5 Simple Yet Effective Ways to Reduce Shipping Cost

Many a time, higher shipping cost eats profit of the business. Offering discount on partially shipping charges would be a riskier option as no customers like to pay an amount towards shipping services. 

In other words, we can say that customers like to purchase products with free shipping facility. There are many customers leaving shopping cart empty due to high shipping charges.

According to the survey, 44% of customers abandon shopping carts because of high shipping costs or absence of a free shipping facility. Neither customers nor merchants want to bear shipping charges. 

Looking for that, here we come with some effective tips that help eCommerce business to reduce shipping cost and make more profit.

Earn Reward Points from Credit/Debit Cards

Usually, eCommerce retailers make payment for bulk purchases with their debit or credit cards. Thus, eCommerce retailers are earning huge reward points for making purchases with Visa or MasterCard gift cards. ECommerce merchants can use such gift cards for paying shipping charges.

Offer Free Shipping with Minimum Purchase Order Value

It is advisable to offer a free shipping facility with minimum order value rather than the minimum number of purchase items as many customers may purchase low-priced products to get the free shipping facility. 75% of online shoppers in Canada have purchased additional stuff in order to set minimum purchase limit and qualify for free shipping.

5 Simple Yet Effective Ways to Reduce Shipping Cost

Hire Different Carriers

It is not sensible to have flat shipping rates from one carrier. Various carriers offer different rates according to product types and characteristics like height and weight, fragility and build, and price. It is sensible to have different carriers’ ship different products that provided they are offering low shipping cost.       

Set Product Price According to Product Cube Value

Carriers’ shipping rates depends on the space that taken by product on shipping vehicle.  Thus, you may be losing money on large shipping products but of lighter weight. So, it is advisable to price smartly especially for larger products of lighter products.

Talk Carriers for Negotiated Rates

It is fact that the lowest shipping rates invite higher profit. You might be an excellent negotiator, but the carrier also wants to better incentives to offer you least cost. It is advisable to commit them to offer higher shipment volumes and they might be happy to provide you shipping at low cost.

Thus, these are some effective ways to reduce shipping cost and earn maximum profit. If you want to enhance shipping facility of your online store then hire Magento developer for adopting Magento eCommerce development services from us at the most competitive rates.