Tips to Save Shipping Cost

Summary: While hiring domestic shipping services, the business owner often needs to remain careful about a number of matters that might lead to extra expenditure. Here are a few suggestions for the shippers on how to lower down costs of freight service to increase overall profit margin.

An unprecedented surge in the transportation cost of goods can lead to unplanned expenditure on the end of the business owner. As a result, the product gets costlier, which can have a direct hit on the overall sale of goods. That is the reason; it is always a wise decision to carefully dodge extra cost of domestic or international shipment.

If the business is not a big one and it does not usually have a large stock to transport, the business owner needs to be a little smarter to get shipping prices slashed. Here is a list of tricks to lower down the cost of freight service. Keeping them in mind can make a business owner make more profit than that in usual condition.

1. Delivery requirements should match the price: Before agreeing on a shipment procedure, the business owner should tally his shipment requirements with the price he is able to pay. There is no need to hurry the transport process beyond necessity. There is no doubt that a quicker delivery process will surely charge the business owner higher than usual. If the products to be delivered can be shipped in common shipping conditions, there is no point paying higher by unnecessarily adding extra facilities to the process.

2. Mode of shipment: It requires a judicious decision to understand when to ship a package by sea freight and when to do it by air. The charge for shipment also depends a lot on the size weight and volume of the package. Unless an express delivery is an absolute necessity that can be avoided by shipping goods well ahead of time. Express delivery requires to pay extra as in most cases the shipment process is done through air freight.

3. Take help of a postage meter: The portable machine of postage meter helps you measuring the actual weight of the package for shipment. As a result, the business owner only pays the exact shipping charge for the same. There is no need to buy additional postage just to stay safe. The shipper is spared from using over-postage as a cautious step to avoid legal complications during transportation.

4. Avail freight consolidation service: If the load of package is between 150 and 20,000 pound, it is considered as product weighing below truckload. For goods weighing below truckload, the best process of transporting is doing it through consolidation service. In this method, goods from one shipper are loaded along with the same from other shippers. As a result, a full truckload is ready for shipment, while the charge for the same gets shared among multiple shippers.

5. Performance of the freight service provider: Quality of service offered by the transport company might not have a direct bearing on the shipping cost. However, it is profitable for the shipper to keep an eye on the scorecard of the company. If the service provider does not follow the shortest route for transportation or the smoothest journey process, chances are high that the business owner gets burdened with extra shipping costs.

To lower down the cost of domestic shipping services, it is of prime importance to keep the above mentioned considerations in mind. Otherwise, the shipper might end up losing out on the business profit due to extra logistics charges.

Author’s Bio: Kathlin Smith is owns her logistics service providing company that is responsible for offering quality transportation service to businesses of all sizes. While sharing her experience gathered during ten years in entrepreneurship at a domestic shipping services provider, she tries to help shippers with bits and pieces of effective, insider’s information.

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