Online businesses are on a roll thanks to the power of the internet and marketing that help people buy things from the comfort of their homes.
However, a lot of us think that an online business is very easy to run and there’s a little chance of suffering a loss but that’s not true.
In fact, many experts believe that it’s harder to run an online business than to run an offline business. Plus, the line between online and offline businesses is also gradually thinning as almost all businesses are now on the web. Even if they do not sell online, they promote their services or products via the internet.
There are many things that need to be looked into when running an online business and shipping products to the customers is one of the most important ones.
Online businesses suffer great losses every year when their shipments return. In fact, statistics say that around 40% of clothing merchandise alone is returned from customers. If we consider the US, around $260 billion worth of merchandise is returned to retailers on a yearly basis.
If you think only offline businesses have to suffer this then you are wrong. Online businesses have to suffer through such troubles as well. Think of Amazon and eBay. These are online businesses that have their own shippers and contacts with third parties like Fbabee.com to take care of shipment.
With that being said, poor shipment is one of the major reasons why sales fail and products are returned. Some of the main reasons why buyers return shipment is late delivery and poor packaging that can lead to even goods getting damaged.
Sometimes, the cost of shipping can take away a large part of profit from business too, especially when shipping costs go higher than expected.
Therefore, it is important for business owners to not take product shipping lightly.
Here are 5 tips that you can follow when shipping products:
- Product Weight
It’s quite obvious that every business owner considers the shipping weight before sending it over to a destination. However, many business owners make mistake when it comes to packing and weighing.
There are some products, such as glass products, that need extra packaging because of their fragility.
Most shippers mention fragile on the package to ensure the items are well taken care of during the journey. However, mentioning fragile is not enough. You need to ensure they are properly packed so that they do not get damaged.
Some pack goods between pillows, bubble wrap, foams or spongy materials so that they do not break. These extra layers increase the weight and the cost as well.
Therefore, it is essential that you weigh the product right at the end when it is fully packed.
- Choosing The Right Shipping Cost
Consider these 4 things to calculate the right cost of shipping:
- Package size.
- Package weight.
- Country (Destination).
- Tracking (optional).
- Insurance (optional).
This will help you calculate the right profit margin as well.
- Free Shipping Strategy
Many customers abandon a purchase when they see the shipping charges after making an order online. However, as an online business, you know that you can’t neglect the shipping cost or else it would disrupt your profit margins.
What if you could offer free shipping to attract customers to buy more? What you can do is increase the price of the product to an amount that it covers the shipping cost and then offer free shipping. It’s a tactic that most businesses use and it actually works too.
You can even put a slab, i.e: customers have to spend a minimum of $100 or more in order to avail free shipping.
- Brand Mark
Use the logo or slogan of your business to market what you have to offer. A simple trip is to place the logo on the carton so that buyers know more about you.
- Quality Packing
Do not try to decrease the quality of packing or custom boxes just to increase your profits because quality packing is one of the reasons that customers trust you.
Following these 5 shipping tips will definitely help you win the heart of your customers.
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