Top 8 Small Business Shipping Tips to Optimize Profit - Ryviu

February 16, 2023
Anna Pham

The start of the new year is the ideal moment to launch the new small business of your dreams. You have undoubtedly invested an equal amount of effort as a small business owner in determining the ideal pricing for your goods. However, have you also given consideration to the price of shipping your product to the customer? What shipping methods do you use for your small business? The solutions are here.

A sound shipping plan will open up a lot of chances for you to expand your business, from cost savings to improved client experiences. We've compiled the top 10 factors for you to think about.

8 Small Business Shipping Tips

1. Understand Shipping Costs


Although shipping firms take a variety of things into account when determining how much to charge for their services, there are a few standard elements that will influence your shipping expenses.

What is the distance of your package? The distance between the origin and the eventual destination of the package will significantly affect the cost.

Size and weight: The shipping cost will increase as the product gets larger and heavier. Remember that some carriers may charge more for bulky shipments, even if they are little.

Volume: If you're transporting lots of packages, you'll probably qualify for a discount on your courier service; this is especially true if your items are going to close-by locations.

Speed: Overnight shipping is popular, but it can be expensive. There are several possibilities for speedy shipping, but they will raise your prices.

The most crucial step in attempting to comprehend distribution costs is to read through a carrier's shipping policy to determine exactly how the cost of the service is affected and whether it will be practical for your company.

2. Determine Your Shipping Strategy


You may begin developing your shipping strategy now that you are aware of the various elements that will impact the price of delivering your products to your customers.

The locations you'll ship your items to are a crucial one. While you certainly want to sell to the largest market possible, it's a good idea to set a maximum delivery distance when you first start selling. You can test the market and control costs by doing this.

The shipping company—or companies—that you want to cooperate with comes next. This will have an impact on how quickly you can deliver your goods and the charges you'll either have to bear yourself or pass along to your customers.

3. Be Aware of Delivery Times


Delivery timings have a significant impact on your customers' experiences, which can turn one-time customers into devoted ones and support ongoing business growth.

Same- and next-day delivery options are optional for companies selling non-perishable goods; they are not necessary. Therefore, you can continue using land- and sea-based shipping techniques, which take a little longer but result in cost savings on deliveries.

Customers can select speedier distribution methods from you if they so choose when placing their order. Just make sure that your shipping policy specifies the costs and deadlines for both ordinary and expedited shipping.

In this case, balance is crucial. Pick distribution strategies that won't reduce your profit while enabling you to deliver your customers' products in a timely manner. Remember to clearly explain your policies to your customers so they know what to expect.

4. Use Shipping Software


You most likely play many different jobs as a small business owner. There is a lot to accomplish, from producing products or locating the goods you wish to sell to handling the books and selling your goods. Automate as many processes as you can.

You may control every facet of your deliveries with the aid of shipping software. Based on the shipping business you use, these tools will enable you to retrieve the most recent prices for particular package sizes and weights. Some even offer the capability of creating and printing shipping labels.

Choose a shipping software choice for your company that enables you to track the specifics of all of your shipments when you are looking for shipping software. This will enable you to identify the locations you ship to most frequently and the cost of your delivery. Both of which can support you in making decisions that will improve your bottom line by streamlining your business operations.

5. Compare Carriers


Neither the shipment strategies nor the small businesses themselves are the same.

Others may offer better value for larger boxes while some may offer flat pricing shipping specific standard-sized shipments. It's crucial that you carefully weigh all of your options so that you may learn what each one has to offer and what it lacks.

When looking for suppliers, there are a few considerations to bear in mind. As was already established, quickness is crucial. The days on which the shipping business delivers are also. While some carriers charge extra to deliver on the weekends, others don't.

6. Prepare Your Packaging


The sizes of your packing may affect the price that carriers charge, as we've already indicated. You can avoid overpaying for boxes, bags, or unused fillers like bubble wrap or packing peanuts by correctly measuring your packaging.

Your delivery expenses will also be impacted by the package you select. A well-packed corrugated box with a nice letter inside will preserve your deliveries and save you a boatload of money instead of a costly rigid box with your company emblem stamped on the outside.

The cost of packaging can be significantly decreased by ordering in bulk. When you buy packaging in bulk, many vendors will give you a discount. One excellent technique to lower your packaging costs is to plan your packaging strategy and order your boxes and other supplies in large numbers.

7. Get Insurance


Accidents do happen, therefore it's critical that you have complete shipping insurance to safeguard both your company and your clients. A shipping insurance policy can shield you from responsibility in the event that goods are either lost in transit or arrive slightly damaged.

Either choose a third-party insurer or choose the carrier you employ for deliveries to insure your items. Despite being more practical, the first option is frequently more expensive. Carriers frequently impose fees to each item sent ranging from $1 to $100. Typically, third-party insurance company prices for coverage are around half of that.

When it comes to shipping insurance, it's crucial to evaluate suppliers and shop around. Numerous insurers will provide payments for broken or damaged items, lost or stolen packages, and egregious delivery delays, but this is not always a given.

8. Offer Free Shipping


The majority of the advice on this list is centered on assisting you in choosing shipping options that benefit your company by cutting costs. Customers are curious about free delivery. But it also offers significant advantages for your company.

Customers often prefer buying from companies that provide free shipping over those who charge for delivery. Additionally, if there is a minimum purchase amount required to qualify for free shipping, customers are more likely to make larger purchases.

NoReduced odds of cart abandonment are achieved by offering free delivery. You must make sure that the price of your goods includes the cost of shipping, though. You must compile details regarding each of your shipments and the accompanying expenditures in order to achieve this.

The cost of shipping a typical order or a particular product can then be calculated. You can then decide to include free shipping and add this sum to the base price of your goods.

Lower Your Shipping Costs to Increase Your Profit Margins


Shipping costs are high. You might need some time to fully comprehend shipping. Thankfully, there are a few tactics you can use to lower shipping costs for your small business.

Optimize your packing: By rightsizing your packages, you can cut expenditures on both packaging supplies and transportation. Using poly bags or envelopes instead of boxes is a fantastic way to accomplish this.

Reduce shipping distances:The distance from the delivery point will have a significant impact on your distribution costs. To cut costs while beginning a small business, it's advisable to concentrate on delivery locations that are close to major distribution centers.

Look for deals: Due to large delivery, many of the Ecommerce sites small businesses utilize to sell their products offer lower shipping prices. Find out more about these chances and seize them.

Choose where to buy cargo insurance: To cut your shipping insurance rates and lower your costs, choose a third-party insurer.

Keep an eye on prices: Shipping costs fluctuate frequently depending on the services provided, the distance traveled, and the size and weight of the delivered products. Knowing this might assist you in locating the greatest prices for the services you require.


To balance cost reductions and client experience is your ultimate objective. One method to achieve this is by correctly sizing your packages and utilizing the appropriate packaging material. Another is, when you initially start sending items, to limit delivery to major cities that are quick and simple to go to.