Ecommerce Shipping Solutions: The Ultimate Guide

When someone clicks"purchase" or clicks the "purchase" button on your site and they purchase something, you've crossed the line, don't you think? Almost. Now you need a seamless electronic shipping system to make the sales and keep customers for life.

Utilize this guide to find a strategy that delights shoppers throughout the sales funnel, from when they put your product to their cart to its arrival on their doorstep.

Shipping fulfillment options for your online store

The process of shipping fulfillment is complicated, and the initial thing you need to determine when developing the strategy for shipping your products to customers on the internet is who will be accountable for fulfilling the orders. Will you fulfill them yourself? Are they shipped directly from the manufacturer or wholesaler? Or will you contract with a third-party logistics provider (3PL) to manage the fulfillment of all orders placed on your eCommerce?

Let's look over the possibilities and go through some advantages and disadvantages of each.

1. Ship orders yourself

If you're running a small company who produces its own products You may find it easier to send your products directly from your own offices or storage facility. This can be more cost-effective, especially if you're keeping all your inventory within your own home or office, but this requires more effort to manage.

There are benefits and drawbacks to managing order shipments for your online store yourself.

Pros of shipping orders yourself:

• The control is yours over the ecommerce shipping process and can customize it to your needs.
• You can build relations with your clients by handwriting thank-you notes, or by including small tokens of appreciation with their purchases.

Cons of shipping orders yourself:

• Shipping can be time-consuming, particularly if you have an abundance of order.
• You may need to purchase shipping supplies and equipment, including boxes, labels and tape.

2. Dropship your orders to customers using dropshipping

Instead of purchasing wholesale goods and keeping them at your warehouse until the orders to arrive, you could have the suppliers deliver them directly to the client. If they aren't able to offer this then you can look to find companies who make similar, or identical products, and then contract with them to ship orders directly.

Dropshipping is a fantastic ecommerce shipping fulfillment strategy for big businesses, too. Wayfair began its beginnings as a dropshipping only business and expanded to using their own warehouses in addition to continuing to use dropshipping as their primary model. Houzz is a rival of Wayfair is still using the dropshipping model solely. The year before, Houzz earned 500 million dollars in sales. This isn't bad considering that the company doesn't create, produce or even ship the products it sells.

Using a dropshipping service is beneficial, but there are some drawbacks. Let us discuss the advantages and disadvantages of dropshipping to help you take the best choice to suit your needs.

The advantages of dropshipping

• It's low-cost. You don't need to invest in stocks in the beginning or to hire staff for the shipping department on your own.
• There is more flexibility when it comes to the products you sell. It is easy to alter your product offering as needed You're not bound to an inventory. This gives the flexibility to respond to changes in customer demand.

The disadvantages of dropshipping

• You have less control over the quality of your products. With Dropshipping you're trusting the provider to supply quality goods. If they don't meet the standards you set, it could reflect poorly on your business.
• More lengthy and unreliable shipping times might be frustrating for your customers, and could result in reduced sales. Since you're using a third party to handle delivery, there's always the potential for delays. If you're using several dropshipping companies, products in an order may arrive in separate packages at different times, which can lead to customer confusion and increased the number of customer support calls.
• Shipping issues can require more time to address. When you ship products yourself or through a 3PL company, you can respond to customer service issues faster. If you're using multiple dropshipping businesses, you may encounter delays in communications that prolong the time needed to settle any customer complaints.

3. Send orders using a third-party logistic (3PL) service

If you're a business that purchases multiple items from different suppliers, but lack enough time, money or funds to conduct your own warehouse management, you might contract with a third-party logistics provider to handle all your ecommerce shipping.

This is a viable option if you do not have the storage space or the capability of shipping yourself however, it could be costly for smaller businesses, depending on your average volume of sales.

There are pros and cons to the use of 3PL fulfillment services include: 3PL fulfillment service are:

The advantages of making use of the 3PL serviceare:

• Fulfillment services can manage the entire process of shipping for you, which includes packing, tracking, as well as the delivery.
• They often have relationships with major carriers, which can reduce transportation costs.
• They can scale up quickly to meet spikes in demand.
• You don't have to hire employees to handle delivery and fulfillment. This makes it easier to focus on managing tasks.
• There is no need to maintain your inventory in your own office or home. This can reduce overhead costs and make your workplace less cluttered.

Pros and cons of using a 3PL serviceare:

• You will have less control in the delivery process and may not be able customize it according to your preferences.
• You may need to pay a monthly or per-order fee in addition to shipping costs.
• Certain customers might prefer to deal directly with the retailer rather than a third party.

In the end, which option is best for you - you're shipping your own via dropshipping, using a dropshipping provider or using a 3PL will depend on several aspects that aren't listed previously. There's a need to weigh the pros and cons of each option. Then it's possible to decide on a mix of fulfillment options. You don't have to pick just one!

Methods and shipping carriers

Whichever fulfillment solution that you pick, you'll require a thorough understanding of the many shipping options and methods as you'll need to add information about the different shipping methods into your store's shipping settings. You'll also need to provide specific information regarding your carrier and shipping methods for your customers, especially in the event that you're offering them several choices during the checkout.

A shipping companyis the firm which physically delivers your items to your customers. Examples include USPS, FedEx, UPS, and DHL.

Shipping options are the options and prices that buyers choose from at checkout - including free shipping on ground, $5.00 three-day shipping, or $15.00 next-day delivery. These methods are usually chosen by the companies they work with and can affect the price and delivery time.

Places, dates, and weights

Before you choose the shipping method and carriers take a look at the following key factors:

1. Places. Which states, countries, or provinces can you ship to?
2. Dates. If you consider where your clients live what is the average time for delivery to time be for a particular country, state, or even a province? Would you like to provide expedited shipping?
3. Weights. The size and weight of every item affects the overall cost of shipping.

Places: Decide which countries to ship to

There are a few things to consider when you're considering which country your online store must serve. The first is to think about the countries your target market is in. If your products are very popular within the United States, then it makes sense to ship there. However, if you're selling items that are more niche or targeted towards a particular region, then you might prefer to restrict your delivery only to that specific region.

A second thing to think about is the price of shipping. International shipping can be expensive and you'll have to consider that in your selection. It is possible that you will need to comply with customs regulations and other laws to add more complexity and cost.

Consider whether you have the resources to manage shipping for several nations. It's a lot of work to manage the various regulations for shipping, shipping carriers, choices, and prices, so make sure you're prepared for that prior to signing the contract.

If you take all of these elements into consideration and take into account all of these factors, you'll be able to narrow down your list of potential countries to ship to. Once you've narrowed it down, begin researching the guidelines and rules for each country to ensure you're able to send your package successfully.

Pro tip:Beyond extra expenses and logistical issues International shipping is a challenge because it has legal and customs requirements that vary greatly depending on country and region. It is important to work with an international shipping business which can streamline all of the processes as possible.

Shipping has partnered with DHL So now it is possible to handle international orders right from your own dashboard. You'll also save up to 67% on labels, enjoy free pick-ups as well as be able provide your customers with complete traceability and automated customs forms creation.

Dates: Determine delivery times as well as the method of delivery, including carrier and dates.

Decide on delivery times and delivery methods for your online store to best suit your business. Choose a shipping method that can bring your goods to your customers quickly. If you're selling items that are time-sensitive, such as food or cosmetics This is especially vital.

Depending on where you're shipping to , and the time it takes for your goods to arrive, you may offer several shipping options like:

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

By offering fast and reliable shipping, you can ensure that your customers will be happy with their experience.

The size of the package and weight could affect shipping options and cost

Before you start shipping orders, it is important to know not only the size and weight of your products, but the size and weight of your products after they've been wrapped. This will help you decide the best method for every product or purchase that's shipped.

If your company is based in within the United States, the least cost method to send small packages is often USPS Priority Mail 3 Day Small Flat Rate Envelope or Small Flat Rate Box. It comes with tracking and quick delivery times and can be a great deal if you're shipping small but heavy objects. It is possible to ship anything up to 70lbs and still pay the same flat rate. You also get the benefit of USPS providing you with a free flat rate envelope or box.

In the case of shipping bulk items the cost of oversized packages may be unavoidable, but If you're shipping multiple products in a single order, it might be more efficient to divide them up over multiple packages to avoid oversized fees for packages.

A 3PL service will use whatever method is cheapest for them and for your company. When you require that items arrive in the same package regardless of whether it's expensive, or split things into multiple boxes for an reason that it might be cheaper to put all of them into one large box, then you'll have to notify your 3PL so they can comply with your guidelines. If you're packing and shipping things yourself, you can have greater control over the entire process and more precise control over this process.

For international shipping You'll have examine the different options that are available for every country of destination and decide which one is most effective based on the size and weight of your items. Though strategies like separating items to avoid oversized-package charges can be helpful for domestic shipping but the same method may be ineffective for international shipping. The best way to do this is to design an e-commerce system that is unique for each country you ship to.

How to package orders for shipping

Destination, size of the container, weight, and shipping techniques all impact your shipping costs and practices. However, equally important is determining the way your orders are packaged. Being a company manager, you need to ship items at the lowest cost manner while making sure that the products you send out are delivered in good order.

If the packaging is not good and not properly, you could end up with bad reviews, returns as well as costly order reshipments. If you're shipping items your self, using the 3PL service, or droppingshipping direct from your provider make sure that the items you ship are in a safe and secure manner.

Consider the quantity of each item that can fit in a single package and whether different types of goods should be sent in the same package or separately. Also, you'll want to be sure your products are protected from weather elements and harm caused by falling, stacking, and an agitation in transport.

Consider asking yourself the following questions about your products to figure out the most efficient way to package them:

• Are they too heavy?
• Is it fragile?
• Are they sharp?
• Do they contain fluids?
• Are you sure it's unique?
• Can it easily be damaged when it's wet?
• Are they too big?
• Is it very small?

If a customer orders two distinct items for example, a pair of crystal champagne flutes and an assortment of weights for free You probably won't wish to put them all together in the same package. If someone is ordering multiples of the same product it is possible to break the order up over several packages to prevent damage.

In the case of a customer who buys twenty 18" 24" canvas prints from your store, it wouldn't be a good idea to put them all in the same package. The weight of every item may create damages to the canvas beneath it. In addition, you might be charged more for shipping by using a box that is too large.

Also, the larger and heavier the item is, the more challenging it is to get it picked up without getting lost. Its notable size may also attract the attention of package thieves.

Smaller packages aren't easy also. Even if your item could fit inside a smaller envelope that is padded, you could have to include a strong cardboard or hardboard insert to stop the bending of your item, bubble wrap, or other padding materials to make sure that your goods arrive in a safe manner to the customer.

If you've got a mix of large and small items in an order, it could be possible to combine them if the small items can serve as padding (like clothing or linens), or are lightweight and durable.

The choice of packaging material

Materials for packing large and small packages can increase your ecommerce shipping costs. In addition, you will need to spend the money to buy these items however, they can also increase the weight of your package, which could raise shipping costs.

You'll need to make sure that your containers and packing materials can accommodate the dimensions and weight of the items you're sending however that's not the only thing you'll want to consider.

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

• The fragility of the item
• Brand Experience
• Eco-friendly materials
• Cost of packaging

Fragile merchandise

If you're sending fragile goods then you'll require different packing materials than if you're shipping non-fragile items. It is possible that you will require additional bubble wrap, foam, or air cushions to ensure your items arrive safely. Additional packing materials may make your package larger However, ensuring that your products arrive safely will save you money on returns over the long term.

Consider whether or not your items are susceptible to damage by water or other elements during shipping. Consider wrapping products that could be damaged by water using the form of shrinkwrap, an overbag made from plastic, or other waterproof packaging. If you're using a balloon mailer, you should choose using a plastic option rather than a paper one.

Brand experience

If you're not concerned about cost and hassle, consider branding the packing materials. Businesses such as Sticker Mule can provide customized packaging and tape you can use to make every aspect of your shipment an experience that is branded.

When a box that has your company's logo arrives at someone's doorstep the recipient will know that it's coming from your company. The presence of your logo can add some excitement an individual's day. Plus, seeing that your business is willing to go the extra mile for packaging will help build confidence that you're also putting just as much time and effort into the products you offer.

Organic materials

If you want your business to make use of environmentally friendly packaging materials, there are definitely solutions available. There are even eco-friendly packaging materials in your marketing strategy. If you're selling items that are organic or natural or just want to promote the use of sustainable production methods It could be beneficial to consider investing in environmentally friendly packaging.

The companies such as Hero Packaging, Mushroom Packaging, and Noissue provide sustainable packaging alternatives. Noissue even allows customized branding on your packing products. Environmentally friendly packaging is sometimes costlier than other packaging and should be kept in your mind when you're working on an extremely tight budget.

Packaging cost

You want to make sure your products arrive at their destination safely and that the customer is satisfied with your delivery. But you shouldn't overspend on packaging.

With these factors in mind, let's take a look at some of most well-known, affordable shipping supplies and see how they can benefit your ecommerce business.

Cardboard boxes are among the most widely used packing items for orders made via e-commerce. They're strong and durable making them perfect for protecting fragile items. They're also light, which means they don't be a significant addition of cost to shipping. And best of all, cardboard is recyclable so it's a great option for eco-conscious businesses.

You can even get cardboard made from recycled materials in the beginning. Most packaging retailers like Uline sell environmentally-friendly cardboard boxes.

The bubble wrap is yet another option as a packing material. It's great for protecting delicate objects and also preventing damages during the shipping process. Bubble wrap comes in various thicknesses, so you can pick the best amount of protection to your items. Similar to cardboard boxes bubble wrap is inexpensive and recyclable.

Peanuts for packing can be utilized to fill in the empty spaces inside packages, and to prevent the items from moving during transportation. They're composed of various substances which include biodegradable ones such as cornstarch. Packing peanuts can be reused which makes them a viable alternative for companies looking to lower their carbon footprint.

air cushions can be used as an alternative to packing peanuts. These are inflatable bags that can be used as filler in the packaging. Air cushions provide the same security as packing peanuts but are easier to reuse and recycle.

paper is yet another environmentally friendly packing product. You can use paper for cushioning fragile objects and fill up empty space within the packaging. Paper is also recyclable (and you can use paper that is made of recycled materials) This makes it a ideal option for those who seek to minimize the impact they have on the environment.

There are numerous packing materials on the market, therefore it's crucial to pick the appropriate one for your business. Think about your product, the shipping requirements, as well as your brand image when selecting packing materials for eCommerce purchases. If you choose the correct packaging materials, you can be sure that your items arrive in a safe manner at their destination while making an impact on your the customers, and having a low impact on the environment.

Find out your shipping costs for your customers

Once you've identified the location you're shipping to, what you're packagingit, the techniques and shipping methods you're using, and the impact of weight and size on your shipping options You'll have to determine two aspects: your costs for handling and shipping, and the cost of shipping that the company charges its customers.

While you can use a shipping calculator on one of the main carriers' sites or a multi-carrier shipping software to calculate ecommerce shipping costs according to the type of shipping method, size, weight, and location These calculators do not take into account your cost of handling.

There are a variety of options to choose from that work the best for your particular business but you'll need to add the handling expenses somewhere else to make sure they don't impact the margins of your profits.

What are the costs for handling?

Handling is everything but the shipping cost that the company will charge you. Handling can include and is not restricted to:

• Cost of supplies for shipping like boxes, padding materials backing boards and plastic sleeves and labels. as well as a thermal printer.
• Storage costs for inventory.
• It is time to pack orders, and arranging carrier pickup.
• Service to customers regarding lost or damaged packages and updating customers about the status of their packages.

An easy way to figure out your handling costs per purchase is to figure out how much you'll spend each month on average on the costs listed above and divide it by the number of monthly orders. Add that handling charge on top of the shipping cost for each purchase.

If you'd rather add the handling cost into your product prices, you could divide your average monthly handling cost by the number of items sold each month. If you have high-priced products and products that are priced low, you might want to distribute your handling costs. The cheaper products are likely to come with lower costs for handling with them than the more costly products, although this isn't often the case.

How can I best approach the calculation of shipping prices?

Live rates

Table rates

Flat rate

Flat rates streamline your shipping strategy as they eliminate the hassle of calculating rates. Charge the same amount regardless of the weight or size of the order. This is a great option if your inventory is consistent in dimensions and weight, or when most of your customers order similar amounts. By using the default configurations you are able to charge a flat rate per product, a percent-based price, or the minimum amount.

Free shipping

Shipping is free and makes buyers content, however it decreases the margins of your product. It is possible to include the shipping cost in the price of your product, however people might not be impressed because of the price. Or keep your pricing affordable and free shipping, hoping that increased sales could make it more financially viable.

Combination shipping

Combined shipping options give you the best of both worlds. If the one-size-fits-all method of shipping isn't in line with your needs as a business You can combine and mix and match. Another option is to provide free shipping on orders that exceed a certain amount for customers to make additional items to their shopping carts.

Implement your ecommerce shipping strategy

When you've completed your study and weighed the options and made a decision that you're now ready to put your plan in order and establish the shipping process for ecommerce.

1. Make sure you back up your shop

If your store is live begin by making an entire backup. If any unanticipated issues arise it will ensure that you do not loss important information and order information. We suggest Jetpack VaultPress Backup for this.

Once your backup is completed, upgrade WordPress and your theme, and every plugin to ensure compatibility with any extension to your fulfillment or shipping system.

2. Change the settings

Click on the settings tab and then Navigate to Settings - Shipping on the dashboard. You can then create shipping zones to define rates based on customer locations, and shipping classes to set rates based on the same products in a group.

We'll begin by taking a look at shipping zones. Once you've set them up, you can define shipping charges based upon the specific areas you deliver to. You can be pretty generic here (like setting rates by countries) or hyper-specific (like the definition of rates by zip code). Do not worry about it - regardless of how complex you go, each individual customer is only able to view the prices that apply to their shipping address.

Select the Shipping zonestab and in the event that you're still not setting the zone, you'll see a prompt to do so.

Click Add shipping zone.

The new window that is opened, give the zone you're creating whatever you'd like. Then, select your areas of operation that will be included in this zone. There are many methods to set up zones. So, think about what is the best method to do so for your particular business.

For example, a retail shop situated in New York City might have zones for three areas: the East Coast, Midwest, and West Coast, with rates increase based upon the distance to New York. Or a bakery might offer free shipping just within their area or at a reduced rate for any other location.

Pick all of the places you'd like included in this shipping zone. If you want to limit your zone according to zip code, select Limit to specific zip codes or postcodes. Then, a new window will open that allows you to enter a list of zip codes.

In the next step, you'll need to determine the shipping costs which are applicable to the new zone. Select on the "Add shipping rate" button. As a default, you'll be presented with three choices: flat rate, free shipping, or local pick-up.

If you opt for flat rate shipping,you'll be able to choose a rate for this zone (e.g. $9.99 flat cost shipping). You can also set this depending on the type of shipping you use, that's something we'll cover later.

If you choose free shipping then you are able to specify the minimum amount of your order in order to receive free shipping. This includes the possibility to combine free shipping with coupons, or other.

And if you go with Local pickupcustomers who reside in the set shipping zone can take their orders to your location.

Remember, you can make one or more these items to each zone. Thus, for instance, you could offer free shipping above the amount of your order or flat rate shipping on all other items that are less than this total.

However, what are shipping classes? While these aren't required, they are an excellent method of setting rates to different kinds of items. As an example, you could offer prints that are unframed of your art, in addition to those that are framed. These will be priced differently to ship according to their weight, framed options will also require greater packaging material.

Let's run with this example. Within your dashboard, you would go to - Settings - Shipping Then, click on for the Shipping Classes tab. There, click "Add new shipping classes" on the right-hand area of the page.

Add the class's name, name, URL (URL), and description. Finally, click to save the shipping class.

The next step is to assign products to each class that you create. Click on Products and then All Productsand open the that you'd like to change. Scroll down until the product data box and choose the shippingtab.

In the dropdown for Shipping classes,select the class that best matches your product. Save your adjustments. It is possible to do this for every product within that category. Save your changes.

It allows you to be even more granular with your shipping charges. For instance, when you set up flat rate shipping it is possible to set a different price for framed prints vs. frames that are not. In the image below that there's now a separate option just for the "framed" shipping category.

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

3. Set up and activate the shipping extensions

To implement table rates, live rates, or to combine the two with live rates, you'll need an extension. It is also possible to use extensions to add features like shipping labels or warehouse syncing.

Are you working with an 3PL service? They may have a extension available in the marketplace or directly from their website, or they may configure a custom integration for you.

4. Help customers to know where their orders are located

The ecommerce shipping process does not stop after you have dropped your package off. Actually, many most effective opportunities to provide excellent customer service happen once your package is delivered to the mail!

Customers must be able to quickly know where their order is always at hand and also know when they can expect it to be delivered. This is particularly important when you sell items that typically are bought as gifts.

5. Take into consideration returning the shipment

Though nobody wants to think about returns however, they can happen. And if you accept exchanges or returns, it's important to have a plan to follow.

Shipping - profit!

It's time to begin shipping! Remember to adapt the strategy of shipping you use as you go and make modifications as you discover more about your customers. Eventually, you'll be able to identify the best options which are beneficial to the relationship with your customers and also for the bottom line.

There are many ways to handle ecommerce shipping. You could do it on your own as a partner, work with a logistics firm and drop ship items directly from a manufacturer. To make these decisions, you'll need to consider whether shipping options are offered in each case and if they're able to handle your needs.

Some ecommerce shipping carriers limit the products they'll ship, for example, or special regulations for particular kinds of products. And if you want to ship internationally, it's important choose a shipping partner who can reach the areas you wish to focus on.

You can pass along shipping costs to your customers, or cover all or part of the cost your own. There's pros as well as cons with each method and you may decide to test it over the course of duration. If you do opt to charge shipping, you can calculate rates in a variety of ways - from flat rates to table rates and even real-time, live pricing that is sourced from the shipping company.

And, regardless of what you decide to do when setting up your ecommerce shipping strategy is equipped to handle everything. Take advantage of extensions to ship products affordably effectively, quickly and securely and ensure your satisfied customers remain satisfied and your business is running effortlessly. Are you looking for more information? Go through our online shipping documentation.