One of the best ways to increase sales is with subscription boxes. This method of kitting assembly works by bundling like items together to be sold as a package deal. But unlike other forms of kitting and assembly, subscription boxes have a significant advantage. Not only can you sell multiple items at once, but you can continue getting sales by shipping them to customers on an automated schedule.
Customers who sign up for subscription boxes will receive their orders on a weekly or monthly basis. Best of all, as the seller, you will receive automatic payments every time the next subscription box ships out. Talk about a smart way to make money selling online.
Online sellers who want to maximize profits know that it doesn’t end there. There are always more ways to make money from selling subscription boxes. The key is looking for creative ways to reduce expenses.
Shipping is one of the highest costs of being an eCommerce seller. It pays to find ways to get lower shipping costs. Doing so can increase profits on every sale. Small cost-savings add up over time, which can result in substantial savings. Here are three ways to ship subscription boxes the cheapest way possible.
3 Affordable Ways to Ship Subscription Boxes
1. USPS Priority Mail volume discounts
Shipping weight is a significant factor in calculating shipping costs for carriers like USPS. Subscription boxes are often small and heavy. They can be expensive to ship. However, many online sellers don’t know that they can get cheap USPS shipping rates for small, heavy items.
What’s the catch? It all comes down to how much you sell. USPS shipping discounts for high-volume sellers can save a lot of money. If your subscription boxes weigh a lot but aren’t too large, you may qualify.
All you need to do is ship a lot of USPS Priority Mail packages every month. The boxes must measure less than .5 cubic feet and weigh 20 lbs. Or less. Using this method, the price is mainly calculated by size and distance rather than weight. Again, you’ll need to be a high-volume seller to qualify. (If that doesn’t apply to you, skip to #3 for other ways to qualify.)
Related: How to Get Free Shipping Supplies from USPS, UPS, FedEx, and DHL
2. UPS SurePost and FedEx SmartPost
Not a fan of USPS? No problem. FedEx and UPS shipping discounts are available. UPS SurePost and FedEx SmartPost work by having UPS or FedEx hand the package off to USPS once the shipment reaches the destination zone. That allows the big carriers to save money on dispatching trucks to the customer’s exact location.
Instead, the local USPS branch will take care of delivering the shipment to the final destination. It’s added to the USPS driver’s daily mail route. While it may take a little longer for packages to be delivered, the savings add up.
3. Qualify for shipping discounts from an eCommerce fulfillment company
As mentioned, high-volume sellers are the only ones who qualify for volume discounts, like the one from USPS Priority Mail. Yet small sellers who make fewer sales can still get access to volume shipping discounts. All it takes is a little creativity.
One way to get USPS volume discounts is by asking one of your suppliers to use their corporate shipping account. Not ever supplier allows this, but it doesn’t hurt to ask. A more reliable way is to hire a third-party eCommerce fulfillment center since they ship in bulk. Not only can you gain access to the online fulfillment company’s shipping discounts, but they’ll also pick and pack orders for you.
Pick and pack services can get reduced shipping rates since they ship in volume. Fulfillment centers handle accounts for many e-commerce retailers at once, shipping products all over the country and even worldwide. While online fulfillment companies have many benefits, one of the best parts of working with them is taking advantage of their volume discounts to save on shipping. Some firms even specialize in subscription box fulfillment.
Related: How to Find the Best Subscription Box Suppliers
Tips for Saving Money on Subscription Boxes
Ship your subscription boxes in batches
If you are shipping subscription boxes regularly, one of the best ways to save money on shipping is to group your shipments. This can be done by batching multiple orders and shipping them simultaneously or shipping more significant quantities of individual orders simultaneously.
Related: What Is Package Consolidation?
Consider using custom shipping boxes
Another way to keep costs down when shipping subscription boxes is to use custom shipping boxes instead of standard cardboard ones. By designing your packaging, you can create packages explicitly tailored to your needs, and that will ultimately reduce shipping costs by taking up less space in transit.
Look for discounts and special rates from shipping companies
To further cut down on shipping costs with your subscription boxes, look for discounts and special shipping rates offered by shipping companies. Many shipping providers offer discounted rates to businesses with certain shipping volumes or specific shipping profiles, so it is worth researching to find the best deals.
Consider shipping your boxes using an LTL carrier
If you are shipping large quantities of subscription boxes, another option to consider is sending them using an LTL carrier like UPS Freight or FedEx Freight. These pages usually offer lower shipping costs than traditional parcel shippers like UPS and FedEx, making them an excellent choice for businesses seeking to reduce shipping expenses.
Related: Amazon Pallet Buyers Guide: What You Need To Know Before Buying A Used Pallet
Minimize the weight of your boxes wherever possible
It is essential to minimize the weight of each box as much as possible. This can be done by reducing the size and thickness of shipping materials like packing paper or bubble wrap or by removing any unnecessary items from the box before shipping.
Use a fulfillment center
If you want to streamline shipping and save money on shipping costs with your subscription boxes, consider working with a third-party fulfillment center. These companies provide end-to-end shipping services for businesses of all sizes, helping to ensure that orders are shipped out quickly and efficiently and leaving you free to focus on growing your business. Contact a provider today to learn more about the benefits of using a shipping fulfillment center.
Compare shipping rates between carriers
To get the best shipping rates for your subscription boxes, it is essential to compare shipping rates between different carriers and shipping options. Some shipping providers offer special discounts or lower shipping costs for businesses with specific shipping volumes or that meet certain criteria, so it can be worth researching to find the best deals available in your area. Additionally, by comparing shipping costs between companies, you will be better able to negotiate with shipping providers and get the most competitive rates possible.
Bundle your boxes together to save on shipping costs
If you are shipping multiple boxes simultaneously, consider bundling your subscription boxes to save on shipping costs. By sending various orders together, you can take advantage of shipping discounts offered by shipping companies or even negotiate for a lower rate directly with the shipping provider. Additionally, bundling boxes together will help you to streamline your shipping operations and save time by minimizing the number of trips that need to be made between your warehouse and the shipping company's facilities. Overall, there are many different strategies that you can use to keep shipping costs low when shipping subscription boxes. Whether you are looking to batch your shipments together or reduce the weight of each package, there are plenty of ways.
Related: Cheapest Way to Ship Large or Oversized Packages
Choose suitable packaging materials
One of the most critical factors determining shipping costs for your subscription boxes is the type of packaging you use. To keep shipping costs down, it is essential to choose packaging materials that are lightweight and can pack tightly together. This may include using smaller shipping boxes or reducing the thickness of packages by using less packing paper or bubble wrap. Additionally, shipping materials like padded envelopes can often be cheaper than shipping boxes, making them an excellent option for small and lightweight items. Additionally, choosing shipping materials with minimal padding can help to further cut down on shipping expenses. Ultimately, there are many different strategies that you can use when selecting packaging materials to keep shipping costs low with your subscription boxes. By choosing the right combination of size, weight, and padding, you can get shipping costs that are both affordable and efficient. Whether you are shipping a single box or multiple boxes at once, there are many different strategies that you can use to keep shipping costs low for your subscription business.
Related: Where To Get Shipping Boxes
Ship internationally to save even more money
If you need more than shipping within your own country to help you keep shipping costs low for your subscription boxes, consider shipping internationally. By shipping internationally, you can take advantage of discounts not always available to businesses shipping only domestically. Additionally, you can widen your customer base by sending internationally and reaching even more potential customers worldwide. While additional costs may be associated with shipping internationally, these can often be offset by the other revenue opportunities that accompany a broader customer base.
SAVE MONEY AND INCREASE PROFITS
Keeping an eye out for shipping discounts and free shipping supplies is a great way to increase earnings from selling subscription boxes. While FedEx, UPS, DHL, and USPS rate changes are a fact of life, it pays to stay on top of policy changes that can affect the shipping rates you pay. Remember, there are always ways to save money on shipping — all you need is a little knowledge and creativity.
So, what are you waiting for? Start following our tips to shipping subscription boxes cheaply and see how much money you can save! Of course, if you ever need help fulfilling Amazon orders or have any other questions, don't hesitate to get in touch with the team at Simpl. We're always happy to help out fellow entrepreneurs!
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