Shipping is an integral part of businesses today, especially online businesses that rely on shipping to deliver goods to customers. There are many variables when it comes to shipping, and it can be difficult to figure out what works for a particular business, where a business stands with regards to shipping. There are valuable opportunities that can be opened by investing in a shipping strategy that works well for the company as well as the customers. In some instances, there’s a lot of logistics involved which complicates product categories, or the entire business, rendering shipping expensive, or impossible as a viable opportunity. International shipping has worked very well for companies like Amazon, which has used international shipping to send products all over the world and when implemented properly, it can be an invaluable asset to any company that needs its international shipping needs met.
When to Rethink Your Shipping Strategy
Certain shipping blind spots would indicate that there is a need to review the existing shipping strategy. These include:
1. When You Only Use One Shipping Carrier
Variety is a very important quality for a business to have when it comes to shipping carriers. If your shipping needs are met by one shipping carrier, then your shipping strategy needs to be changed. When you have multiple shipping carriers, you can cushion yourself if one of the carriers lets you down. Having multiple carriers gives you security and insurance that goods will be delivered to customers should one of the carriers be unable to fulfill delivery orders. Where the products being sold are of varied dimensions and weight, then multiple shipping carriers will need to cater for all the varied product specifications. Some of the most notable shipping companies that have an extended reach include USPS, UPS, and FedEx. These companies have their advantages and disadvantages and are preferable for different types of goods. “Having options in your shipping strategy offers you security where one of the carriers is unable to deliver, you can go with another option without disappointing the customer,” says Keith Mitchell, senior business writer at SolidEssay and Case Study Service.
2. Lack of Options for your Customers
If your company lacks shipping options, then it might be time to review your shipping strategy. Customers prefer the ability to choose from a given list. These options should be on things like the speed of shipping and the prices of shipping options. Some possible options that customers can be provided with include a free shipping option, a slow option which will take a long time to deliver, an affordable option that will take a moderately paced shipping time (probably a week), and finally, a fast shipping option that would be expensive and probably take the least amount of time to deliver. It may not be viable to give the customer a lot of shipping options, or even the option for free shipping, but free shipping can be done when a customer buys goods above a certain value, or if they live within a given area, region or radius that would allow for free shipping of goods without incurring losses. According to Jeff Palmer, Head of Content Marketing at MLA Outline Service and Paper-Research, “when customers are given options, it increases the chances of them building loyalty with the company and reduces the chances of them abandoning their online shopping carts because such options were not available to them.” With such options available to customers, those who would rather wait longer for their products and not pay shipping fees will be catered for, and those who would rather have their goods delivered on time will not be disappointed.
3. Spending Too Much Time Filling Orders
The main job of the business should not be filling out orders, but managing the business and continually looking for new clients as it fulfills the needs of the existing ones. If the majority of the time is spent filling out client orders, then the shipping strategy needs to be reviewed. This is where a shipping software would come in handy, having it integrated with the business operations, and even hiring additional help to manage orders. Additional employees to help the company would free up some time for other important things. If the shipping software and hiring an extra hand do not help ease the flow of work, then outsourcing some services in the organization would be the most viable option. The company fulfilling the outsourced services will handle shipping needs and deal with the customer services that come with shipping. Outsourcing should, however, be weighed against the cost involved and the value it brings to the company.
4. Late Package Complaints by Customers
If the customers are not receiving their packages on time, then a review of the shipping strategy is needed. The order processing system should be reviewed, and the time that is taken to package, label, and ship out orders will need to be reviewed and options to streamline the processes assessed, then implemented. A review of the shipping promises made by the company is needed as well, to ensure that they are promises that can be delivered on, especially by the shipping carriers. Promising something that the carriers cannot deliver will lead to dissatisfied customers.
5. When the Shipping Strategy Hasn't Been Reevaluated Within the Past Year
If an existing shipping strategy has been in place for a year or two without being evaluated, then it’s time for the strategy to be re-evaluated. A year or two is a long time for a shipping strategy not to be assessed within as that time, shipping rates will have changes and when your shipping rates are not adjusted to the current ones, then the company may be incurring avoidable costs. Within that year when the shipping strategy is not reviewed, fulfillment trends might change, and volumes the company ships increase or decrease. The strategy will need to be reviewed regularly to account for such changes and improve the overall shipping strategy.
Shipping can be a simple and straightforward process, and it can allow an organization to expand into markets across the world. When the shipping strategy has been laid down and understood, it should then be communicated to the customers and pitfalls that disappoint the customers avoided, like the unavailability of products and unreasonable shipping delays.
