since the world of eCommerce is exploding, there are more factors to determine during the pre-shipping stage. For instance, rodents can be a nuisance when shipping things like food. Also, porch thieves are more prevalent and not just during the holidays. Not to mention, if they leave your package in the rain, water can significantly damage the contents inside the box. The company you select to move your items to their recipients will ensure they address these potential hazards prior to items leaving the warehouse. While the cost may be more for the delivery, it should offset the eCommerce shipping cost of returning damaged items.

Tip 6: Use a Tracking System and Keep a Log of Packages

You could lose future business if you’re not keeping track of your eCommerce shipping costs. Determine who, what, where and how the packages became damaged and use a tracking system where you’re keeping a log of the occurrences. Sometimes, you may need to get more involved with the shippers or stop using them altogether.

These are just a few ways to prevent damage and keep your customers happy. It’s not realistic to think you’ll have a 100% batting average with shipping your eCommerce items. However, by following these quick tips, you will be on the fulfillment cutting edge without losing as much in the long run.

Improve your operations with ShipJoy to help control your eCommerce shipping costs. Our experts have decades of experience and are ready to serve your brand at the highest levels.