For those of you who’re here — Hi everyone! — and wondering what’s this post is all about, well, it’s basically an introduction to eCommerce product shipping for entrepreneurs planning to start an online store.
Now, that does not mean those who already run an online store are not welcome here. It’s a friendly chat with lots to offer in value, and you might find a thing or two worth adding to your already impressive knowledge. Learning is a continuous process, isn’t it?
Product Shipping in eCommerce
Let’s start this discussion with the importance of the product shipping process holds in the world of eCommerce.
eCommerce product shipping is something that online retailers don’t give importance to. Or let us correct ourselves – they do, but not as much as they should. The focus is more towards setting up a technically sound online store, selecting products, or designing an effective marketing campaign.
Product shipping is usually a secondary consideration.
And no, we’re not making this stuff up, eCommerce businesses do neglect their product shipping process. It’s why so many consumers express their dissatisfaction on a regular basis, and complain about the standards of shipping provided by online stores.
Some are not happy with the shipping options that online retailers provide. For others, the offered shipping rates are too high and unreasonable. Then, there are issues with the delivery. For example, orders not being shipped on time or a customer receiving a product that they didn’t even order.
The complaints are endless.
What’s the overall impact? Customers abandon their shopping carts, you lose returning customers, your competition strengthens and your reputation suffers. In summary, your shipping process is really important to your business’s success.
How can you improve your shipping process? By aligning it with your customers’ expectations.
How do you that? By leveraging the power of online feedback forms. You’ll be amazed by how much you can improve your shipping process by listening to your customers.
Product Shipping Rates
Another thing which we would like to talk about in the context of eCommerce shipping is how to set shipping rates for your online store. This is an area where even the experienced online retailers struggle with.
Basically, you have four options. You can either provide your customers with free shipping, flat rate shipping, matrix rate shipping or real-time rate shipping. But before you decide on which type of shipping pricing model you should offer to your customers, you should calculate the average shipping costs for your business. That way you’ll be able to make an informed decision.
To determine your business’s average shipping costs, you must first calculate handling cost, packaging material cost and postage cost. Add these costs and you’ll have your average shipping costs. Learn more: How to Set Your eCommerce Product Shipping Pricing Model?
Lastly, we want to briefly touch on the actual product delivery process. We strongly recommend you work with multiple carriers as this makes shipping costs effective and convenient. As for warehousing, if you don’t have a warehouse to store your products, you can partner with a warehouse fulfillment service provider. This will not only reduce initial investment but will also lower your operating cost.