Ecommerce Shipping Solutions: The Ultimate Guide

If someone clicks on"purchase" or clicks the "purchase" link on your site You've reached the finish line, aren't you? Almost. Now you need a seamless online shipping procedure to maintain the sales and keep new customers to stay.

Use this guide to determine the best strategy to delight shoppers all the way through the sales funnel, from when they put the product they want to buy up to the moment it is delivered to their doorstep.

Options for fulfillment of your shipping orders for your store

Fulfilling orders for shipping can be very complicated. The first thing to determine when developing your ecommerce shipping strategy is who is responsible to fulfill the orders. Will you fulfill them yourself? Will they ship direct from the manufacturer or wholesaler? Or will you contract with a third-party logistics company (3PL) to manage all your ecommerce order fulfillment?

Let's take a look at the options and walk through some of the benefits and drawbacks of the various options.

1. Ship orders yourself

If you're running a small company who produces its own products, you may find it easier to send your products directly from your own offices or warehouse. This is more affordable particularly if you keep all your inventory within your own office or home. However, it does require more work to maintain.

There are advantages and disadvantages in managing the shipping of orders to your store's online shop yourself.

The advantages of sending orders yourself:

• You are in complete control of the ecommerce shipping process and you can tailor it to your needs.
• Build relationships with customers by hand-writing thank you notes or including small gifts in their orders.

Pros and cons of shipping yourself orders:

• Shipping can be time-consuming, particularly if you have a high volume of orders.
• It is possible to buy shipping materials and equipment such as containers, labels, and tape.

2. Dropship your orders to customers using a dropshipping service

Instead of ordering goods wholesale and then storing them at your warehouse while you wait for orders to come in it is possible to have your suppliers ship them directly to your customer. If they don't offer this option, you might shop around for companies that make similar, or identical, products and contract with them to ship orders directly.

Dropshipping is a fantastic option for e-commerce shipping fulfillment strategies also for larger companies. Wayfair started its start as a dropshipping-only firm, and later expanded into using its own warehouses, in addition to continuing to use dropshipping as their primary model. Houzz, a competitor of Wayfair, still uses the dropshipping model solely. The year before, Houzz earned $500,000 in revenues. It's not bad for a business that doesn't design, manufacture and ship any product it sells.

Dropshipping is beneficial, but it also has some downsides. This article will discuss the advantages and disadvantages of dropshipping so you can choose the right option for your business.

Pros of dropshipping:

• It's low-cost. You don't need to invest in inventory upfront, and you don't need to employ staff to run your own shipping operation.
• You can be more flexible in the items you offer. You can easily adjust the products you sell as well as not be tied to an inventory. This gives you the capability to swiftly adapt to fluctuations in customer demand.

Cons of dropshipping:

• There is less control on the product's quality. With Dropshipping you're trusting the provider to provide quality products. If they do not meet your standards, it can be a negative reflection on your company.
• More lengthy and unreliable time frames for shipping can prove frustrating for clients and result in lost sales. Since you're using an outside company to manage shipping, there's always the possibility of delays. If you're using several dropshipping companies, products in the same order might be delivered in different boxes at different times, which can lead to customer confusion and increased customer support tickets.
• The shipping issues may take longer to resolve. If you handle shipping yourself or work with a 3PL company, you can resolve customer-related issues more quickly. If you're using multiple dropshipping firms, you could be experiencing delays in communication which prolong the time it takes to resolve the issue of a complaint from a client.

3. Ship orders with a third-party logistics (3PL) service

If you're a business that purchases multiple items from different producers, but you don't have the money, time, or resources to do your own warehouse management it is possible to contract an outside logistics company for all of your online shipping.

It's a great alternative if you don't have the storage space or capability to ship yourself, but it can be costly for smaller companies, based on the volume you average for transactions.

A few pros and cons of using a 3PL fulfillment provider are:

Benefits of the use of the 3PL serviceare:

• A fulfillment company can take care of the entire shipping process for you, which includes packaging, tracking and the delivery.
• Many of them have partnerships with large carriers. This will help you save money on cost of shipping.
• They can scale up quickly to handle spikes in demand.
• You don't have to hire an employee of your own to oversee shipping and fulfillment, which reduces your time spent on management duties.
• You don't have to keep all your items in your workplace or at home, which can reduce overhead costs and make your workplace free of clutter.

Cons of the use of 3PL services: 3PL serviceare:

• There is less control in the delivery process and you may not be able customize it to your needs.
• It is possible that you will have to pay a monthly fee or per-order fee as well as shipping costs.
• Certain customers might prefer to deal directly with the shop rather than a third party.

In the end, which option is right for you - whether self-sending via dropshipping, using a dropshipping provider or using the help of a 3PL is contingent on a number of variables that go beyond the ones we've mentioned in the previous paragraphs. You'll need to weigh the pros and cons of each alternative. At the end of the day you could even settle to combine a variety of fulfillment solutions. It's not necessary to select just one!

Methods and shipping carriers

Whichever fulfillment solution you select, you'll have to be familiar with the different shipping companies and techniques, since you'll need to incorporate information regarding these into your store's delivery setting. You'll also need to provide specific information regarding your carrier as well as shipping methods to your customers - especially in the event that you're offering them several alternatives during checkout.

A shipping companyis the company which physically delivers your items to your customers. Examples include USPS, FedEx, UPS as well as DHL.

Shipping options are the options and associated rates that customers can choose at the time of checkout, like free ground shipping, $5.00 three-day shipping, or $15.00 next-day delivery. These options are generally determined by the carriers they work with and can affect the price as well as the speed of delivery.

Places, dates and weighs

When you are deciding on the method of shipping and shipping, think through a few key variables:

1. Places. Which states, countries, or provinces will you ship to?
2. Dates. When you think about where your customers reside and the time it will take to a given country, state, or province? Would you like to provide express shipping?
3. Weights. The size and weight of every item affects your total shipping cost.

Locations: Determine which countries you will ship your items to.

There are several aspects to think about when looking to determine which countries your online store must serve. First, think about which markets your customers are within. If your products will be very popular within the United States, then it makes sense to ship there. However, if you're selling items that are more niche or targeted towards a particular location, then you may need to limit the shipping only to that specific region.

A second thing to think about is the expense of shipping. International shipping is expensive, so you'll need to factor that into your decision. There is also the possibility of having to deal with customs as well as other rules, which can add even additional complexity and expense.

Finally, think about whether you have the resources for shipping across several countries. It's a lot of work to manage different shipping regulations, carrier choices, and prices, so make sure you're prepared for that prior to signing the contract.

If you take all of these aspects into consideration and take into account all of these factors, you'll be able to narrow your list of potential countries that you could ship to. From there, you can look into the particular guidelines and rules for every country, to ensure you're prepared to ship there efficiently.

Pro-tip:Beyond extra expenses and logistical challenges, international shipping comes with the legal requirements and regulations for customs that vary greatly depending on country and region. Be sure to partner with an international shipping business that can automate every step of the process as is possible.

Shipping has partnered with DHL and DHL, so it is possible to handle international orders right from your own dashboard. Additionally, you can save as much as 67% on labels, get free pickups, be able to provide clients with complete tracking of their order as well as automated customs forms creation.

Timelines: Establish delivery dates for the carrier, delivery methods, as well as other ways

Determine the best delivery dates and delivery methods for your online store that will best fit your company. It is essential to select the best shipping method to get your products to clients in a timely fashion. If your products need to be delivered quickly, such as cosmetics or food it is more crucial.

Depending on where you're shipping your products and how quickly your products need to be delivered you can offer several shipping options , such as:

• Standard Shipping: UPS Ground, 1-5 business days
• Expedited Shipping: USPS Priority Mail 3 to 5 business days
• Delivery Overnight: FedEx Priority Overnight, 1 business day

By offering fast and reliable shipping, you can ensure that your clients will be content with the experience.

Weights: Package size and weight can impact shipping costs and shipping options.

When you begin shipping orders, you'll need to understand not only the size and weight of your products, but the size and weight of your products after they've been packaged. This will help you decide which method is best for each item or order which is to be delivered.

If your company is based in the United States, the least cost method to send small items is typically USPS Priority Mail 3 Day Small Flat Rate envelope or Small Flat Rate Box. It comes with tracking and quick delivery time, and it's a particularly good deal if you're shipping small however heavy goods. It is possible to ship anything up to 70lbs and still get the same price at a flat rate. Also, you can avail the benefits of USPS giving you a free flat rate envelope or box.

In the case of shipping bulk objects, oversized package fees may be unavoidable, but If you're shipping multiple products in a single order, it may be more economical to break these items over several packages to avoid oversized package charges.

A 3PL service will default to any method that's most economical to them as well as for your company. If your items must be delivered in the same box, even if it's more expensive, or if you want to divide things in multiple packages due to an reason that it might better to place them in one larger box, then you'll have to inform your 3PL so they can follow your procedures. If you're packaging and shipping items yourself, you'll are in complete control and have greater control over the method.

If you're shipping internationally You'll have to look at the options which are offered for every country of destination and decide which will work the best based on the size and weight of the items. While strategies like splitting up packages to prevent oversized shipping charges may be beneficial domestically however, this strategy may not work for international shipments. You'll need to map out the specific ecommerce shipping method to each country that you send your shipments to.

How do you package orders to ensure shipment

Size, destination and weight, the carrier and shipping methods all influence your shipping costs and practices. However, equally important is determining the way your packages are packed. As a business owner, you want to ship orders at the lowest cost method while also ensuring that your products arrive in good shape.

If your products are not properly packed it could result in with poor reviews, return or costly reshipping of orders. If you're shipping items your self, using a 3PL service, or droppingshipping direct from your supplier make sure that products are packed in a safe and secure manner.

You'll want to consider the quantity of each item that could fit into a package , and whether the different kinds of goods should be sent in the same package or shipped separately. It is also important to make certain that your items are safe from the elements and from harm caused by falling, stacking, and the agitation that occurs during transportation.

Ask yourself the following questions about your products to determine the best ways to package them:

• Is it heavy?
• Do you think it is fragile?
• Are they sharp?
• Do you think it contains fluids?
• Does it have a unique quality?
• It could be easily damaged If it is wet?
• Is it oversized?
• Are they very small?

If a customer orders two different items for example, a pair of champagne flutes made from crystal and an assortment of weights for free It is unlikely that you want to ship those together in the same package. Even if someone orders multiples of the same product, you may still want to split the order over several packages to prevent the risk of damage.

In the case of a customer who orders twenty 18" 24" canvas prints from your store, it wouldn't be prudent to ship them all in the same container. The weight of every item can create damage to the canvas below it. In addition, you might be charged more for shipping when you use a larger box.

The bigger and heavier the package is, the more difficult it will be to get the package delivered and not be dropped. Its notable size may also catch the eye of thieves who steal packages.

Smaller packages aren't easy also. Even if your item could fit inside a smaller padded envelope, you may require a rigid cardboard or hardboard insert to keep it from bending or bending. You can also use bubble wrap or any other padding material to ensure your items arrive safely at the destination of the buyer.

If you've got a mixture of big and smaller things in an order it could be possible to combine them when the smaller items could serve as padding (like clothes or linens) or are light and sturdy.

Choosing packing material

Packaging materials that are suitable for large and small packages can increase your ecommerce shipping costs. Not only do you have invest the cash to purchase these materials and make the package heavier, which will make shipping more expensive.

You'll need to make sure that your containers and packing materials can accommodate the dimensions and weight of the items you're sending however that's not the only thing you'll want to take into consideration.

When choosing packing materials for your online orders, think about these aspects:

• Fragility of item
• Brand experience
• Materials that are eco-friendly
• Cost for packaging

Fragile merchandise

If you're shipping items that are fragile, you'll need to use other packing materials than you're shipping non-fragile items. You may need extra packaging materials like bubble wrap or foam, or air cushions to ensure that your goods arrive in a safe manner. Other packing materials could increase your overall package size, but making sure your products arrive safely will reduce the cost of returns over the long term.

Take into account the possibility that your products will be damaged by water or other components during shipment. Consider wrapping products that could be damaged by water in shrinkwrap, a plastic overbag or any other type of waterproof packaging. If you're using bubble mailer, choose a plastic one rather than one made of paper.

Brand Experience

If you don't mind the additional expense, you can even brand the packing materials. Businesses such as the Sticker Mule can provide customized packaging and tape that will allow you to customize all of the shipments you receive from your orders an experience that is branded.

When a box featuring your brand's image will arrive at the doorstep of someone, they'll know it's from you. The presence of your logo can add a little more excitement to a customer's day. Plus, seeing that your company is going the extra mile to package its products can build trust that you're making the same time and effort into the products you offer.

Eco-friendly materials

If you want your business to make use of environmentally friendly packaging materials, there are definitely alternatives available. There are even eco-friendly packaging materials in your marketing strategy. If you're selling items that are organic or natural or just want to promote the use of sustainable production methods It could be beneficial to invest in eco-friendly packaging.

The companies like Hero Packaging, Mushroom Packaging as well as Noissue have sustainable packaging options. Noissue even provides customized branding on your packing materials. Environmentally friendly packaging is sometimes costlier than other packaging So keep this in mind if you're on a tight budget.

Cost of packaging

It is important to ensure that your products get to their destinations safely and that the customer enjoys a pleasant experience their delivery, but you shouldn't spend too much on packaging.

With this in mind With these considerations in mind, let's take a closer review of some of the most popular, cost-effective shipping materials and how they will benefit your online business.

cardboard boxes are among the most frequently used packaging materials for ecommerce orders. They're sturdy and long-lasting making them perfect for protecting fragile items. The cardboard boxes are thin, meaning they will not add a lot of extra weight to your shipping costs. And best of all, cardboard can be recycled, which means it's a great option for companies that care about the environment.

It's possible to purchase cardboard that's made from recycled materials from the very beginning. Most packaging retailers like Uline sell environmentally-friendly cardboard boxes.

Bubble wrap is another choice as a packing material. It's great for protecting delicate products and to prevent damage from transportation. Bubble wrap comes in various dimensions, so that you can pick the best level of protection for your products. Similar to cardboard boxes bubble wrap is cheap and recyclable.

Packing peanuts are commonly used to fill empty space within packages. They also prevent packages from moving during transportation. They're constructed from various materials which include biodegradable ones such as cornstarch. Peanuts used for packing can be recycled, so they're a good option for businesses that want to lower their carbon footprint.

Air cushions are a viable alternative for packing peanuts. They're inflatable bags which are able to be utilized to fill empty space in packages. Air cushions give the same security as packing peanuts however are more convenient to reuse and recycle.

paper is yet another environmentally friendly packing material option. You can use paper to protect fragile products or to fill in empty spaces within packaging. Paper can also be recycled (and it is possible to use papers that is made of recycled materials) It's a ideal option for those who want to reduce the environmental footprint of their operations.

There are many different packaging materials to choose from, and it's crucial to pick the best option for your company. Take into consideration your the shipping requirements, as well as your brand identity when choosing packing materials for your eCommerce orders. With the right products, you will be able to ensure that your items arrive in a safe manner at their destination while making an impact on your clients and having minimal effect on the earth.

Decide on your rates of shipping for your customers

Once you've identified the location you're shipping to, what you're packing it, which method and carriers you're employing as well as how weight and size impact the options for shipping, you'll need to calculate two aspects: your costs for handling and shipping, and the cost of shipping that the company charges its customers.

Although you may use a shipping calculator at any of the top carriers' websites or a multi-carrier shipping software to estimate the cost of shipping e-commerce depending on the method used of shipping, the size, weight and destination, these calculators don't include cost of handling.

It's up to you to decide what works most effectively for your company, nevertheless, you'll need to put these handling costs to a place so they don't eat into your profit margins.

How much are the handling expenses?

It's all about handling, but not the cost of shipping that the company will charge you. Handling can include however, it isn't limited to:

• Cost of supplies for shipping like boxes, padding materials, backing boards and plastic sleeves Labels, tape and a thermal printer.
• Cost of storing inventory.
• The time is spent packing orders as well as arranging for pick-ups for carriers.
• Help with damaged or missing packages as well as providing customers with information on the status of their shipments.

One way to estimate your handling costs per purchase is to figure out what you spend per month on average on the costs listed above and then divide that by the number of monthly orders. Then, you can add the handling cost on top of the shipping cost for every purchase.

If you'd like to incorporate the handling cost in your prices for products, you could divide your average monthly handling cost by the amount of items sold each month. If you sell high-priced items and products that are priced low You may want to divide the handling costs. Cheaper products will likely be less expensive to handle with them than more expensive merchandise, though this may not be often the case.

What's the best strategy for formulating shipping costs?

Live rates

Table rates

Flat rates

Flat rates make it easier to implement your shipping strategy by taking the guesswork out calculation of rates. Charge the same amount regardless of the size or weight of the purchase. This is a great option if your inventory is similar in dimensions and weight, or if a majority of your customers purchase similar amounts. With the default settings you are able to offer a flat fee per item, or a per-centage cost, or even the minimum amount.

Free shipping

Free shipping makes customers content, however it decreases the margins of your product. The cost of shipping in your product's price, but buyers might be put off because of the price. Or keep your pricing low and shipping free, hoping that increased sales will make it financially worthwhile.

Combination shipping

The combination of shipping options offers two options. If a one-size-fits-all approach to shipping doesn't align with your needs as a business it is possible to combine and mix and match. One approach is to offer free shipping for orders that exceed a certain amount in order to convince customers to purchase other items to their carts.

Implement your ecommerce shipping strategy

After you've conducted your own research and weighed the options and finally made your choice, you're ready to put your plan in order and establish the shipping process for ecommerce.

1. Backup your store

If your shop is currently live begin by making an entire backup. If any unanticipated issues arise, this ensures you don't loss important information and details about your orders. We suggest Jetpack VaultPress Backup to handle this.

When your backup has been completed, upgrade WordPress, , your theme, and all plugins to ensure full compatibility with any extension to your fulfillment or shipping system.

2. Change settings

Navigate to the settings tab and then Shipping within your account dashboard. You can then create shipping zones to define rates based on customer locations, and shipping classes to define charges based upon categories of products that are similar to each other.

Let's start by taking a look at shipping zones. By setting these up, you'll have the ability to set shipping charges based upon the regions you are delivering to. You can just be a bit generic (like setting rates by country) or hyper-specific (like the definition of rates by zip code). No worries - regardless of the level of complexity every customer will only be able to see rates that apply to their shipping address.

Click on the Shipping zonestab and in the event that you're still not setting the zone there will be a prompt to create one.

Click Add shipping zone.

When the new window is opened, give the new zone whatever you'd like to. Next, choose the shipping regions that will be included in this zone. There are a variety of options to create zones. So, think about the best way to go about it to benefit your company.

For example, a retail establishment that is located in New York City might have zones for three areas: the East Coast, Midwest, and West Coast, with rates increasing in price based on distance from New York. Or a bakery might provide free shipping within their area as well as a discounted rate to every other place.

Choose all locations that you'd like included in this shipping zone. If you'd like to limit the area based on zip code, click Limit to specific zip/postcodes. Then, a new window will open which allows you to input an alphabetical list of zip codes.

In the next step, you'll need to define the shipping rates in the new zone. Simply click the "Add shipping rates" button. By default, you'll see three choices: flat rate, free shipping, and local pickup.

If you choose Flat rate shipping,you'll be able to specify a particular price for that area (e.g. $9.99 flat price shipping). It is also possible to set the price according to the shipping class that's something we'll cover later.

If you choose Free shipping, you can set the minimum amount of your order to qualify for free shipping. You can also choose regardless of whether you wish to combine free shipping with coupon codes, and more.

And if you go with Local pickupcustomers who live inside of the set shipping zone can take their orders to your location.

Keep in mind that you could make one or more the items listed above to every zone. So, for example, you could provide free shipping over a certain order total or flat rate shipping on anything less than the total.

What about shipping classes? Although they aren't mandatory however they're a fantastic option to determine the price for different types of products. For example, you may sell prints without frames of your art, in addition to frames. Not only will these cost different amounts to ship according to their weight, framing options also need additional packaging material.

Let's run with this example. Within your dashboard, go to the Settings tab, then Shipping and then select to open the Shipping Class tab. Click "Add new shipping classes" at the bottom left area of the page.

Add a class name, URL (URL), and description, and click Save shipping classes.

Now you'll want to assign the products to every class that you create. Go to Products - All Productsand open the product you wish to modify. Scroll down until the product data box and select the Shippingtab.

In the dropdown to select the shipping class,select the class that best matches your product. After that, save the adjustments. You can do this for each product in that class.

It allows you to be much more precise with the shipping costs. For instance in the event that you choose to set the flat rate for shipping it is possible to set an additional price for frames as opposed to. unframed prints. You'll see in the screenshot below that there's an option that is specific to"framed" printing "framed" shipping category.

This is it! You can see that there's a lot that you can do with default settings for shipping.

3. Instability and activation of shipping extensions

For table rates, live rates, or to combine the two with live rates, you'll need an extension. You can also use extensions to include features such as shipping labels or warehouse syncing.

Working using an 3PL service? They may have a extension available in the marketplace or directly from their website and they can also set up an extension specifically for your needs.

4. It should be easy for the customer to know where their orders are located

The ecommerce shipping process doesn't stop once you drop your package off. In fact, some of the best opportunities for great customer service are when your purchase is placed in the mail!

Customers must be able to quickly know where their order is in all time and also know the time when it is expected to be delivered. This is crucial if you sell items that are frequently purchased as gifts.

5. Take into consideration returning the shipment

Although nobody likes thinking about returning, they do occur. And if you accept exchanges or returns It's crucial to have a system that is in place.

Profit and Ship!

It's time to begin shipping! Be sure to adjust your shipping strategy as you go and make modifications as you discover more about your clients, and you'll soon find the options that will benefit customer relations and your profit margins.

There are a variety of options to manage e-commerce shipping. You could do it on your own or partner with a logistics business and drop ship items directly from the manufacturer. When making these choices be sure to take into consideration, in part, which shipping options are offered for each option and if they're able to handle the needs of your business.

A few shipping services on the Internet are restricted on what items they'll send, like the use of special rules for specific kinds of material. And if you want to deliver internationally, you'll have locate a company that reaches the locations you want to reach.

The option is to transfer charges for shipping to customers and cover all or part of the costs yourself. There are pros and cons with every method, and you might decide to test it over the course of the course of time. If you do opt to charge shipping, you could determine rates in almost unlimited methods ranging From flat rates to table rates to even liveprices in real time fed from your shipping carrier.

And, regardless of what you decide to do when setting the e-commerce shipping system, has the tools for handling everything. Make use of extensions that allow you to deliver your products cost-effectively effectively, quickly and securely so your happy customers stay happy and your store is running efficiently. Want more details? Check out our ecommerce shipping documents.