Currently I'm running a website for my boss' small business. Sales at the shop are outstanding but online we're an underdog. And probably get around 2-3 sales a month because shipping costs are high. We can compete on product pricing for most things but SHIPPING is killing our sales.
I've talked to UPS and fedex and neither can offer a significant discount to even come close to making the difference.
I've been doing some research and found that some business partner with other business to combine their shipping to attempt and get lower rates. I have no idea how to start that as most of our business neighbors do not even ship or want to start online sales.
Are there any other recommendations? Or am I going to have to bite my lip until it gets better.
Hi Ptong,
I just came across your post, depending on the size of your shipments you may be better off with a LTL trucking company so you can take advantage of consolidated truck shipping. If your freight is heavier than 100lbs I would encourage you to make contact with a trucking company that specializes in LTL shipments (not a common carrier). You may also be able to ship in bulk into a region and then have someone pick your orders for you as they come up.
Ptong, has your boss considered passing shipping costs on to your clients/customers? If you cannot stay competitive by relaying all of the shipping costs, perhaps you can insulate your losses by accounting for some of the expense in your pricing strategy.
I am not sure what line of business you are in, but many professional or industry associations have relationships with shipping providers like FedEx and offer their members discounts.
Ptong, has your boss considered passing shipping costs on to your clients/customers? If you cannot stay competitive by relaying all of the shipping costs, perhaps you can insulate your losses by accounting for some of the expense in your pricing strategy.
I am not sure what line of business you are in, but many professional or industry associations have relationships with shipping providers like FedEx and offer their members discounts.
Sometimes you have to charge your customers more for shipping. It can be quite depressing because it can make or break your company. I usually use federal postage because it gives me the best rates.
asith101 | Window Shopper | 10/17/2011 - 12:41 pm
Matt_G | Window Shopper | 9/19/2011 - 5:00 pm
NicoleD | Former Moderator | 1/25/2011 - 5:29 pm
everythingred | Window Shopper | 5/27/2011 - 2:28 pm
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