New Business? Shipping Considerations
When you first launch your new business, specifically a physical product business, you will likely use the national postal option.
It is perfect for smaller items that only need a small number of postal options, and it is cheap too.
Over time though, the higher the order count, the more difficult it becomes to justify four carloads of boxes to the post office.
As you grow, you will be looking towards other transports options, outsourcing, and more.
If you have a florist business or a baking business, you might prefer to make local deliveries on a set timetable. A car that is dedicated to your business only can be a great investment.
Usually, a company car can come with some nice tax breaks and a form of mobile advertising.
Once upon a time, you had a business shipping 1-3 parcels a week, and now you are considering serious logistics. Even if you are not quite there yet, it is essential to take some time to research the cost of warehouse and shipping being outsourced.
There is a lot to consider, like dispatching software for aggregate trucking operations, how much warehouse space you need, would you like a shared warehouse or your own private space.
How often will you ship, is there an option to pool shipments, what are the taxes like?
Your customers want it all, they want it fast, and they don’t want to pay for it. Your shipping methods will impact if a person makes a purchase or not.
The closer you can get your products to your customer in the first place, the less time they will have to wait overall. (That is where you cleverly place warehouses come in).
The last-mile delivery is essential, as they are the ones who will be handing off your parcel into the eager hands of your customers. Not all last-mile delivery companies were made equal.
Once you have some competitive quotes, research the company even further. How are the client reviews? What about the end-users? Are they known for having shipments go missing?
In most cases, a countrywide network with links to other smaller shipping companies can be the best option.
You also need to think about the possibility of making free postage an option for your customers.
The packaging is a chance to do something good. You can go for lightweight, low carbon-footprint packaging. Think about using little-to-no plastic so that people aren’t overwhelmed.
Use the shipping boxes as a place that you can add more of your advertising. Put stockings, logos, and your websites on the box.
This will make sure that your branding gets more visibility and your customers enjoy a complete experience.
Just remember that the average small business will spend up to $388 on shipping, and that figure will grow as your business does.
It is essential to carefully consider your shipping options and how you can best serve your customers and facilitate growth at the same time.
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