Automated shipping reduces effort, errors, costs and increases performance, can track orders effectively, improve shipping quality and process bulk orders with the click of a button by effecting fulfillment from the warehouse or store nearest to the customer.
Logistics are an important component of the strategy for any ecommerce business to succeed. There are many arms to this business and shipping is a major part of it. Unless smart shipping is implemented, it can become a major obstacle to the progress of your company as shipping expenses account for almost 33% in cross border trade.
Smart shipping solutions can impact your business positively. The answer does not lie in just offering free shipping, but in strategic shipping which can lead to gaining an edge over your competitors. Smart shipping solutions have been established as a ‘powerful point of differentiation’ for a brand and it is indeed advisable to grow your business.
It is interesting to take cognizance of research which says that 93% of consumers regard shipping as important in their shopping journey and 88% love the free shipping option. They have claimed that their shopping expenses have gone up with free shipping but we need to know where the merchant stands in such a scenario.
The merchant should, as experts from Eunimart suggest, display their shipping policies on the website and need to decide whether free shipping serves their purpose.
Some important tips from us:
- Offering the right shipping rate is crucial to your business.
- Offer the right shipping options.
- Ensure the correct weight and dimensions of a product. This can impact your shipping solutions heavily if not done properly.
- Where domestic shipping is concerned a flat fee or even free shipping works well. However free shipping is not the best option for the seller because he still has to meet the cost and for that, he must have reserves.
- The pros and cons of free shipping are it has positive conversion rates but since you need to pay the price it is advisable, according to experts, that you need to set a threshold for this or offer it on certain products only. Ensure your profit margin before offering free shipping.
- Let rates be based on zones meaning Pacific or Atlantic and scale it once you radiate outwards. Flat and table rates thus help you to safeguard your company from any losses that might be incurred because of free shipping.
- Yet another option could be to put up real-time shipping rates directly from the carrier on your site so that all complexities and hidden costs are avoided and it adds authenticity to your rates. You ensure your expenses are covered while the rates can be determined according to the distance, tracked with real-time calculations. Have a discount if necessary and at the same time have a surcharge to cover your fulfillment and packaging.
- Balance your revenue needs with promotional campaigns by mixing and matching shipping offers to get the best of the solution.
However, a tip from Eunimart on how you can offer free shipping and still make money implies that an offer of free shipping should be made only to limited areas. Decide whether the shipping cost can be marketing expense, determine the budget and where you will sell, show delivery times clearly, use shipping as a promotion and offer surcharge excepted rates.
Ensuring that company silos do not block the strategy is important. Hence, coordination between teams is of utmost value in ensuring that you profit while making your customers happy. For this, we have a few unique solutions and tips just for you.
- What is your goal? Define and Measure. Goal setting is a primary requirement in any business and the owner or seller needs to decide what strategy he will follow to ensure his goals. At Eunimart we feel that your goals should include decreasing costs, increasing average order value, increasing conversions, expanding your market or improving operational efficiency through effective shipping solutions.
- You can’t do it alone so go for a strong team. Assemble the team that best suits the purpose. Remember that every department is involved with shipping in some way or other. It is extremely crucial to identify the right people for a job after having a dialogue with the stakeholders concerned within your organization.
- What is your shipping strategy? Most ecommerce sellers sell globally. The shipping solutions are however of value to the company both for domestic and international deliveries. Great shipping strategies help your business in a number of ways. The idea is to make cost-effective but smooth and fast deliveries. Hence the secret is to conduct thorough market research on carriers. Local couriers also offer competitive rates and can help bring down your shipping cost. The shipping solutions should not be randomly picked because any slip can affect cart conversion adversely and create a band of happy customers; the ultimate goals of ecommerce businesses.
Make sure you use the right software and automate your business in order to give a smooth shopping experience to your customers by making use of all the tips from Eunimart and safeguard your finances simultaneously. Automated shipping reduces effort, errors, costs and increases performance, can track orders effectively, improve shipping quality and process bulk orders with the click of a button by effecting fulfillment from the warehouse or store nearest to the customer. They not only reduce the shipping cost but increase the reach and you can sell abroad without worries.
Try Eunimart’s suite of solutions to automate your business and save 30% costs with our Smart Shipping solutions to sell across 85+ countries.