Ecommerce Shipping Solutions: The Ultimate Guide

When someone clicks the "purchase" button on your site You've reached the finish line, right? Almost. Now you need a seamless ecommerce shipping process to keep the sales and keep new customers to stay.

Follow this article to figure out a strategy that delights shoppers throughout the sales funnel from when they put the item to their cart to its arrival on their doorstep.

Options for fulfillment of your shipping orders for your store

The process of shipping fulfillment is quite complex, so the initial thing you need to decide when creating your strategy to ship e-commerce is who will be responsible for fulfilling the orders. Do you handle them on your own? Will they ship direct from the manufacturer or wholesaler? Or will you contract with a third party logistics service (3PL) to handle all your ecommerce order fulfillment?

Let's review the various options, and then go over some of the pros and cons of each.

1. Ship orders yourself

If you're running a small company who produces its own products You may find it easy to deliver directly from your own offices or warehouse. This is more affordable particularly if you keep the inventory at your personal office or home. However, it will require more work to handle.

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 shipping procedure for your ecommerce business and you can tailor it for your requirements.
• You can build relations with your clients by handwriting thank-you notes or putting small items in the order.

Cons of shipping orders yourself:

• The process of shipping can be lengthy especially if you are dealing with a high volume of order.
• There is a chance that you will need to buy shipping materials and equipment such as boxes, labels, and tape.

2. Send orders via a dropshipping service

Instead of ordering goods wholesale and keeping them in your own warehouse while you wait for orders to come in it is possible to have your suppliers directly ship the items to the customer. If your current suppliers don't offer this option then you can look to find companies who make similar, or identical, products and contract with them to send orders directly.

Dropshipping could be an excellent method of fulfillment for shipping orders on ecommerce also for larger companies. Wayfair began its start as a dropshipping-only company, but later expanded its operations to include their own warehouses as well as to using the dropshipping method. Houzz which is a competitor to Wayfair is still using the dropshipping model solely. In the year that ended in June, Houzz generated $500 million in revenue. This isn't bad considering that the company does not design, make and ship any product it sells.

Using a dropshipping service is beneficial, but it also has some downsides. Let us discuss the pros and cons of dropshipping to help you take the best choice to suit your needs.

Benefits of dropshipping

• It's low-cost. You don't need to invest in inventory upfront or to hire staff for your own shipping operation.
• You can be more flexible with the products you sell. It is easy to alter your product offering as needed You're not bound to a specific inventory. This can give the flexibility to respond to changes in demand.

The disadvantages of dropshipping

• It is harder to control the product's quality. If you're using Dropshipping, you're relying on the supplier to deliver quality products. If they don't meet the standards you set, it could be a negative reflection on your company.
• More lengthy and unreliable delivery times can be troublesome for customers and lead to reduced sales. Since you're using an external third party for shipping, there's always the chance of delays. If you're using several dropshipping companies, products in an order may arrive in separate packages on different dates, leading to customer confusion and increased customer support tickets.
• Problems with shipping can take longer to resolve. If you are shipping your own products or use one 3PL firm, you are able to respond to customer service issues quicker. If you're using multiple dropshipping companies, you might be experiencing delays in communication which extend the amount of time required to address any customer complaints.

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

If you're a business that requires multiple goods from various manufacturers, but don't have the money, time, or resources to do your own warehouse management You could contract a third-party logistics provider to handle all your ecommerce shipping.

This is a viable solution if you don't possess the space for storage or the capability of shipping yourself however, it could be costly for smaller companies, based on your average volume of sales.

A few pros and cons of the use of a 3PL services for fulfillment include:

The advantages of making use of a 3PL services:

• A fulfillment company can take care of all aspects of shipping for you, which includes packing, tracking, and delivery.
• These companies often have connections with large carriers. This can help you save money on cost of shipping.
• They can scale up quickly to handle the demand spikes.
• It is not necessary to employ an employee of your own to oversee shipping and fulfillment, which reduces your time spent on management duties.
• You don't have to keep all your items in your office or home. This could reduce the cost of overhead and make your workplace less cluttered.

Cons of the use of the 3PL services:

• You will have less control over the shipping process and may not be able to tailor the process to meet your requirements.
• It is possible that you will have to pay for a per-month fee or per-order fee along with shipping charges.
• Certain customers might prefer dealing directly with the shop instead of dealing with a third party.

The final decision on which is suitable for your needs - you're shipping your own via dropshipping, using a dropshipping provider, or working with a 3PL - depends on several factors beyond what we've listed in the previous paragraphs. You'll need to weigh the advantages and disadvantages of each choice. At the end of the day, you may even decide to combine a variety of fulfillment methods. You don't have to pick just one!

Methods for shipping and the carriers that ship

Whatever fulfillment method that you pick, you'll need to familiarize yourself with the many shipping options and techniques, since you'll need to incorporate information regarding the different shipping methods into your store's shipping settings. Additionally, you'll need to offer specific information regarding your carrier and the shipping options for your customers, especially in the event that you're offering them several options during checkout.

A shipping carrieris the company who physically transports your goods to clients, such as USPS, FedEx, UPS and DHL.

Shipping methods are the options and associated rates that customers can choose at the time of checkout, such as free ground shipping, $5.00 three-day shipping, or $15.00 next-day delivery. These options are generally set by the shipping companies that you deal with, and affect the price and speed of delivery.

Consider dates, places as well as weighs

Prior to deciding the method of shipping and shipping take a look at some of the most important factors to consider:

1. Places. Which states, countries, or provinces do you want to send your cargo to?
2. Dates. If you consider where your clients live, how long will delivery time be for a particular country, state, or province? Are you interested in offering delivery on a time-based basis?
3. Weights. The size and weight of every item affects the overall cost of shipping.

Locations: Determine which countries to ship to

There are a few points to take into consideration when considering which country your online store must serve. The first is to think about the nations your market you want to target in. If you're selling items that would be very popular in the United States, then it is sensible to send your products there. But if you're selling products that are more niche or targeted towards a particular region, then you might prefer to restrict your delivery to just that region.

The other thing you should consider is the cost of shipping. Shipping internationally can be costly, so you'll need to take into account that when making your choice. It is possible that you will need to comply with customs regulations and other regulations, which can add even more complexity and cost.

Finally, think about your ability to manage shipping for multiple nations. It's a lot of work to deal with the various regulations for shipping, shipping carriers, choices, and prices and so be well-prepared prior to signing the contract.

If you take all of these factors into account then you'll be able to narrow your list of potential countries that you could ship to. Then, you'll be able to look into the particular rules and regulations for each country to make sure that you're ready to move there successfully.

Pro tip:Beyond extra expenses and logistical challenges International shipping is a challenge because it has the legal requirements and regulations for customs which can differ greatly by the country or region. Make sure that you partner with an international shipping firm that can automate as much of the process as it is.

Shipping has partnered with DHL and DHL, so it is possible to handle international orders through your account. You'll also save up to 67% off labels, receive free pickups, be able to provide your customers with complete traceability, and enjoy the automated creation of custom forms.

Dates: Determine delivery times for the carrier, delivery methods, as well as other ways

Determine the best delivery dates and shipping methods for your online store that most suit your needs. It is essential to select an option that will get your products to your clients in a timely fashion. If your products are time-sensitive, such as cosmetics or food, this is even more important.

Based on the location you're shipping your products and the time it takes for your goods to arrive you can offer an assortment of shipping options like:

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

By offering fast and reliable shippingservices, you can guarantee that your customers are happy with their experience.

Size and weight could impact shipping costs and shipping options.

Before you start shipping orders, it is important to know not only the size and weight of your goods, but the size and weight of your products once wrapped. This will help you decide the best method for each item 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 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 is an especially good price if you're shipping smaller but heavy items. It is possible to ship anything as heavy as 70lbs and pay the same flat rate. You also get the benefit of USPS supplying you with an envelope with a flat rate or box.

When you're sending large objects over the top, fees for oversized packaging might be necessary, however if you're shipping multiple items in an order it could be economical to break these items over several packages in order to avoid excessive package charges.

A 3PL service is able to default to the method that is most cost-effective for them and for your company. When you require that items arrive in the same package even though it's more costly, or to split items in multiple packages due to an reason that it might better to place the items in one box, you'll need 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.

For international shipping it is necessary take a look at the choices that are available to the different countries and figure out which will work the best depending on the dimensions and weight of your items. While strategies like splitting up items to avoid oversized-package charges could be useful for domestic customers however, this strategy may not work for international shipments. You'll need to map out a unique ecommerce shipping system to each country that you send your shipments to.

How can I package orders for shipment

Size, destination and weight, the carrier and shipping methods all influence the shipping cost and methods you use. It is equally crucial to consider the way your packages are packed. Being a company proprietor, you must deliver your items in the most cost effective way while also making sure that your items arrive in good shape.

If products are packed poorly and not properly, you could end up with bad reviews, returns or costly reshipping of orders. When you ship products yourself, using a 3PL service or even dropshipping direct from your supplier Make sure all of the items you ship are properly and safely.

You'll want to consider how many items could fit into a package , and whether the different kinds of products should be shipped in the same package or sent in separate packages. It is also important to make sure that the products you purchase are secured from the elements and from damage due to dropping on them, stacking or agitation during transport.

Ask yourself the following concerns about your product to figure out the most efficient way to package them:

• Do you think it is weighty?
• Does it have a fragile structure?
• Does it have a sharp edge?
• Does it contain fluids?
• Are you sure it's unique?
• Can it easily be damaged when it's wet?
• Is it oversized?
• Does it seem small?

When a client orders two very different products for example, a pair of champagne flutes in crystal or free weights You probably won't want to ship those in the same box. However, even if a customer orders several of the same product, you may still want to split the order over several packages to prevent harm.

In the case of a customer who purchases twenty 18" 24" canvas prints from the store, it would not be prudent to put them all in the same package. The weight of each item could cause destruction to the canvas underneath it. Additionally, you could be charged more for shipping for using an oversized box.

Also, the larger and more unwieldy the item is, the more challenging it can be to have it delivered without being dropped. A package's size that is notable could draw the attention of package thieves.

Smaller packages aren't easy also. Even if the item you want to send fit in a small envelope with padding, you might require a rigid cardboard or hardboard insert in order to stop the bending of your item, bubble wrap or any other padding material to ensure the items are delivered safely to the customer.

If you've got a mixture of large and small items in an order, it could be possible to combine them in the event that the smaller items be used as padding (like clothing or linens) or are lightweight and sturdy.

The choice of packing materials

Packing materials for both small and large packages could make shipping more expensive for e-commerce. You don't just have pay for the cost to purchase these materials, but they also make the package heavier, which will make shipping more expensive.

There's a need to be sure that your containers and packing supplies can handle the dimensions and weight of the goods you're sending, but that's not all you need to think about.

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

• Fragility of item
• Brand Experience
• Materials that are eco-friendly
• Cost of packaging

Fragile merchandise

If you're shipping fragile items it is necessary to utilize different packaging materials than when you're sending non-fragile goods. There may be additional packaging materials like bubble wrap or foam or air cushions to ensure your items arrive safely. Other packing materials could increase your overall package size But ensuring your items are delivered safely can reduce the cost of returns in the long run.

Be aware of whether your goods could be damaged by rain or other elements during shipping. Take into consideration wrapping goods that might be damaged by water using shrinkwrap, a plastic overbag, or other waterproof packaging. If you're using a bubble mailer, opt for using a plastic option rather than one made of paper.

Brand experience

If you aren't bothered by costs it is possible to brand your packing materials. Businesses such as Mule Sticker Mule offer custom branded packaging and tape that will allow you to customize all of the shipments you receive from your orders an experience that is branded.

When a box featuring your brand's image is delivered to someone's door, they'll know it's from your company. Your brand's presence can bring some excitement a customer's day. Additionally, the fact that your business is willing to go the extra mile to package its products can build trust that you're making the same effort into your products.

Materials that are eco-friendly

If your company wants to utilize environmentally-friendly packaging materials, there are definitely solutions available. There are even eco-friendly packing materials as part of your marketing plan. If you're selling products that are organic or natural, or you simply value environmentally-friendly manufacturing methods, it might make sense to purchase eco-friendly packaging.

Businesses like Hero Packaging, Mushroom Packaging and Noissue offer sustainable packaging options. Noissue even allows personalized branding for your packaging products. The packaging that is environmentally friendly can be costlier than other packaging, so keep that in your mind when you're working on the tightest budget.

Cost of packaging

You want to make sure your goods get to their destinations securely and that your customer has a positive experience with the delivery. However, you shouldn't spend too much on packaging.

With these factors in mind, let's take a look at some of the most popular, cost-effective packaging materials and the ways they can benefit your ecommerce company.

cardboard boxes are among the most commonly used packing products for online orders. They're sturdy and long-lasting making them perfect for protecting fragile items. They're also lightweight, so they won't add a lot of extra cost to shipping. Additionally, cardboard can be recycled, which means it's an ideal choice for businesses that are environmentally conscious.

It's possible to purchase cardboard that's made from recycled materials from the very initial place. 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 shipping. Bubble wrap comes in various sizes, which means you are able to choose the right level of protection for your items. Like cardboard boxes, bubble wrap is cheap and recyclable.

Packing peanuts can be utilized to fill in the empty spaces in packages and prevent items from shifting during shipping. They're made from different materials which include biodegradable ones such as cornstarch. Peanuts used for packing can be recycled, so they're a good alternative for companies looking to minimize their impact on the environment.

The air cushions can be used as an alternative to packing peanuts. These are inflatable bags that can be used to fill empty space within packaging. Air cushions provide similar protection to packing peanuts, but they are much easier to reuse and recycle.

paper is another eco-friendly packing product. You can use paper to cushion fragile items or fill empty space in packages. Paper can also be recycled (and it is possible to use papers constructed from recycled material) This makes it a excellent option for companies that are looking to limit the impact they have on the environment.

There are many different packing materials on the market, therefore it is important to select the appropriate one to suit your needs. Take into consideration your packaging requirements, and your company's identity when choosing packing materials to ship your online orders. With the right materials, you can ensure that your items arrive in a safe manner to their final destination, while creating the right impression on clients and having minimal effect on the planet.

Decide on your rates of shipping for your customers

Now that you know the location you're shipping to, what you're packaging, what carriers and methods you're using, and the effect of size and weight on the shipping options you have It's time to estimate two things: your cost to ship and handle and the cost of shipping that you're charging your clients.

While you can use a shipping calculator on one of the main carriers' sites or an application that can multi-carrier ship for calculating the shipping cost for ecommerce based on method of shipping, the size, weight and destination These calculators do not consider shipping costs for handling.

There are a variety of options to choose from that work most effectively for your company, however, you'll have to include the handling expenses somewhere else to ensure they do not eat away at the profit margins.

What are the costs for handling?

Handling is everything but the shipping cost which the shipping company charges you. The term "handling" can refer to however, it isn't limited to:

• Cost of supplies for shipping like packaging materials, boxes, backing boards and plastic sleeves, tape, labels, and a thermal printer.
• Cost of storage for inventory.
• The time is spent packing orders as well as arranging for pick-ups for carriers.
• Help with damaged or lost packages, and communicating with customers on the status of their shipments.

An easy way to figure out your average handling cost per order is to determine how much you'll spend each month on average on the above costs and divide it by the average number of orders placed per month. You can then add that handling fee to the shipping price of each purchase.

If you'd like to incorporate the handling costs into your product prices You could split the cost of handling your monthly average by the number of merchandise sold in a month. If you sell high-priced items as well as low-priced ones, you might want to distribute your handling costs. The cheaper products are likely to be less expensive to handle with them than more expensive products, although this isn't necessarily the case.

What's the best strategy for formulating shipping costs?

Live rates

Table rates

Flat rate

Flat rates simplify the shipping process by taking the guesswork out of calculating rates. You can charge the same price regardless of the amount or weight of your order. This is a great solution if you have inventory that is consistent in size and weight, or if most of your customers order similar quantity. If you use the default configurations you are able to charge a flat rate per item, or a percent-based price, or an amount that is a minimum.

Free shipping

Shipping is free and makes buyers satisfied, but it also lowers margins for your business. The costs of shipping into the cost of your item, but customers might be turned off by the higher dollar amount. Keep your prices minimal and offer free shipping in the hope increased sales will make it financially worthwhile.

Combination shipping

The combination of shipping options offers the best of both worlds. If a one-size-fits-all approach to shipping doesn't meet your needs as a business You can mix and mix and match. One approach is to offer free shipping on orders that exceed a certain amount in order to convince customers to purchase additional items to their shopping carts.

Implement your ecommerce shipping strategy

Once you've done your research and weighed the options and made a choice that you're now ready to put your plan in position and begin setting up the ecommerce shipping process.

1. Back up your online store

If you have a live store, start by taking an entire backup. If any unanticipated issues arise the backup will help you not lose valuable data and the information about orders. We highly recommend Jetpack VaultPress Backup to handle this.

Once your backup is completed After your backup is complete, you should make sure to update WordPress as well as your theme, and every plugin to ensure compatibility with any updates to fulfillment and shipping extensions.

2. Setup the settings

Navigate to the settings tab and then Shipping within the dashboard. You can then create shipping zones for defining rates based on customer locations, as well as shipping categories to set prices based on the same products in a group.

We'll begin by taking an overview of shipping zones. When you set these up, you'll be able to define shipping charges based upon the specific areas you deliver to. It is possible to just be a bit generic (like defining rates by country) or more specific (like setting rates according to the zip code). Don't worry - no matter how complex you go every customer is only able to view the prices which apply to their particular shipping address.

Click on the Shipping zonestab and in the event that you're still not setting the zone there will be a prompt to set it up.

Click Add shipping zone.

When the new window is opened, give the zone you're creating whatever you'd like to. Then, select your shipping regions that will be part of this zone. There are numerous ways to configure zones, so think through what is the best method to accomplish this for your particular business.

A retail shop situated in New York City might have zones that cater to three areas: the East Coast, Midwest, and West Coast, with rates rising based on the distance to New York. A bakery could offer free shipping just within their zip code, and paid rates to every other place.

Select all the locations you'd like to be included in this shipping zone. If you'd like to limit your zone according to zip code, click limit to specific zip codes/postcodes. A new form will be displayed that allows you to enter an alphabetical list of zip codes.

Next, you'll want to establish the rates for shipping in the brand new zone. Click the "Add shipping rate" button. As a default, you'll be presented with three choices: flat rate, free shipping, and local pick-up.

If you select Flat rate shippingyou'll have the option to specify a particular rate for this zone (e.g. $9.99 flat rate shipping). The option to change this is according to the shipping class which we'll talk about later.

If you choose free shipping then you are able to specify an amount for your minimum purchase in order to receive free shipping. This includes the possibility to associate free shipping with a coupon code, and other.

If you choose to go with local pickup,customers that reside within the shipping area will be able to collect their package at your location.

Remember, you can make one or more the items listed above to every zone. So, for example it is possible to give free shipping on 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 method of setting rates for different types of products. For example, you may offer prints that are unframed of your art, in addition to those that are framed. They will not only cost different amounts to ship based on their weight, framed options will also require greater packing materials.

Let's look at this scenario. In your dashboard, go to Settings - Shipping, then click to open the shipping classes tab. Then, you can click "Add new shipping classes" at the bottom left corner of the page.

Then, add the name of your class, the URL (URL) along with a description. Click Save shipping classes.

Now you'll want create a product list for each class you've created. Click on Products - All Productsand open the product you wish to modify. Scroll down until the Product Data box, and click the Shippingtab.

When you are in the dropdown list in the dropdown for Shipping class,select the class that most closely matches the item. Then, save your modifications. This can be done for every product within that category. Save your changes.

This lets you be even more granular with your shipping charges. So, for example when you're setting the flat rate for shipping it is possible to set a different price for framed prints vs. frames that are not. You'll see in the screenshot below that you can now select a separate option just for"framed" printing "framed" shipping category.

And that's it! You can see that there's a lot that you can do with default settings for shipping.

3. Install and activate shipping extensions

In order to implement table rate as well as live rates, or to combine the two using an extension, you'll require an extension. It is also possible to use extensions to add features like shipping labels or warehouse syncing.

Working in conjunction with an 3PL service? There may be an extension that is available on the market or directly on their site They may also design an extension specifically for your needs.

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

The shipping process for e-commerce doesn't stop once you drop the parcel off. Indeed, many of the most rewarding opportunities for excellent customer service happen after your order is in the mail!

Customers need to be able quickly understand where their order is at all times, and know what time it will take to arrive. This is crucial if you sell items that are frequently purchased as gifts.

5. Consider return shipments

Although nobody likes to think about returns but they happen. And if you accept exchanges or return shipping It's crucial to put a strategy in place.

Shipping - profit!

You're ready to start shipping! Remember to adapt your shipping strategy to your needs and implement 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 your bottom line.

There are a variety of methods to deal with ecommerce shipping. You can do it yourself as a partner, work with a logistics firm, or drop ship products directly from a company. In order to make the right choices it is important to think about, in part, which companies are readily available to you and whether they are able to meet your needs.

Certain shipping companies on the internet are restricted on what items they'll ship, for example specific regulations that apply to specific kinds of material. And if you want to send your goods internationally, you'll have choose a shipping partner who reaches the locations you want to target.

You can pass along shipping costs to your customers and take care of all or a portion of the cost yourself. There's pros as well as cons with any method and you could decide to test it over the course of the course of time. If you decide to opt to charge shipping, you can calculate rates in a variety of ways - From flat rates to table rates and even live, real-time pricing fed from your shipping carrier.

And, regardless of which method you pick to set the e-commerce shipping system, has the tools for handling everything. Make use of extensions that allow you to ship products affordably, efficiently, and safely so your happy customers stay happy and your store operates smoothly. Want more details? Check out our ecommerce shipping documents.