Amazon employs three main strategies to fulfill customer requests. These strategies reduce their shipping costs and improve their processes. Even if you have a fraction of its scale and infrastructure, you can employ these strategies to save you money.
Take a look at your carriers. Sometimes the contracts negotiated by companies are overdue for a good review. Often, costs can be cut by looking at shipping fees, insurance fees and weight and dimension factors.
Manage your own processes. It’s important to look at what you pay currently for each product or each mailing. There might be ways you can save, depending on where the mailings are being distributed and how large these mailings are. Managing your own processes also means looking at your current database for address corrections. Finally, are you shipping the least expensive way? Sometimes, first class isn’t necessary.
Create urgency. If you’re shipping on demand, offer a discount if delivering later means it’s less expensive. And consider making an offer to increase conversions. “Order within x days to receive a discount” can increase the urge to buy, providing more business to your company.
For more information on how you can compete in the world of ecommerce, check out the full article from Practical Ecommerce.
Get started. Complete Mailing Services is ready to help you put these ideas into practice and save you money. Give us a call at 718-238-2919 – we can help you review your shipping costs and provide feedback on ways you can save.