E-commerce in Canada is expanding, with consumer revenues estimated at more than $20 billion dollars. This accounts for about 7% of the nation’s total retail spending and is only expected to increase in the coming years.
In an ever growing e-commerce market filled with consumers who have come to expect free or discounted shipping, it’s critical to stay competitive with other retailers.
Shipping expenses usually make up the largest cost component of supply chain management and can account for up to 11 percent of the overall budget.
As a small business owner or company, have you felt the “true cost” of offering discount shipping, in your own profit margins?
We’re here to help with that. Here are tips to find the best discount shipping rates in Canada
Negotiate With Multiple Couriers
Harness your negotiating power by obtaining quotes from multiple couriers. Almost all couriers offer pricing scales based on volume. If you ship a large volume of packages, use it to your advantage to secure a discounted shipping rate.
Oftentimes, couriers will be more incentivized to offer a lower rate, if they know that they are competing for your business.
Strategize Your Shipping
Analyze your shipment and delivery trends to better understand their frequency and patterns. Once you better understand the shipment and delivery trends specific to your company, you’ll know exactly what services will work best for your specific needs. Use this information to your advantage when negotiating for shipping discounts.
Hire a Regional Carrier
Regional carriers often provide the same services as larger shipping companies, but at a lower rate.
Given that shipping services are limited to a specific region, businesses don’t have to pay delivery area surcharges and save on shipping expenses.
Regional couriers may be a good choice for high quality service to a geographically concentrated market. Given the concentrated regional market, regional companies often provide more flexibility as well as wider time slots for pick up and delivery.
They also often have strong local relationships and are able to provide more personalized service.
Additionally, in the event of a loss of signal or GPS, you can have peace of mind in knowing your packages are being handled by an experienced regional carrier familiar with the area, and will get your package to its destination.
Adjust Your Packaging
Using your own packaging could incur “dimensional fees” if your box doesn’t match the size regulations. Avoid additional charges and use packaging provided by your carrier for the greatest shipping discounts.
The cost of shipping a package depends on its size and weight. Pack your products tightly and in as small a box as possible to reduce package size and save on shipping.
The cost per package may be small, but they quickly add up to a significant amount of savings on shipping costs.
Factor in All Shipping Costs
Carriers may include more than 75 special charges, including weekend delivery fees and fees for obtaining a recipient signature.
If your customers pay for shipping, make sure to include these extra costs when billing the client, so they don’t come out of your bottom line.
Use Technologically Advanced Systems
Utilize a courier service that utilizes advanced technology and a streamlined inventory system to handle most of the logistics to save time, manpower, and money.
Use online systems to easily conduct your transactions including entering orders and tracking shipments.
Entering your orders online eliminates the need to write waybills and saves precious time and manpower that can be utilized for something else.
Find a courier service with effective and transparent communication systems in place. Make sure that you hire a shipping service that provides real-time updates and status reports on your packages.
In the event that there’s an issue with your shipment, the communication system should work to quickly identify and solve the problem and save you precious time and money.
Buy Insurance from a Third Party
Carriers can often upcharge for insurance; however, third-party companies often charge less. The savings can add up quickly, especially if you ship more expensive products.
Find a Courier Service With Flexibility
A courier service that can offer flexibility is a great asset to any business, given the fast pace and fluctuating needs of any given business.
A local family-owned courier service is able to provide the flexibility only a regional carrier can.
Being local, they can provide wider delivery and pick up times as well as a greater variety of delivery options including but not limited to: same-day, overnight rush, or immediate delivery.
Use a Trustworthy Courier Service
It’s important to keep shipping costs low; however, it’s also important to hire a trustworthy shipping company with excellent customer service and a good reputation.
Look for a courier service with experience, positive reviews, and a dedicated customer base.
Another sign of a trustworthy courier service is one with happy, well-treated employees. Find a shipping company with a low turn-over rate and rest assured in knowing that your packages are being handled by dedicated employees who are invested in the company and adhere to a standard of quality.
Invest in a quality courier service and avoid the hassle, time and money lost when using low quality carriers that don’t value their customers.
Find a courier that places an equal value on high quality service as well as pricing for this economy’s competitive market. A courier service that provides reliable, positive experiences for you and your customers, will encourage repeat orders and help your business grow.
Find the Best Discount Shipping Prices for Your Company
Now that you know what to look for in a courier service, take the time to research and make the right decision.
Research your company’s shipping patterns and costs and find a courier service that best fits those needs for the best discount shipping deal.
If you’re local to the Ottawa-Gatineau region, you’re in luck. At 10-21 Sunrise, we offer punctual and reliable delivery services at competitive and flexible prices without compromising excellence in service.
Get in touch with us to learn more.