Subscription boxes and shipping: what you should know
How to save money
Shipping is an integral operation in your subscription box business and needs to be taken seriously if you want to make money. Slow deliveries will do more damage than you can imagine.
Saving even one dollar on shipping can make a huge difference on your cost sheet. You tend to get what you pay for, however, if you go the cheap route.
What exactly goes into shipping and what are the key factors? Regardless of the carrier you choose, consider the following as you make shipping decisions.
The Basics: Size and Destination
The cost of shipping begins with size and weight of the product, size of the box, the distance to the destination, and the type of shipping service.
Distance from a major city
The farther your destination is from a major city, the more shipping will cost you. The package has to land in the major city first, in which the provider’s office will then hand off to a courier. The extra charge covers the distance the courier has to travel outside of the city to the destination.
Business vs. Residential
Shipping to a residence costs more because the probability of not meeting someone at the door to receive the package is much higher than that of a business. With the higher chance of re-delivering, the extra cost is placed to cover that possibility. With a business, there’s an expectation that someone will be available during regular hours.
Signature
Whether or not you require a signature upon delivery comes into play as well. Normally, high value items should require one because you would want to make sure someone is accountable for it. And some items require a signature, such as alcohol.
What about International shipping?
International shipping has a few more aspects you need to take into consideration: required contact information, name and address verification, customs & fees (who’s going to pay this?), retail information & costs, descriptions of your product.
Contact info and description
It’s required that you include the phone number of the recipient because in the chance that issues arise, the shipper needs to be able to get in touch with them. The more information you can provide, the better. Also be sure to verify the name and address as this costs money to change after it’s been submitted.
The description that’s required of international orders needs to written with care as customs can easily mis-interpret it and reject its entry.
No zip code? No problem.
Sometimes the destination has neither a zip or postal code, like the Seychelles, and may throw you off when filling out shipping information. No need to worry, the destination city will suffice. Once the package arrives there, the shipper will have a local office that understands the area better and will be able to complete the delivery.
Customs
Be sure to check with your provider as to who will pay the customs fees and tariffs. The cost of these depends on the value of the item and the country to which you’re delivering.
Shipping won’t cost you the arm and leg you fear losing so long as you communicate often and clearly with your provider. Staying on top of collecting the appropriate information will ensure you suffer minimal issues.
