Tips for Saving Money on International Shipping
The reason why anybody will require tips and advice when it comes to saving money on global shipping is simple: there are many factors that impact the cost. For an ecommerce site, the normal trajectory sees fulfillment and shipping handled in-house at first, then outsourced fulfillment allows goods to be shipped further afield and in greater quantities. And then things go global.
Each one of these steps up is bigger than the last, and it requires more things to be factored into the budget, more long-term planning to be done and, most importantly, a cost-cutting analysis to be made of the options available.
However, because these options are so multifarious, it makes this calculation often difficult. When you move to ship globally, you need to think how your orders are going to be sent, what packaging is to be used, what courier is going to send them, what the maritime security is like for that courier, and what taxes, duties and tariffs are awaiting in the destination country. It is a big job that requires a detailed plan.
Nevertheless, if you find yourself facing this challenge, then give yourself a quick pat on the back. Investing in international shipping is one of the clearest indications that a company is on the right track. For one thing, you can afford it (which reflects well on profits and cash flow), and for another, you now have access to a much wider market and have the chance to expand your niche into other countries.
What to Ship and How to Ship It
Before going on to cost cutting measures though, it is wise to consider your inventory. For example, if you will be shipping individual orders of bulk designer sunglasses, then it’s obvious that you would look into combining these individual orders in as few shipments as possible, possibly even sending the whole bulk order to a distribution center in the destination country.
Wholesale eyewear company Olympic Eyewear advises that wholesale orders are the easiest to ship onwards because their whole business model relies on selling items which are usually bought on impulse and in large amounts. The demand is likely therefore to be stable, and you can send large amounts of the product in a single shipment to cover the longest and most expensive part of the journey.
Of course, you’ll sell other things too. When sending larger and more expensive products, however, you might still have the option to group them in as a few shipments as possible.
Further Cost-Cutting Tips
Here follows some other ways you can save money:
Stick With a Courier
And, of course, find the right one first! A good courier is one that will help you formulate the cheapest way to send your goods. Stick with a good one though as constantly changing your international courier is a sure way to have to deal with various rates across the same products.
Use Eco-Friendly Packaging
“Using cheaper materials” makes it sound like you are cutting corners. Nevertheless, if you can keep packaging costs down by using cheaper materials which also happen to be more eco-friendly, then any bad press disappears – and you can make a saving.
This means valuing the product and everything else you need to ship it. If you manage to do this, then you have the information and data you need to insist upon the right shipping rates.
Ultimately, international shipping is a sure way to reach more customers and ultimately see bigger profits. However, there is the hill of investment and planning to get over first.