How To Save International Shipping Costs
Shipping is an essential part of global logistics. Even though shipping your products means you have to wait a few weeks or months, the shipping industry enables small and large businesses to tap into global supply chains. Globalization might have solved your sourcing problems, but the costs incurred during transportation irreparably consume your margins. So here are a few nifty ways that you can reduce your international shipping costs.
Discounts are the primary tool used to lure shoppers in international markets. The intensity of the competition in the logistics industry is fierce but to the shoppers' advantage. Conduct thorough research to establish which shipping companies offer discounted prices. Packaging items purchased in bulk are cheaper than those bought individually. Therefore, you should buy your air-fill, poly mailers, dunnage, bubble wrap, and boxes in bulk. The upfront cost might be high when purchasing in bulk, but you will enjoy the reduced fees, especially if you plan on shipping frequently for a long time.
Ship From Nearby
This trick is simple but effective in cost reduction. When the shipping costs are high, perhaps your supplier is too far away, and the shipping time increases significantly. The wise option is to select a supplier who has nearby outlets. Companies with numerous fulfillment centers will substantially ease the shipping process. Typically, your products will travel for shorter distances from your premises to the market. You also minimize the indirect costs such as overhead costs and loss of customers when waiting for the shipment.
Package dimensions determine the volume that shipping companies charge you. Therefore, why would you ship a small item in a large box? Always minimize the dimensional weight of your package by transporting your items together. For example, computer parts for a workstation computer could be sourced, packaged, and shipped together instead of shipping separately. The compactness of the package ensures that you optimize the package available to reduce shipping costs.
Choose the Right Insurer
Insurance is a critical aspect of the international shipping process. Ideally, it provides compensation if your shipment suffers damages during transport. When taking shipping insurance, conduct a comparative analysis to establish the differences between the insurance cover offered by your shipping carrier and that provided by third parties. Other than the premium costs, consider the risks covered, the compensation terms, and exemptions. Although you will incur an additional upfront cost, you will not have to lose your entire shipment or damage customer relations in case of an accident.
Reduced shipping costs can help your business grow by converting the saved amount into discounts for your customers, reinvesting it into your business, or expanding your operations. You can cut down on shipping costs through discounts, shipping from nearby, proper packaging, and choosing the right insurer.
Contact a local shipping service to learn more about international shipping.