E-commerce Shipping & Packaging - Best Practices, Solutions, and Strategies

If you run a successful e-commerce business, you do everything in your power to make sure that your customers are always satisfied.

One of the most impactful steps for growing your business on the internet is having sound e-commerce shipping and packaging strategy. A simplistic approach to shipping is often practiced by businesspersons who are relatively new to the e-commerce game. They either offer free across the board shipping or they show unmodified FedEx or Bluedart rates.

In order to differentiate themselves, strategic shipping options are used by most merchants in order to enhance their margins of shipping.

All of this requires a lot of teamwork and coordination between the numerous teams present within your organization. Your fulfillment team, your marketing team and everyone in between should coordinate completely.

Making a good shipping strategy ensures that everyone involved n the process has a clear idea of what is going on and what their role in the process is.

Mentioned down below are a few important things that everyone should know if they are planning to devise a successful e-commerce shipping strategy. Your customers will be happier and your margins will be significantly higher.

Best Strategies and Practices for E-Commerce

1. Forming the Right Team

One of the most important steps of running a successful business is to select people who know the business inside out. You will be required to bring in the right stakeholders in conversation within your organization.

2. Your Shipping Strategy Should Have Clear Goals

Once you have formed teams within your company and identified the right people to be on these teams, you should start working on your shipping strategy. You should have a clear idea of what you want to achieve with this strategy before implementing it.

Following are the goals that you should have in sight for your e-commerce shipping strategy

  • Decreasing costs
  • Increasing conversions
  • Improve the efficiency of your operation
  • Expand target audience or market
  • Increase the value of orders

3. Weighing Your Options and Choosing a Solution

After identifying the goals and the right team for your business, it is time to choose a strategy. It is important that you select a strategy that is suitable for your team so that they are able to perform optimally and give you good results. You should be completely aware of the strengths and weaknesses of your team in order to choose a strategy that would suit their skill level.

As a project owner or manager of an e-commerce project, it is important that you know all of the important elements of the shipping industry before you approach the business.

Important Considerations for Shipping

No matter how many polls, studies, and surveys are held every year, one thing is abundantly clear:

The key element for a retailer’s success is offering fair and just rates to his customers. Charging money can make all of the difference between keeping and losing a customer.

Keep in mind that cost is not the only thing that makes a difference. Giving your customers convenient shipping options at the right time can play a huge role in making sure that the customers do not abandon their carts.

In order to take full control of your online store, you have to make sure that you offer incredibly low shipping rates while being able to cover your costs. You should also be able to offer the items that your customers demand.

Mentioned down below is a list that every online entrepreneur should follow to make sure that the shipping process goes smoothly.

1. Weight and Size of the Product

One of the easiest elements of shipping to get your mind around is the size and weight of the product, as it plays a great impact on your approach. You can use this as an ideal place to come up with promotions that are easy to comprehend.

2. Destination

The destinations of where the products are being shipped are as important as the dimensions and the weight of the product. Free shipping options and flat rates work well in domestic shipping.

You can raise your standards by setting rates according to the zones.

3. Options for Shipping

You can delight your customers by managing the shipping options to ensure that the costs are always are in check. It would be advisable to look for local carriers instead of necessarily looking for big-name carriers if you are looking to ship the product domestically. There are a myriad of local carriers that deliver the products quicker than big name carriers.

Best Shipping Options for Ecommerce

  • Free shipping
  • Flat rate and table rate shipping
  • Live rates given by a courier partner
  • Alternative and mixed strategies

1. Free Shipping

The strategy of free shipping is relatively simple and has grown monumentally over the years. Amazon is chiefly responsible, providing free shipping on orders.

Benefits of Free Shipping

  • Customer expectations are always responded
  • Explaining to the customers is pretty easy
  • It has a good effect on customers who are checking out from your platform

2. Table and Flat Rate Shipping

Going the table route or flat route is one of the most effective ways to avoid the difficulties caused by free shipping. Flat rate shipping means that the price for shipping will mostly remain the same regardless of the product's value. Table rate shipping is the exact opposite

3. Live Rates Given By a Carrier

Real-time live rates from well-known carriers can sometimes be the best way to go. Using this approach as a promotional tool is not exactly easy. However, by taking this approach you can ensure and satisfy the customers by letting them know that they are getting the cheapest rates possible.

4. Alternative and Mixed Strategies

Mixing and matching and thinking outside the box can sometimes be extremely effective. Using mixed and alternative strategies will allow you to keep a clear balance between your promotional opportunities and revenue needs.