Ecommerce Shipping Solutions: The Ultimate Guide

When someone clicks"purchase" or clicks the "purchase" link on your site and they purchase something, you've crossed the finish line, aren't you? Almost. Now you need a seamless online shipping procedure to maintain the sale and win customers for life.

Utilize this guide to find an approach that will delight customers throughout the sales funnel from the time they add your product to their cart up to the moment it is delivered to their doorstep.

Shipping fulfillment options for your online store

Shipping fulfillment can get quite complex, so the initial thing you need to consider when establishing the strategy for shipping your products to customers on the internet is who will be accountable to fulfill the orders. Do you handle them on your own? Do they come directly from the wholesaler or manufacturer? Will you choose to contract with a third-party logistics company (3PL) to manage the fulfillment of all orders placed on your eCommerce?

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

1. Ship orders yourself

If you're running a small company that makes products in-house You may find it easiest to ship directly from your own offices or storage facility. It's more economical in particular if you're keeping the inventory at your personal office or home. However, it does require more work to maintain.

There are advantages and disadvantages in managing the shipping of orders for your online store yourself.

Advantages of sending your own orders:

• The control is yours over the ecommerce shipping process and you can tailor it for your requirements.
• It is possible to build connections with your customers by writing thank you notes or including small tokens of appreciation with their purchases.

Pros and cons of shipping yourself orders:

• Shipping can be time-consuming in particular if you're dealing with an abundance of order.
• It is possible to purchase shipping supplies and equipment, such as containers, labels, and tape.

2. Dropship your orders to customers using a dropshipping service

Instead of buying wholesale items and then storing them at your warehouse, while waiting for orders to arrive, you could have your suppliers directly ship the items to the customer. If they don't offer this option then you can look for companies that make similar, or identical products, and then contract with them to deliver the orders directly.

Dropshipping can be a great option for e-commerce shipping fulfillment strategies for big businesses, too. Wayfair got its beginnings as a dropshipping only company, but later expanded its operations to include its own warehouses, in addition to using the dropshipping method. Houzz, a competitor of Wayfair continues to use the dropshipping model exclusively. The year before, Houzz generated $500,000 in revenues. It's not bad considering that the company does not design, make, or ship anything that it sells.

Using a dropshipping service offers advantages, however there are some drawbacks. Let us discuss the advantages and disadvantages of dropshipping to help you make the best decision for your business.

Pros of dropshipping:

• It's low-cost. It's not necessary to invest in stock up front or to hire staff for the shipping department on your own.
• You can be more flexible with the products you sell. You can easily adjust your offerings as required, and you're not tied to a specific inventory. This can give the flexibility to respond to changes in the market.

Cons of dropshipping:

• It is harder to control the quality of your products. With Dropshipping you're trusting the provider to supply quality goods. If they don't meet your requirements, they could be a negative reflection on your company.
• A longer and more insecure delivery times can be troublesome for customers and lead to loss of sales. Since you're using an outside company to manage shipping, you're always at risk of possibility of delays. If you're using several dropshipping services, items within the order could arrive in different packages on different dates, leading to customer confusion as well as increased ticketing for customer service.
• Problems with shipping can require more time to address. When you ship products yourself or use one 3PL business, you'll be able to handle customer service concerns quicker. If you're working with multiple dropshipping businesses, you may be experiencing delays in communication which extend the amount of time required to address any customer complaints.

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

If you're a company that orders multiple products from producers, but you don't have the money, time, or the resources needed to manage your own warehouse management You could contract a third-party logistics provider for all of your online shipping.

It's a great solution if you don't have the storage space or capability to ship yourself however, it could be costly for small businesses, based on the volume you average for transactions.

Some pros and cons of using a 3PL fulfillment service are:

Pros of the use of a 3PL serviceare:

• A fulfillment service can handle all aspects of shipping to you, from packing, tracking, and delivery.
• These companies often have connections with major carriers, which can reduce transportation costs.
• They can be scaled up rapidly to handle demands that are rising.
• There is no need to recruit your own staff to manage delivery and fulfillment. This reduces your time spent on the management tasks.
• It is not necessary to store the inventory at your office or home. This could reduce the cost of overhead and keep your work environment clear of clutter.

Pros and cons of using the 3PL service:

• The shipping process will be less controlled in the delivery process and may not be able to tailor it according to your preferences.
• There may be a need to pay a monthly fee or a per-order charge in addition to shipping costs.
• Certain customers might prefer to work directly with the store instead of a third-party.

Ultimately, the option that's right for you - whether self-sending via dropshipping, using a dropshipping provider, or working with an 3PL will depend on several factors beyond what we've listed in the previous paragraphs. There's a need to weigh the advantages and disadvantages of each option. In the end, you may even decide for a combination of methods. You don't have to pick only one!

Methods for shipping and the carriers that ship

Whatever fulfillment method that you pick, you'll have to be familiar with the many shipping options and techniques, since you'll need to incorporate information regarding these into your store's delivery setting. It is also necessary to give information about your carriers as well as shipping methods to customers, particularly when you offer them multiple choices during the checkout.

A shipping companyis the business that physically delivers your products to your customers. Examples include USPS, FedEx, UPS and DHL.

Shipping methods are the choices and prices that buyers can choose at the time of checkout, such as free ground shipping, $5.00 three-day shipping, or $15.00 next-day delivery. The methods you choose to use are typically set by the shipping companies they work with and can affect the cost and speed of delivery.

Consider dates, places as well as the weights

Before you choose the method of shipping and shipping take a look at some of the most important factors to consider:

1. Places. What states, countries or provinces will you ship to?
2. Dates. Considering where your customers live and the time it will be to a specific country, state, or region? Would you like to provide delivery on a time-based basis?
3. Weights. The size and weight of every item affects your total shipping cost.

Countries: Choose which to ship to

There are several points to take into consideration when looking to determine which countries your online store must serve. The first is to think about the markets your customers are in. If your products are well-known within the United States, then it is sensible to deliver to the United States. However, if you're selling items that are more niche or targeted to a specific area, you may need to limit the shipping exclusively to the region in question.

Another thing to consider is the cost of shipping. International shipping can be expensive and you'll have to consider that in your selection. You may also need to comply with customs regulations and other laws that can create additional complexity and expense.

Finally, think about your ability for shipping across different countries. It's a lot of work managing different shipping regulations, carrier choices, and prices and so be well-prepared prior to making the decision.

When you consider all these factors into account and take into account all of these factors, you'll be able to narrow your options of possible destinations to ship your goods to. From there, you can begin researching the laws and regulations of each country to ensure that you're ready to move there successfully.

Pro tip:Beyond extra expenses and logistical issues international shipping has legal and customs requirements which can differ greatly by the country or region. It is important to work to an international shipping firm who can simplify every step of the process as it is.

Shipping has partnered with DHL - so now it is possible to handle international orders right from your own dashboard. Additionally, you can save as much as 67% off labels, receive free pickups and be able to offer clients with complete tracking of their order and the automated creation of custom forms.

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

Determine the best delivery dates and shipping methods for your ecommerce store that will best fit your company. It is essential to select the best shipping method to get your products to customers in a timely manner. If you're selling products that need to be delivered quickly, such as food or cosmetics This is especially crucial.

Based on the location you're shipping to , and the time it takes for your goods to be delivered You may provide an assortment of delivery options such as

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

If you can provide fast and secure shipping, you can ensure that your customers are content with the experience.

The size of the package and weight could impact shipping costs and shipping options.

When you begin shipping products, it's important to understand not only the dimensions and weights of your products, but their size and weight once packaged. This can help you determine what method will work best for each product or order that's shipped.

If you're a business that ships to shipping to the United States, the least cost method to send small parcels is usually USPS Priority Mail 3-Day Small Flat Rate envelope or Small Flat Rate Box. It provides tracking and fast delivery times and it's a particularly good bargain if you're shipping tiny but heavy items. The shipping cost is up to 70lbs and still be charged the same flat fee. You also get the benefit of USPS supplying you with a free flat rate envelope or box.

When you're sending large objects the cost of oversized packages might be necessary, however If you're shipping multiple items , it may be more efficient to divide these items over several packages in order to avoid excessive fees for packages.

A 3PL service is able to default to whatever method is cheapest for them and for your company. When you require that items be delivered in the same box even though it's more costly, or to split items up over multiple packages for an reason that it might be cheaper to put the items in one container, it is important to inform your 3PL so they can adhere to your policies. If you're shipping and packing things yourself, you are in complete control and have greater control over the entire method.

If you're shipping internationally it is necessary take a look at the choices that are available to every country of destination and decide what is the most efficient depending on the dimensions and weight of the items. While strategies like splitting up packages to prevent oversized shipping charges may be beneficial domestically, the same strategy might not be effective for international deliveries. The best way to do this is to design a unique ecommerce shipping system to each country that you send your shipments to.

How can I package orders for shipment

Dimension, size, weight, carrier, and the shipping method all affect the shipping cost and methods you use. It is equally crucial to consider how the items are shipped. If you are a business manager, you need to deliver your items efficiently and in a cost-effective manner while making sure that the products you send out arrive in good condition.

If products are packed poorly and not properly, you could end up with poor reviews, return or costly reshipping of orders. If you're shipping items by yourself, employing an 3PL service or even dropshipping directly from your vendor make sure that products are packed in a safe and secure manner.

Consider how many of each product will fit in one packaging and whether various types of products should be shipped within the same box or sent in separate packages. You'll also want to make sure that the products you purchase are secured from weather elements and the damage caused by dropping, stacking, and the agitation that occurs during transportation.

You can ask yourself these questions regarding your items to figure out the most efficient way to store them

• Is it weighty?
• Do you think it is fragile?
• Are they sharp?
• Do you think it contains fluids?
• Are you sure it's unique?
• Can it easily be damaged If it is wet?
• Are they too big?
• Does it seem small?

If a customer orders two different items for example, a pair of champagne flutes made from crystal and a set of free weights It is unlikely that you wish to put them all together in the same package. If someone is ordering multiples of the same thing, you may still want to divide the order into several boxes to avoid harm.

For instance, if someone purchases twenty 18" 24" canvas prints from the store, it would not be a good idea to put them all in the same package. The weight of each piece may result in damage to the canvas below it. Additionally, you could pay more shipping charges for using an oversized box.

Also, the larger and heavier the item is, the more challenging it will be to get it delivered without being dropped. The size of the package can draw the attention of thieves who steal packages.

The small size of packages can pose a challenge also. Even if your item could fit inside a smaller padded envelope, you may need to add a stiff cardboard or hardboard insert in order to stop the bending of your item, bubble wrap or any other padding to ensure that your goods arrive in a safe manner to the customer.

If you have a mix of large and small products in your order, it could be possible to combine them in the event that the smaller items actually function as padding (like clothes or linens) or are light and durable.

Choosing packing materials

Packaging materials that are suitable for large and small packages can increase your ecommerce shipping costs. Not only do you have to spend the money for these supplies however, they can also add weight, which can make shipping more expensive.

You'll need to make sure that your containers and packaging materials are able to handle the size and weight of the things you're shipping, but that's not the only thing you'll want to take into consideration.

If you are deciding on the packaging materials to use for your ecommerce orders, consider these aspects:

• Item fragility
• Brand experience
• Eco-friendly materials
• Packaging cost

Fragile merchandise

If you're shipping fragile items it is necessary to utilize different packaging materials than when the items are not fragile. There may be additional bubble wrap, foam or air cushions in order to make sure the items are delivered safely. The addition of packing materials can add to the overall size of your package But ensuring your products arrive safely will reduce the cost of returns later on.

Consider whether your goods could be damaged by rain or any other element during the shipping process. Consider wrapping products that could be damaged by water in shrinkwrap, a plastic overbag, or other waterproof packaging. If you're using a bubble mailer, you should choose the one made of plastic rather than a paper one.

Brand Experience

If you don't mind cost and hassle, consider branding your packing materials. Organizations like Mule Sticker Mule can provide customized packaging and tape could be used to give everything about your order shipments an experience that is branded.

When a box with your logo on it will arrive at the doorstep of someone the recipient will know that it's coming from your company. Seeing your brand can add some excitement the day of a client. Plus, seeing the fact that you're going the extra mile to package its products can build trust that you're also putting just as much effort into your products.

Eco-friendly materials

If you're looking for your business to make use of environmentally friendly packaging materials, there are definitely solutions available. You may even use eco-friendly packaging materials in your marketing plan. If you're selling items that are organic or natural or just want to promote environmentally-friendly manufacturing methods It could be beneficial to consider investing in environmentally friendly packaging.

The companies like Hero Packaging, Mushroom Packaging as well as Noissue have sustainable packaging options. Noissue even offers customized branding on your packing materials. Eco-friendly packaging can be more expensive than other materials and should be kept to your heart if you're operating on a an extremely tight budget.

Cost of packaging

It is important to ensure that your items are delivered securely and that your customer is satisfied with your 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 packaging materials and the ways they can benefit your ecommerce business.

Cardboard boxes are among the most frequently used packaging products for online orders. They're strong and durable making them perfect for protecting fragile items. They're also lightweight, so they won't add a lot of extra weight to the shipping cost. And best of all, cardboard is recyclable, so it's a great option for businesses that are environmentally conscious.

There's even cardboard made from recycled materials in the initial place. Most packaging retailers like Uline sell environmentally-friendly cardboard boxes.

The bubble wrap is another popular choice to pack materials. It's ideal for protecting delicate products and to prevent damage from shipping. Bubble wrap comes in various thicknesses, so you can select the appropriate amount of protection to your goods. Like cardboard boxes, bubble wrap is cheap and recyclable.

Peanuts for packing are often employed to fill up empty spaces in packages and prevent items from shifting during shipping. They're constructed from various materials which include biodegradable ones like cornstarch. Peanuts used for packing can be recycled, so they're a good choice for firms looking to reduce their environmental impact.

The air cushions are an alternative for packing peanuts. These are inflatable bags that are able to be utilized to fill the empty spaces in packaging. Air cushions provide the same protection as packing peanuts but are easier to recycle and reuse.

paper is another eco-friendly packing product. It can be used for cushioning fragile objects or to fill in empty spaces within packages. Paper is also recyclable (and you can use paper constructed from recycled material), so it's another great option for businesses that are looking to limit the impact they have on the environment.

There are numerous packing materials available, so it is important to select the best option for your business. Consider your products, the shipping requirements, as well as your brand image when selecting packing materials for eCommerce purchases. If you choose the correct materials, you can ensure that your items arrive in a safe manner to their final destination, while creating an impact on your the customers, and having a low impact on the earth.

Decide on your rates of shipping for customers

Now that you know where you're shipping, how you're packing it, which techniques and shipping methods you're using in addition to how weight and size impact the options for shipping It's time to estimate two things: your cost to ship and handle and the shipping rates you charge your customers.

Although you may make use of a shipping calculator available at any of the top shipping sites, or even the multi-carrier shipping program for calculating the shipping cost for ecommerce based on method of shipping, the size, weight and the destination These calculators do not take into account your handling costs.

It's up to you to decide what works best for your business, however, you'll have to include these handling costs to a place so they don't eat into your profit margins.

What are handling costs?

It's all about handling, but not the shipping cost which the shipping company charges you. Handling can include and is not restricted to:

• Cost of shipping supplies like boxes, padding materials backing boards and plastic sleeves and labels. and a thermal printer.
• Storage costs for inventory.
• The time is spent packing orders and organizing the pickup of carriers.
• Service to customers regarding damaged or lost packages, and providing customers with information on the status of their shipments.

One way to estimate the cost of handling for each order is to determine how much you'll spend each month for the above costs and then divide that by the amount of items you place per month. You can then add that handling charge to the cost of shipping every single purchase.

If you'd like to incorporate the handling costs to your pricing for your products You could split your average monthly handling cost by the number of merchandise sold in a month. If you're selling high-priced and low-priced products it is possible to proportionally distribute the cost of handling. The cheaper products are likely to be less expensive to handle with them than more expensive products, although this isn't always the case.

Which is the most effective method for formulating shipping costs?

Live rates

Table rates

Flat rate

Flat rates streamline the shipping process as they eliminate the hassle of the process of calculating prices. You can charge the same price regardless of the amount or weight of your order. This can be a good alternative if your inventory is consistent in the size and weight or when most of your customers purchase similar quantities. With the default settings, you can set a fixed price per item, or a per-centage cost, or even a minimum fee.

Free shipping

Shipping is free and makes buyers satisfied, but it also decreases the margins of your product. It is possible to include the costs of shipping into your product's price, but customers might be turned off due to the increased cost. Or keep your pricing minimal and offer free shipping in the hope increased sales can make it profitable financially.

Shipping combined

Combining shipping options gives you the most benefits of both. If the one-size-fits-all method of shipping doesn't meet the needs of your company You can combine and match. One approach is to offer free shipping on orders that have a minimum value in order to convince customers to purchase more products to their carts.

Implement your ecommerce shipping strategy

After you've conducted your own research and weighed the options and made a decision, you're ready to set your strategy in position and begin setting up the ecommerce shipping process.

1. Back up your store

If you have a live store, start by taking a full backup. If any unanticipated issues arise it will ensure that you do not be able to recover important data or order information. We suggest Jetpack VaultPress Backup for this.

Once your backup is completed When you have completed your backup, make sure to upgrade WordPress as well as your theme, as well as the plugins in order to guarantee compatibility with new shipping and fulfillment extensions.

2. Setup the settings

Click on the settings tab and then Navigate to Settings - Shipping in your dashboard. There, you can create shipping zones for defining rates depending on the locations of customers and shipping categories to define prices based on categories of products that are similar to each other.

Let's start by taking an overview of shipping zones. When you set these up, you can define shipping costs based on specific areas you deliver to. You can remain fairly generic (like setting rates by country) or be hyper-specific (like setting rates according to the zip code). Do not worry about it - regardless of how complex you go, each individual customer will only be able to see rates applicable to their specific shipping address.

Click on the Shipping zonestab and in the event that you're still not setting an area yet then you'll get a message to create one.

Click Add shipping zone.

The new window that opens, name the new zone whatever you'd prefer. Then, select your zones of shipping that are included in this zone. There are many options to create zones. So, think about what is the best method to accomplish this to benefit your company.

A retail store located within New York City might have zones for areas like the East Coast, Midwest, and West Coast, with rates increasing in price based on distance from New York. Or a bakery might give free shipping to customers within the zip code of their location as well as a discounted rate to all other locations.

Select all the locations you'd like to be included in this shipping zone. If you want to limit the zone based on zip code, simply click Limit to specific zip/postcodes. A new form will be displayed which allows you to input the zip code in a list.

In the next step, you'll need to define the shipping rates in the brand new zone. Simply click the "Add shipping rate" button. By default, you'll see three options: flat rate, no-cost shipping and local pick-up.

If you choose flat rate shipping,you'll have the option to choose a cost for the area (e.g. $9.99 flat price shipping). You can also set this depending on the type of shipping you use, which we'll discuss shortly.

If you opt for free shipping then you are able to specify the minimum amount of your order to qualify for free shipping. You can also choose regardless of whether you wish to include free shipping in coupons, or other.

If you choose to go with Local pickup,customers who reside in the designated shipping area can collect their package at your place of business.

Remember, you can make one or more these items to each zone. So, for example you can provide free shipping over the amount of your order or flat rate shipping on all other items that are less than this total.

But what about shipping classes? While these aren't required, they are an excellent option to determine the price for different types of products. As an example, you could sell prints without frames of your artwork, alongside those that are framed. They will not only costs differ in shipping based on their weight, framed options will also require additional packaging material.

Let's look at this scenario. Within your dashboard, you would go to the Settings tab, then Shipping, then click to open the Shipping Classes tab. There, click Add new shipping class in the bottom right area of the page.

Add the name of your class, the Slug (URL) as well as a description. Click to save the shipping class.

The next step is to assign the products to every class you've created. Navigate to Products - All Productsand open the that you'd like to change. Then, scroll down to the Product Data box, and click the Shippingtab.

The dropdown menu in the dropdown for shipping class,select the class that most closely matches the item. Then, save your adjustments. It is possible to do this with each item in the class.

It allows you to be much more precise with your shipping rates. For instance in the event that you choose to set up flat rate shipping, you can set a different price for framed prints vs. unframed prints. In the image below that there's now an option that is specific to"framed" printing "framed" shipping type.

That's all there is! You can see that there's lots that you can do with default shipping settings.

3. Install and activate shipping extensions

To implement table rates live rates or to use a combination, you'll need an extension. You can also use extensions to include features such as warehouse syncing and shipping labels.

Working in conjunction with the 3PL service? They might have an extension available in the marketplace or directly through their website, or they may configure an extension specifically for your needs.

4. Make it easy for customers to comprehend where they placed their order

The ecommerce shipping process isn't over once you've dropped your package off. Indeed, many of the best opportunities for good customer service occur once your package is delivered to the mail!

Customers need to be able quickly understand where their order is at all times and also know when they can expect it to arrive. This is particularly important when your products are frequently purchased as gifts.

5. Take into consideration returning the shipment

While no one likes thinking about returning but they occur. If you're willing to accept exchanges or return shipping, it's important to have a system that is in place.

Ship - and profit!

You're ready to start shipping! Be sure to adjust the strategy of shipping you use to your needs and implement changes as you learn about your clients, and you'll quickly discover the solutions that will benefit relationships with customers as well as the bottom line.

There are many options to manage e-commerce shipping. You can do it yourself, partner with a logistics firm and drop ship items directly from the manufacturer. In order to make the right choices it is important to think about the main factors that determine which shipping options are offered in each case and if they are able to meet the requirements of your company.

Certain shipping companies on the internet have restrictions on the items they'll ship, for example specific regulations that apply to specific kinds of material. If you plan to ship internationally, it's important choose a shipping partner who reaches the locations you want to focus on.

You can pass along charges for shipping to customers, or take care of all or a portion of it yourself. There's pros and cons for each method and you may want to experiment over the course of time. If you do opt to charge shipping, you can determine rates in almost unlimited methods ranging starting with flat rates, table rates to even live, real-time pricing that is sourced from the shipping company.

And, regardless of which method you pick to set up your ecommerce shipping strategy, has the tools to handle the entire process. Take advantage of extensions to ship products affordably, efficiently, and safely to ensure that your customers are happy and your store operates effortlessly. Want more details? Check out our ecommerce shipping documentation.