Well, the global economy is booming and developing at a fast pace. This growth has in part been spurred by the developing e-commerce companies that have achieved a global reach. The market has developed into a unified market place for retailers that are connected with buyers from all over the world. Logistics and shipping companies have made such a development possible by allowing this connection to happen. That being said, one of the expenses that are on the rise all over the world is the shipping cost. Many retailers are faced with the growing shipping costs that can hinder trade and commerce. With that in mind, the control of these expenses is becoming increasingly important. Many are trying to answer the question of how to save money on shipping internationally?
With the e-commerce booming and the demand for worldwide shipping increasing many companies have achieved a global reach. Even many small companies have managed to target and interact with markets far away. This means that more and more goods are sold internationally and have to be shipped all over the world. This was all made possible through global shipping and logistics companies developing their activities and offer of services.
However, with the way that the global market is developing the cost of shipping becomes more and more of a factor in these business transactions. Rising fuel costs and shipping fees by global logistics companies have become a crucial factor to consider. This doesn’t mean that the market should close or that commerce should grind to a halt. It merely means that retailers must get creative in order to cut down the cost of shipping and put it under control. With that in mind we can list some of the ways to save money on shipping internationally:
- Use multiple carriers
- Use fulfillment centers
- Research your buyers
- Optimize packaging
- Use electronic documentation
- Do not undervalue your products
- Find a reliable logistics partner
Do not tie your company to only one carrier. Try to research the shipping market. Depending on the type of your products, weight, and size of your packages, distance, and other factors you can save money by using different carriers. By combining a few carriers you can achieve lover overall prices that will save you money in total. This will even make you more competitive as you transfer these savings to your customers.
Smaller retailers can achieve global coverage by using fulfillment centers. With their services, these centers can allow retailers a global presence without having and paying for the international offices. This is a very cost-effective way of assuring presence close to the target markets. These centers can reduce labor and staff costs and also reduce shipping time when sending your shipment overseas.
Research your target market
Besides the weight and size, the speed of delivery is also a major factor in the shipping cost. You can also control this in order to save money on shipping. You should research your buyers to determine their needs. If the speed of delivery is not critical you can save money trough slower delivery. The buyers may be interested in waiting on delivery if some of the savings influence the final price.
Worldwide shipping requires the secure packaging of products. Although this security is important you should try to optimize the packet as much as you can. Do not use boxes that are too big or cumbersome protection as it will increase your shipping cost. At the same time try to use packing materials that are light but provide adequate protection. In this way, you will also save money on shipping trough lover shipping price. Wherever it is possible, you should use standardized packaging provided by the carriers. This will also cut down the cost by eliminating the custom box and package fees.
Using electronic trade and customs documentation can considerably decrease your cost and waste in international commerce. International trade usually requires the preparation of at least five copies of the documentation. Using electronic versions will considerably cut down on your paper waste, and documentation preparation and printing time. However, you have to make sure that your carrier accepts documentation electronically. Some, like Four Winds Bahrain, can even process it electronically.
Do not undervalue your products
Undervaluation of your product can seem like a way to cut costs and save money on shipping internationally. However, honesty is the best policy in the long run and it can save money. If you get cough undervaluing packages you will have to pay fees and fines. Repeat offenders can even use their international shipping rights. So do not break the rules and be realistic.
Find a reliable partner
Logistics is one of the most important parts of doing business with international customers. Using a global carrier is OK and you can benefit from it in the long run, but if you research the market you can save money. You should try to find a regional partner with regional experience. These companies will have a good understanding of the local or regional requirements, laws, and regulations. Reliable and experienced carriers can in this way provide adequate support and save you money in the long run.
Besides these, there is a whole list of advice to follow to decrease your shipping cost and save money on shipping internationally. Be sure to do additional research and find out everything you can in addition to this. you should research: Using online shipping, prepaid shipping, buying third party insurance, hybrid services or even asking for discounts. You should always explore new markets and potential partners in your search for prosperity and business success.
So, international shipping although complex does not to be expensive. Your company should not have to settle with high international shipping prices. There are options that can save you money on shipping if you research and try to find creative solutions. In the end, it can lead you to increased competitiveness and lower prices if you pass these savings on to your customers.