How to Cut Shipping Costs with Courier Services?

Did you know that in India, about 60% of online orders come from tier-two cities or smaller ones? With eCommerce businesses penetrating deep into society and online shopping becoming the new normal, boosting your courier services is a must.

Today, a lot of leading eCommerce players in India and the globe are providing one-day or even same-day deliveries. Hence, not providing on-time deliveries to your customers will anyways cut you out from the competition.

Choosing the right courier services for your eCommerce business will help you deliver your products faster and safer to your customers. But what about the costs? People think that there is a large amount of cost associated with providing fast courier services.

Somewhere it is true, but here is the catch. There are certain ways in which you can ensure cutting shipping costs with the right courier services.

In this blog, we will aim to look into these ways and find out how you can optimize costs for your courier services. So, let’s proceed with our blog.

Top 7 Tips To Cut Shipping Costs With Courier Services

As an eCommerce business owner, balancing between shipping costs and providing on-time deliveries is one of the major challenges. So, in the section below, let us find out the tips you can follow.

Negotiating with Multiple Courier Partners

One of the best ways to get the best costs with your courier services is by directly negotiating with multiple courier partners. With this, you will be able to get the best costs according to your shipping volume and several other factors.

Shipping companies are open to negotiation, especially if you offer high volumes of shipments or steady business. Hence, do not hesitate to ask for discounts or customized pricing, particularly for specific shipping zones or frequent routes.

Regional couriers may offer more competitive pricing for local deliveries, so it is worthwhile to explore those options for nearby orders.

Partnering with the Right Courier Aggregator Services

Now, as an online business owner, it is not always possible to negotiate with all courier services available yourself. So, here is when you should partner with the right courier aggregator services.

Courier aggregators, like Zopoxo, have revolutionized how businesses handle shipping. They allow businesses to access multiple courier services through a single platform, providing competitive rates and flexible shipping options.

Aggregators negotiate bulk shipping rates with major courier companies and pass on those savings to you. This makes it easier for small to mid-sized businesses to access the same discounts typically reserved for larger enterprises.

Instead of relying on one courier company, these platforms allow you to select the best option based on delivery time, location, and price for each order. Moreover, the automated systems also help streamline logistics, saving on both time and operational costs.

Packaging Optimization

You need to note that dimensional weight pricing (DIM) has become the new standard in the courier industry. Here, the shipping costs are not just based only on the weight of the package but also on its volume.

Hence, by choosing more compact and appropriately sized packaging, you can reduce your overall shipping fees.

Less packaging material means lower DIM weight, which in turn reduces shipping costs. Therefore, make sure your packaging fits snugly around products while ensuring they remain protected during transit.

Using Right Warehousing Solutions to Reduce Shipping Zones

Shipping costs rise with distance, especially when crossing multiple shipping zones. By using strategically located warehouses, you can ship products from a location nearest to the customer, reducing both costs and delivery times.

Storing inventory closer to high-demand regions cuts down on long-distance shipping, especially when dealing with national or international orders.