Has anyone ever told you in business, “Choosing the right partner is one of the most important decisions you’ll ever make?”
Partnerships are essential when it comes to running an ecommerce business, and this includes selecting the right shipping carriers to partner with.
Choosing the appropriate shipping carrier(s) is critical to optimizing your shipping strategy. The carriers you use are determined by a number of factors, including what you’re shipping, where you’re shipping to (and from), how much your packages weigh and how large they are, and how much you’re selling your products for.
Every carrier has advantages and disadvantages, and determining which is best for you can be difficult. Don’t be concerned, though! In this guide, we’ll go over how to select the best shipping carrier(s) for your company.
What exactly is a shipping carrier?
Shipping carrier is a company that is in charge of transporting your packages from Point A (the shipper) to Point B (the recipient) (your customers). USPS, UPS, FedEx, DHL, and others are the major shipping carriers that cover the United States and international regions.
Shipping carriers have become essential to keeping the economy running as more businesses continue to rely on the internet to sell their products, as more people rely on online shopping and delivery every day.
Carriers differ, particularly between long-distance carriers and regional parcel carriers that specialize in last-mile delivery:
- Long-distance carriers specialize in “door-to-door” services and will deliver your shipments to any location in the United States as well as internationally.
- Regional carriers serve specific cities or regions and provide lower rates in those areas.
How to select a shipping company?
Selecting the right shipping carrier is always situational, and there is no one-size-fits-all solution. At the end of the day, the carrier you select will be determined by your company’s specific needs and desires.
Too numerous shipping carriers to choose from, each with their own set of services. When it comes to selecting one, it’s critical to consider the services that will meet your needs and those of your customers.
Whether you choose one of the three major carriers (e.g., USPS, UPS, and FedEx) or a regional carrier, we’ve outlined some of the most important considerations below.
Location is not only relevant in real estate. If you use the right carrier, you need to know exactly where to ship it. Would you like to ship the item locally, internationally, or both?
Different carriers offer different services, benefits and rates, depending on how you respond. For example, if you want to ship goods only to the United States in a particular region (such as the Northeast), it may be better to choose a carrier in the region that is focused on that region.
The destination of the package also depends on the type of service you need to consider. If you want to ship your items locally, you may be able to choose a cheaper service, such as: B. For land transportation.
Land transportation is cheaper than express delivery by air freight. Delivery can be time consuming, but if you only ship your goods to a few states away, overland shipping will be faster and cheaper.
On the other hand, when shipping most packages overseas, it makes sense to work with an international carrier that specializes in international shipping and lowers the price of international shipping.
Optimizing delivery also requires a basic understanding of how delivery zones work. Basically, the farther you ship, the higher the shipping zone, and the higher the zone, the higher the price.
It’s important that the carrier you choose has a solid reputation that will inspire your customers’ trust.
For example, the USPS has consistently been ranked as the most trusted government agency in the United States, and that trust is important when it comes to delivery management.
Do they have the most up-to-date technology?
In addition to considering the reputation of the freight carrier, it is important to choose a provider that implements the latest supply chain technologies that will help keep all orders up-to-date and seamlessly integrate with the current technology stack.
Carriers do this by providing an open shipping API that allows other parties to print labels and manage inventory while processing a customer’s order.
If you want to ship goods nationwide, consider a carrier that can pick up the goods from the distributed warehouse and speed up delivery to your customers.
“Distributed warehousing” means that carriers have a network of collections from multiple fulfillment centers across the United States. This allows you to store your products in multiple warehouses and process your orders quickly.
How crucial is 2-day shipping to you?
Just like driving a professional racing car, shipping is an industry where speed is important. One of the most important things to consider when choosing a carrier is transit time.
Transit time is the total time required to transport the cargo from Point A (customer or fulfillment center) to Point B (destination). The average transit time depends on the delivery zone and the services of the carrier selected.
In most cases, there are two options for delivery speed: standard delivery and express delivery. If you want your goods to arrive quickly without breaking your bank, consider working with a carrier that offers affordable two-day delivery.
On the other hand, if it is important that your order arrives as soon as possible (for example, for packages containing frozen cargo or fresh food), you can also pay for a quick delivery service.
Cost is often the most important determinant when choosing a particular carrier. When selling low-value, low-margin products, keeping shipping costs as low as possible can help you realize the difference between a successful business and a deadlocked business.
Conversely, if you are selling high-value items that require quick delivery and proper insurance coverage, shipping cost may not be a significant factor. Instead, we recommend that you pay the premium shipping fee along with your signature verification.
After all, you want to choose a carrier that not only calculates the prices that make the most sense to you, but also delivers them quickly and reliably.
Guarantee of delivery
Guaranteed delivery in shipping carriers is another thing to consider, especially if you are delivering high quality goods that cannot be easily exchanged if something happens during the shipping process.
Most carriers provide an “estimated” arrival time rather than a guaranteed freight delivery date. Please keep in mind that these are estimates and may vary. The carrier’s real-time tracking tool will change to reflect the revised expected delivery date in this situation.
Some services, especially the fastest services offered by all major shipping companies, come with a guaranteed delivery, however, at a much higher cost. In fact, these are often the most expensive services.
Dimensions and weight of your packages
This is another thing to consider. Apart from the distance it takes for the item to reach the customer, the weight and size of the package has a significant impact on shipping costs.
That is why package size optimization is so critical. Finally, package dimensions can determine whether a small firm succeeds or fails. As a general rule, the smaller and lighter the package, the less it will cost to transport.
If, on the other hand, your order is enormous and heavy, you’ll need a delivery service that takes that into account. The greatest pricing for shipping big things is normally offered by UPS, whereas USPS specializes in tiny and light parcels under $20.
Chicago Shipper in partnership with different carriers for faster shipping
Chicago Shipper recognizes that each customer has unique requirements in order to reach their goals. As a result, we collaborate with the carriers that are most beneficial to our clients. Chicago Shipper is a complete fulfillment partner in the retail industry, in addition to automating the shipping process.Know more about Chicago Shipper shipping services here.