E-commerce shipping is essential to the success of online businesses; hence, its importance should never be underestimated. You put in a lot of effort to ensure customer satisfaction. However, the lateness of delivery, packages with wrong or damaged items may cause customer grievances, and you could find yourself in trouble.
Navigating eCommerce shipping solutions can be overwhelming, with countless shipping options and delivery services available. Here is a guide for you to create a successful eCommerce strategy shipping methods and follow the best practices for your business.
The foundation of shipping strategy is based on shipping methods and rates. You need to understand whether you will offer flat-rate or free-rate shipping or pass the entire cost of shipping to the customers.
The process needs to be streamlined based on the weight of each product you want to sell. The information will help you estimate total costs, and you will be able to determine accurate prices for the customers. You must then choose the suitable packaging for your products and calculate the shipping prices.
Set shipping rates and methods
You need to decide pricing strategy before shipping your products. Offering free shipping is an effective means to prevent cart abandonment. Free shipping may work for you if you consider increasing product prices or paying shipping costs out of your margin or increasing production costs to cover shipping costs partially, or offering discount codes to customers for free delivery.
Charging real-time carrier rates is also one of the most effective eCommerce shipping fulfillment solutions where you can integrate with various carriers in real-time. It will help customers to select and for the services they want.
You can also offer flat shipping rates. To do that, you must refrain from overcharging or undercharging your customers. It would work best if you had a standard product line with similar weights and sizes.
You must have an eye on profit margins to succeed in the eCommerce business. Shipping represents a considerable expense for online businesses; hence, you may lose a lot of money without conducting proper research.
To finalize the pricing strategy for eCommerce stores, you need to map out all costs included in shipping. You must calculate the total price based on product cost, packaging, profit margin, credit card fee, customs or duties, and shipping charges.
Marketing and packaging
The expectations of online purchasers have evolved, and eCommerce businesses need to amp up their packaging and presentation to accentuate customer experience.
By using innovative packaging and presentation, you can create a unique unboxing experience for the customers. You can also use packaging as a marketing channel to create an exceptional customer experience and use it as an extension for the brand.
It is crucial to pack the products before shipping to ensure their safe transport. You could use envelope or box packaging. You may also explore other packaging options like poly mailers to deliver products that do not require cushioning or structure.
Poly mailers may offer you several benefits. They are adjustable to different weights and volumes and weigh less, reducing shipping costs significantly.
The cost of shipping options is primarily based on weight or size, so it is advised to keep the packaging small. It will effectively reduce shipping costs and prevent packaging costs from affecting the profit margin. You may also want to consider carrying various packaging materials and sizes based on your product line or business.