How to Choose the Right Shipping Company for Your Business Needs
Shipping is an important part of any business that deals with physical products. Whether buying items from wholesale suppliers in the US, UK, or China or sending packages to your customers, a small e-commerce store or a multinational corporation, it’s a complex process that can either make or mar your business. This is because it can impact your inventory, operations and customer satisfaction.
However, choosing the right shipping company can be daunting and complicated. With different delivery speeds, costs, and service levels, how do you ensure you make the best choice for your business? This blog will help you answer that question and help you choose the right shipping company for your business needs.
Understanding Your Business Needs
You must first understand your business needs and requirements to choose the right shipping company. Here are some factors to consider before reaching out to potential shipping partners.
Delivery Speed:
How fast do your customers typically expect their orders to arrive? Do you offer different service tiers (standard, expedited, overnight)?
Knowing what your customers need in terms of speed of delivery can impact your overall choice of a shipping partner. With 53% of customers cancelling or abandoning their purchase because delivery was too slow, speed is now a major selling point.
Cost Sensitivity:
Are your customers price-conscious or willing to pay a premium for faster delivery times? Some customers prioritise affordability over speed, while others may be willing to pay extra for expedited shipping. Offering multiple shipping tiers allows you to cater to the needs of various customer segments and maximise revenue opportunities.
Tracking Preferences:
Tracking is important to the overall customer experience and is necessary to build trust. It is important that 66% of surveyed customers want real-time tracking information, and 75% are willing to pay extra. With a survey, interview or other mediums, find out if your customers want detailed tracking information and use the knowledge to choose your shipping partner.
Size and Weight of Product:
The size and weight of your products heavily influence shipping costs. When calculating shipping fees, factor in dimensional weight, which considers a package's size and weight.
Fragility of Product:
Fragile products require extra care during transit to prevent damage or breakage. Partnering with a shipping company that offers specialised packaging solutions, such as foam inserts or double-boxing, ensures that delicate items arrive intact. This will help to minimise the risk of returns or refunds due to damage.
Product Value:
If you sell high-value products, consider additional insurance coverage to protect against potential losses or damage when your item is in transit.
Shipping Volume:
Look at your operations and note how frequently you ship and your shipping volume. High-volume shippers may qualify for volume discounts or negotiated rates with shipping carriers. So, in your search, look for a shipping company to help you save costs in your shipping endeavours.
Geographical Reach:
Do you primarily ship within the country or need international shipping services? If international shipping is required, look for a carrier with experience with customs and regulations. For local deliveries, partner with a company that can reach your customers' locations.
Related: 20 Tips for Safe and Secure International Shipping
Key Considerations When Choosing a Shipping Company
When choosing the right shipping company for your business, it's essential to consider various factors to ensure smooth and efficient delivery operations.
Services Offered
Knowing the shipping company's services can be a game changer when choosing. Here are some things to consider:
Domestic vs International Shipping:
Determine whether the shipping company can handle deliveries within your country's borders (domestic shipping) or if they have the capabilities for international shipping. If your business extends beyond national boundaries, opting for a carrier with experience in international logistics can streamline the process of shipping goods to customers worldwide.
Different Shipping Speeds:
Assess the range of shipping speeds the company provides, including expedited options like air delivery. Understanding your customers' delivery speed preferences and the urgency of your products will help you choose the appropriate shipping methods to meet their expectations while balancing cost considerations.
Tracking and Tracing Capabilities:
Confirm that the shipping company offers tracking and tracing capabilities so you can monitor the status and location of your shipments in real time.
Value-added Services:
Explore the additional services provided by the shipping company beyond basic transportation. Value-added services such as expert packing and packaging solutions can safeguard your products during transit, minimising the risk of damage or loss. Additionally, consider whether the company offers storage access for your items.
Cost and Pricing
You want to minimise costs and get the best possible business service.
Get quotes from multiple carriers:
Don't rush to make a decision when choosing a shipping partner. Take the time to gather quotes from different companies. This allows you to compare prices, services, and delivery options and find the best fit for your business needs and budget.
Negotiate rates based on your shipping volume:
If your business regularly ships a large volume of packages, you have the leverage to negotiate better rates with companies. Many shipping companies offer volume-based discounts or incentives to high-volume shippers.
When negotiating rates, be prepared to provide detailed information about your shipping volume, frequency, and destinations. Highlighting your potential as a long-term customer can strengthen your bargaining position.
Understand the cost structure:
To make informed shipping decisions, it's essential to understand how costs are calculated. Shipping costs typically depend on various factors, including package dimensions, weight, destination, delivery speed, and additional services such as insurance or tracking.
Companies may use different pricing models, such as flat rates, zone-based pricing, or dimensional weight pricing. Familiarise yourself with each company’s pricing structure to accurately estimate shipping expenses and avoid unexpected charges.
Take advantage of online shipping calculators carriers provide to estimate shipping costs for different package configurations and destinations. This lets you compare prices upfront and choose the most cost-effective shipping option for each shipment.
Reliability and Reputation
When selecting a shipping company for your business, it's essential to consider its reliability and reputation. Here's what you need to know:
On-time Delivery Performance:
Ensure the shipping company has a track record of delivering packages on time. Late deliveries can frustrate customers and harm your business reputation.
Cargo Safety and Damage Rates:
You want your products to arrive at their destination safely and intact. Check the shipping company's safety measures and inquire about their damage rates.
Customer Reviews and Industry Reputation:
Take the time to read customer reviews and assess the shipping company's reputation within the industry. Positive reviews indicate satisfied customers and reliable service. While, negative reviews or complaints about lost packages or poor communication should raise red flags.
Technology and Ease of Use
In today's digital age, technology plays a huge role in easing the shipping processes and enhancing efficiency. When selecting a shipping company for your business, consider how easy it is to use their shipping platform.
Shipping Platform:
Look for a shipping company that provides a user-friendly online platform. This platform should allow you to easily input shipment details, generate shipping labels, and track packages in real time.
Mobile Accessibility:
Check if the shipping platform offers mobile accessibility through dedicated apps or responsive web design. Mobile-friendly features allow you to manage shipments on the go, providing flexibility and convenience, especially for small business owners or entrepreneurs constantly moving.
Customer Support:
Lastly, consider the quality of customer support provided by the shipping company. Ensure they offer timely assistance to address any issues or questions you may face while using their platform.
Making the Final Decision
After understanding your business needs and examining potential shipping partners, it's time to decide. Here's how to do it:
Weigh the Pros and Cons:
Take a close look at each shipping company you're considering. Make a list of each option's advantages and disadvantages. Consider cost, delivery speed, tracking options, and customer service. This will help you see which company best meets your business requirements.
Negotiate for Better Rates and Services:
Don't hesitate to negotiate with the shipping companies. Ask about discounts for high shipping volumes or special rates for specific services. Also, discuss any additional services you might need, like insurance or packaging options. Negotiating can help you get the best possible deal for your business.
Start with a Trial Period:
Before committing to a long-term partnership, consider starting with a trial period. This allows you to test the performance of the shipping carrier firsthand. During the trial, consider factors like delivery times, package handling, and customer feedback. This will help you assess whether the carrier meets your expectations and is the right fit for your business.
Your Shipping Buddy Heroshe
When choosing a shipping company, you want your relationship to be as smooth as possible. A company that understands your needs and wants to help you succeed as badly as you want to.
A standout company you should consider is Heroshe. With almost a decade of experience in the industry and over 40k businesses and individuals served, we excel at providing shipping solutions that can help streamline and improve your operations.
Why Heroshe?
With other shipping companies, why do you have to choose Heroshe?
Fast Delivery Time:
As a business, you want fast turnaround times to meet your customers' needs and enough inventory to meet unexpected demands. Heroshe delivers your items within a 10-14 day (sometimes less) window.
Tracking and Tracing:
You always want to know where your shipments are, and our tracking abilities help you do just that. Just input your tracking number to see a bird' s-eye view of your shipment in transit.
Cost Effective:
Like every other business person, you want to save costs for your business. With a shipping rate of $8 per pound, you can access a premium shipping service that caters to your needs effortlessly. You can also choose to upgrade to the pro or premium pricing plan and even enjoy lesser fees for shipping and other benefits.
Ease of Payment:
When making a payment, you can choose a currency and use Paystack, Paypal or Stripe to make the transaction.
You don’t have enough money to fund your shipping? Relax!
With our split payment feature, you can split your shipping cost with up to three of your family, friends or even customers.
Related: 10 Simple Tips Every Heroshe First-Time Customer Will Benefit From
Customer Support:
Support is everything, and at Heroshe, our customers are royalty. Just as one wouldn’t keep royal guests waiting for updates or unattended to, we attend to all your questions, inquiries, and complaints in record time (Guinness World Records might just have to give us a plaque for that).
We are a customer-centric company that is obsessed with ensuring our customers get the best shipping experience when using our services. Laced with a heavy amount of love and swift delivery, we go the extra mile to cater to your packages and ensure they reach you in pristine condition.
Our platform is easy to use and navigate. And more than anything else, we are also concerned about providing helpful tips and resources in our articles to help you take your business to the next level.
Create a free account today and experience the ease and convenience of using Heroshe as a shipping partner.
