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Ecommerce Shipping: The Definitive FAQ Guide

If you’re starting an eCommerce business or a professional in the industry, shipping is undoubtedly the most fundamental aspect.

Whether you want to ship to Amazon FBA or shipping from Alibaba or AliExpress, you need cost effective and seamless process.

This guide explores all the basic and advanced concepts on eCommerce shipping.

Keep reading to learn more.

What is Ecommerce Shipping?

It is the service, which suppliers, manufacturers, and vendors utilize to transport commodities bought from them to buyer’s delivery destination.

It incorporates necessary facilitation for ensuring the products purchased from online dealers are shipped to the customer within the agreed terms.

What are the Best Practices in Ecommerce Shipping?

The customer’s expectations are always high irrespective of what they purchase.

Appropriate practices in ecommerce shipping are thus essential in enhancing seamless shopping experience.

Some of these best practices include the following;

1) Assemble the Correct Team

You must find the right people to assist you in decision making in this business.

Bring into all the stakeholders within your organization into a conversation.

In essence, make each department in the organization to understand its role in relation to enhancing shipping experience.

2) Provide Free Shipping when you can

Free shipping

It can be one of the hardest practices to execute in ecommerce shipping.

You need to find a balance between lower profit margins for you or costly prices for your customers.

Nowadays, with the existing stiff competition, most customers expect free shipping.

Additionally, statistics are quite clear that most cart abandonment arises due to shipping costs.

Therefore, you just have to provide free shipping by adopting a working strategy.

Ideally, set a minimum amount, which the customer’s order must meet to get free shipping.

This model comes in handy in saving costs,mainly when shipping multiple small orders.

Additionally, it encourages shopper to spend more on your platform hence a win-win situation.

3) Make the Shipping Costs apparent at Checkout

Make sure the shipping cost is evident at the checkout, whether it’s free or based on a certain order quantity.

Integrate your system to enable the users to see the shipping charges added to the sub-total.

Customers hate surprises and can easily abandon the cart if they only see the costs at the end of process.

Therefore, let the customers know the charges for the order as they continue placing items in the cart.

It makes it easy for them to manage their expectations.

Shipping cost at checkout

4) Let the Buyers know Expected Date of Delivery

Integrate the system to enable the shopper to know the delivery estimate for the commodity.

This should be dependent on the date of their order as well as their preferred method of shipping.

Show them particularly at the check-out section.

Statistics show how shipping duration is a fundamental element in buyer’s shipping decision.

They want to know when they are likely to get the item to guide their purchasing decision.

It helps in providing them with necessary information hence unlikely to abandon their cart.

5) Always Update the Customers during Shipping Process

Ensure you have a system, which keeps on communicating with the buyers during the shipping process.

Provide notifications to the customers based on the status of their shipment.

It contributes significantly to a positive experience.

It also goes a long way in building trust since the customers stay informed throughout the process.

6) Take Responsibility whenever there is an Issue

At times packages get lost or damaged by the shipper.

The customer will hardly view it the same way.

Whenever a shipping problem arises, take full responsibility, and act on the issue immediately.

Confirm the tracking details of the shipment, and find out if more information were captured correctly.

Inquire from the carrier about the details and status of the consignment.

Follow it up until you resolve the matter.

You must maintain customer relations and satisfaction.

Arrange to replace and ship the item to the customer.

Never wait until the shipment is found or compensated to sort out the buyer.

These practices are vital in boosting customer experience rates, tapping in more of them, and converting most visitors to actual buyers.

Remember, the buyer’s journey ends the moment the package arrives at their address in good condition and timely.

And not necessarily at checkout and purchasing from your online outlet.

How much will Ecommerce Shipping from China Cost?

You have to factor in the following elements in determining the cost of ecommerce shipping from China;

· Distance from Country of Origin to Country of Destination

If you’re shipping a product from China, the cost will depend on the specific distance it covers.

Different carriers offer varying rates based on the distance between country of origin and destination.

Ideally, the shorter the distance, the cheaper the rates, and the longer the distance, the higher the shipping cost.

· Weight of the Package

The dimensional weight of the package considers its size to determine shipping cost.

Most couriers multiply the length, width, and height of the package and divide it by standard DIM advisor to get the weight.

Heavier packages are a bit costly to ship compared to relatively lightweight packages.

· Size of the Package

A bigger package will definitely occupy a larger space in the vessel and vice versa.

Therefore, a package with bigger dimensions will naturally be expensive compared to one with smaller dimensions.

· Mode of Ecommerce Shipping

You can choose air freight, trucking, rail freight, ocean freight, and express shipping as the modes of transporting shipments.

However, the rates vary based on numerous factors.

Express shipping is the most expensive mode of ecommerce shipping.

On the other hand, ocean freight is the cheapest means of ecommerce shipping.

You have to be particular when selecting the mode of shipping depends on your various demands and budget

· Insurance

There is need to make sure you buy an insurance cover for your shipment.

Most suppliers often use relatively cheap and substandard export packaging.

Buying an insurance cover guarantees compensation in case the consignment is damaged during transportation.

You can find a variety of affordable insurance providers for as low as 0.02% based on 110% of FOB rates.

In most cases, compensation claims are reasonably simple to make.

You merely need to provide sufficient evidence and a protocol listing value and quantity of damaged commodities.

· Handling Costs

It primarily refers to the chargeable amount pegged on time taken in the preparation, packaging, and loading of the order.

It is mostly associated with labor involved in the overall order fulfillment process.

The higher the number of touchpoints in order fulfillment process, the more expensive the handling costs.

And where there are a few touchpoints, the handling cost will be lower.

In all aspects, it is advisable to always use shipping calculators from the respective shipping service provider you’re seeking.

This tool helps you to compare pricing options of different players in this industry.

Some of the calculators you can use in comparing ecommerce shipping costs include the following;

Sample shipping calculator

Also, you can consider other cheaper alternatives such as ePacket shipping from China.

In fact, if you an ecommerce seller based in the U.S., you can easily ship your products from China, Hong Kong or Korea.

It is an affordable and faster ecommerce shipping option.

You can easily monitor the ePacket shipping process through the China post.

Remember, with low shipping cost, you can price all your products competitively.

In fact, it is perfect for drop shipping.

How do you Control Quality during Ecommerce Shipping?

Ecommerce shipping has made online shopping faster, relatively convenient, and more global than before.

As much as customers buy online, manufacturing and shipping processes must uphold high-quality standards.

The commodities you obtain from the supplier to the customer must never lose any quality along the way.

Some techniques of controlling and maintaining quality in ecommerce shipping include the following;

· Accurate Order Fulfillment

You have to counter-check the order upon arrival from the supplier or manufacturer.

Pull the order to confirm it is picked and sorted appropriately.

It helps to establish quality concerns such as detecting deformities or wrong packaging before the order gets to the customer.

Also, check whether or not the quantities specified in the order match what’s supposed to be shipped.

Ensure all items are included as per the specifications provided.

Accurate order fulfillment, of course, guarantees ultimate experience for the customer.

· Proper Packaging

Different commodities destined to various destinations require unique packaging.

An ideal way is to make sure the shipment is securely packaged using the right packaging materials.

You should never leave any chance for elements, which can cause damage to the consignment.

This should be irrespective of the distance, whether for local or international shipping.

Safeguard the items from weather and other physical elements to ensure they get to the customer while intact and in good shape.

· Accurate Labeling

Once the orders are received from respective suppliers, picked and packed, you have to label them accurately.

It is a critical element, which helps in preventing mis-shipping incidences where small orders are involved.

Labeling also becomes imperative in case of an order misplace or should it get lost.

It becomes easy to track, retrieve, and redirect it to the respective destination.

When labeling, you must verify the destination details such as customer’s name, address, and other contact information.

· Appointing the Right Team for the Task

You can choose to appoint an in-house team or third party agency to handle quality control in ecommerce shipping process.

Even so, the team must be competent and duteous in all aspects of quality control.

The team must know quality control protocols and should always offer best results.

A competent team will hasten the process and ensure quality is upheld throughout.

· Complying with Regulations

All products have specific regulations, which they have to conform to.

It could be health, safety, industry, or government directives.

You have to check the compliance as stipulated by the regulators.

Also, ensure the product hardly poses a threat safety of the handlers and users.

Confirm that the commodities also match up with the regulations of the industry and government.

Factor in the destination of the shipment, and all the possible checkpoints it may pass through.

It helps you to enforce necessary compliance is attained everywhere. And this improves quality of the service.

· Selecting Competent Courier Services

Once the items leave your warehouse, it is apparent you have little to no control of the quality.

However, the carrier you pick for the service plays a fundamental role in upholding the standards.

The trucks, vessels, or aircrafts the shipper uses should be in good condition always.

Where possible, ensure you liaise with the inspection, loading, and unloading units of the courier service provider.

It enables you to be in the loop during the shipping process.

What are the Goals of Ecommerce Shipping Strategy?

Here are the most common goals for shipping strategy in ecommerce;

Enhancing operational efficiency – always make sure the teams working on fulfillment of orders have the right details.

It helps in bettering the decisions regarding aspects of selecting, packing, and shipping orders.

Expanding the market – penetrate new terrains as a way of expanding the target market.

Alternatively, you can reach out to new areas or people who couldn’t access your services in the past.

Increasing conversions – make sure you provide the types of shipping alternatives and rates, which are in line with customer’s expectations.

Evidently, the rates and shipping options are great determinants of conversion rates.

Reducing costs–integrate the necessary incremental changes regarding fulfillment process and the services your company offers.

Incorporate other services as affiliates of your brand to help in reducing the overall operational cost.

But at the same time, you must maintain the service delivery is top-notch.

Increasing average order value – introduce promotions and programs encouraging users to purchase more.

For instance, you may offer free shipping on certain order limits or free expedited shipping at particular subsidized rates.

You can also choose to offer flat-rate shipping on certain commodities considered to be high-profit.

The bottom line is to add value to the existing services you are providing.

What are the Critical Considerations in Ecommerce Shipping?

The imperative considerations in this service delivery include the following;

1) Shipping Options

Express shipping

You must establish the most appropriate shipping carriers and services, which cater for unique demands.

When you manage your shipping options, it becomes easy to fascinate your clientele.

At the same time, it enables you to keep the costs in check.

Several couriers companies are available.

Don’t always consider the big-name shippers in all circumstances.

Some local courier companies offer more efficient services at cost-effective rates.

The shipping options you should look at include same-day delivery, free in-store pick up, free shipping, and LTL freight carriers, among others.

2) Product Size and Weight

Ensure you determine the size and weight differences of the consignments you are shipping.

It gives you an easy task to identify the ideal approach to undertake.

If you’re shipping different commodities, but with uniform size and weight, it becomes easier to establish the pricing.

Nonetheless, you have to ensure the weight and dimensions of the package are accurate.

It makes it easy for you to obtain the best rates from a carrier, which guarantees best ROI.

3) Delivery Destination

It falls into two categories; domestic and international.

But it is a crucial element to consider in ecommerce shipping.

For instance, you can always choose to free shipping or flat-rate shipping options for domestic shipments.

However, for international shipping, you may choose to set the rates depending on the zones.

An ideal strategy is to offer cheaper rates for areas within a closer zone and increase it as you radiate outer the zone.

The crucial considerations in ecommerce shipping revolve around the cost of the service.

It makes a great difference on whether or not the customer will abandon the cart.

You need to find the right balance on how to offer lower shipping rates and, at the same time, cover the costs.

Moreover, you must be able to offer as many shipping options in tandem with your customers’ demands.

How do you Set your Ecommerce Shipping Rates?

In ecommerce shipping, it’s imperative to choose your pricing strategy meticulously.

The fundamental financials of your business should guide you.

Here are some of the ways you can use to set your ecommerce shipping rates;

· When to Offer Free Shipping

It is proven as one of the most appropriate ways of reducing shopping cart abandonment when buying online.

However, shipping can never necessarily be free since there has to be a way of recovering the cost.

When offering free shipping, you can choose to offer a discount code to particular customers to enjoy free shipping.

The other strategy would be to inflate the price of the goods to cover the shipping costs.

In this case, it is the customer who, in turn, pays for shipping.

Better still, you can increase the cost of goods slightly, to cover the shipping costs partially.

In such a scenario, both the seller and buyer contribute to the shipping cost.

Additionally, you may choose to take care of the shipping costs from your profit margins.

· Charge Flat Rate for Shipping

It is also another popular option you can explore in setting your ecommerce shipping rates.

In this case, the best approach is to try and ensure you never undercharge or overcharge the buyers drastically.

This strategy always works fine when you have a reasonably standard product line of commodities with similar sizes and weights.

Even so, it can be a bit challenging and ineffective if you’re selling various products of different sizes and weights.

· Consider Real-Time Carrier Rate

It is another ideal option you may consider.

If possible, you may choose to integrate with various carriers in real-time.

It helps to generate live pricing as well as shipping alternatives from various carriers.

The essence of this option is it allows your customers to select and pay the particular service they require.

Tentatively, you can choose to use an ecommerce shipping calculator.

This tool guides you in finding the ideal ecommerce shipping rates for your consignment.

But you have to know how to use this calculator to get effective results.

Tj chinafreight, for instance, has an ecommerce shipping calculator, which you can easily access and use to set the rates.

What are the Product Packaging Tips in Ecommerce Shipping?

Packaging for ecommerce shipping

Product packaging creates a lasting impression and fantastic customer experience in ecommerce shipping.

It also influences the client’s purchasing decision and allows you to stand out in the prevailing stiff competition in this industry.

If you care about your brand, you need to devise and execute creative, safe, and effective product packaging ideas.

Here are some of the ideal tips you may consider for product packaging in ecommerce shipping;

· Select the Best Fit

The container must be the right size for the shipment.

Both internal and external packaging should fit tightly around the commodity.

It is vital first because tight fit guarantees the items can’t move around inside the container hence eliminating the cause of damage.

Secondly, it helps in reducing cost since the smaller the container, the cheaper the shipping rates.

Thirdly, right-sizing packaging helps in reducing the amount of void fill used for every package.

Thus, it lowers your total material cost.

Finally, customers find it happy to unbox a product, which is not excessively packaged.

· Use Unique Packaging Materials

Be conscious of the materials you are using for packaging the shipments for ecommerce shipping.

Look for different solutions for a single product.

Exploring the necessary unique packaging materials may as well go ahead and provide amazing cost benefits.

· Use Return-friendly Packaging

In ecommerce shipping, at times, returned products are inevitable.

Therefore, invest in return-friendly packaging solutions.

It can go a long way to help you save money in the long run.

Naturally, the initial packaging always guarantees protection, unlike the return one.

The customer will always choose any means to return the item to you and may not consider its safety.

Return-friendly packages maintain the safety of the product on its way back.

· Switch Rigid Boxes for a Flexible Mailer

Where possible, swap boxes for mailers.

The latter are often affordable, lightweight, and user-friendly.

For relatively fragile commodities, you can use bubble linings or fiber padding.

Mailers are also return-friendly since the customer will only use a second adhesive strip for returning the package.

·Know your Target Market

Package the items according to the market you are targeting.

Markets are different; hence they are fascinated by different elements.

Do your research to establish the end-users to enable you to design a cost-effective and sustainable packaging for ecommerce shipping.

· Leave a Lasting Impression

Product packaging for ecommerce shipping provides a unique way of interacting with customers.

It is an incredible aspect of creating a fantastic customer experience, especially during unwrapping.

Be strategic regarding the materials you use, messages you print, and anything else you include in the packaging.

It is the ideal way of creating a lasting impression on the customer.

Ensure you customize the packaging design where possible in a creative design.

· Use Customized Packing Tape

Using a custom packing tape is a great way of making your mark on ecommerce deliveries.

It makes your brand stand out and exhibit a high level of professionalism.

· Use Reusable Packages where Possible

Depending on the item you are shipping, you may choose to use a reusable container.

This is particular in products, which do not need or rely on bulky and protective packaging.

It makes shopping more sustainable, especially in instances where the customers are willing to return the containers by post.

What Customs Information do you need in Ecommerce Shipping?

Customs services offered – this involves customs support, standards as well as requirements.

Customs process – It entails restricted or prohibited goods, goods classification, and role of the customs agent.

Customs documents – They include a commercial invoice, profoma invoice, Bill of lading, C/O, insurance certificate, test report, and export license, among others.

Customs terminologies – You need to be conversant with a wide range of customs jargon, acronyms, and terms.

You can get this information from courier service provides such as FedEx, UPS, USPS, Aramex, AustraliaPostCustomsInformation, andDHLExpress, amongst others.

How do you Label Goods in Ecommerce Shipping?

In ecommerce shipping, each order requires a label.

It is a critical touchpoint between the vendor and the customer.

The label makes it apparent to tell your story.

Here arethe steps for labeling commodities on ecommerce shipping include the following;

Labelling goods for ecommerce shipping

1. Find the Shipping Labels

You can find the shipping labels from the shipping confirmation email of the customer.

Alternatively, you can retrieve it from the customer’s account on your platform.

2. Print Two Copies of the Shipping Labels

Once you retrieve the customer’s details from either their account or confirmation email, print the hard copies in duplicate.

One copy should be for the inside, whereas the other copy should be for the outside of the container.

Each label has a unique barcode, which is vital when it comes to tracking the commodity.

3. Attach the Shipping Labels

It is recommended to attach the shipping labels to the upper part of the container.

Fix the label on the container surface using a clear packing sleeve or a packing tape.

If you are using tape, remember to apply it over all the four edges of the label.

4. Double-check the Shipping Label

Confirm whether the shipping label is securely attached on the container surface.

It is a critical step, which determines successful delivery.

How do you use Fulfillment Warehouse in Ecommerce Shipping?

A fulfillment warehouse comes in handy in ecommerce shipping as follows;

Amazon Fulfillment warehouse

Receiving inventory – It is the place where products for distribution are received and stored awaiting further actions.

Storing inventory–The space is also used for keeping the stock received from manufacturers or suppliers.

The inventory can stay safe in this space until the moment of distribution.

Order processing – Fulfillment warehouse is also used in general order processing for ecommerce shipping.

This involves generating pick lists and picking commodities, kitting and arranging products, packing, and labeling shipments.

Managing returns – It also plays a pivotal role in organizing returns from customers.

Space is used for reconciling the stock returns for efficient inventory management.

Which Ecommerce Shipping Strategy should you Adopt?

They are quite a number, and the most appropriate one depends on your demands as well as the budget.

Some of the common option you can adopt in ecommerce shipping include;

· Same Day Delivery

It is one of the most efficient and requested services in ecommerce shipping.

The customer receives the order within 24 hours upon placing it.

This strategy is ideal since it improves customer satisfaction, reduces friction in a purchase decision, and enhances consumer confidence.

However, it requires extreme precision from the teams handling logistics.

It also requires huge initial investment capital to maintain reliability and efficiency.

· 2 Day Shipping

It refers to the strategy of shipping commodities from the shipping carrier to the customer within two business days.

It is expected of a seller to ship the product to the customer within two business days on all service levels.

· Overnight Shipping

It is a shipping option guaranteeing customers to receive their shipments the following business day upon placing the order.

It is relatively synonymous with one-day or next-day shipping.

Affordability of overnight shipping is dependent on different criteria such as carrier, distance, package dimensions, and weight, among others.

· Freight Shipping

It refers to the transportation of comparatively large consignments, be it domestically or internationally.

It is an ideal and cost-effective option for shipping cargo, which weighs over 100kgs.

Freight shipping includes several options, including LTL, FTL, intermodal and expedited.

It is a safer option and also enables you to work with some of the top-notch carriers across the world.

· Expedited Shipping

It refers to any shipping method, which promises the customer to receive the order faster than other standard shipping options.

This method often varies depending on carrier.

However, it tends to fall between overnight and two-day for most domestic deliveries.

It is an essential strategy in ecommerce shipping since it eliminates cart abandonment.

It also helps in building customer loyalty and meeting buyer’s expectations around ship time.

Which are the Ecommerce Shipping Service Providers you can Recommend?

Here are the recommended companies, which you may consider using for ecommerce shipping;

· DHL

It’s known as the market leader in ecommerce shipping business.

It has a large n