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How to estimate the Best Shipping Cost for your Business?

Free compare shipping costs

Today, most of the Importers and Exporters prefer Marketplaces for requesting Shipping Quotes for their business shipments. Once they have the Quote list from different Freight Forwarders correspondingly, they must go into different checklist and verify the responders, not only just cost but also many aspects including the Security & Safety. The main checklist of how to calculate the shipping cost helps Exporters & Importers to compare different Shipping Quotes from Freight Forwarders!

What is "Freight Shipping"?

The term Freight shipping is a typical process of transportation of bulk quantity Commodities, Goods and Cargo through available carrier options such as Land, Sea or Air. Freight Shipping is one of the key aspects of any ECommerce business especially when there are International Shipping processes involved.

What are the different Shipping Costs?

Generally, the combination of different costs associated with transporting an item from starting point to the destination can be collectively called as Shipping Cost. This must start from your warehouse shelf upto the hands of your customers. Here are some of the key points: 

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  • From the warehouse including Picking, Packing & the Dispatch

  • Overall cost of the Packaging including boxes, stickers, tape etc.

  • Courier fees to collect and deliver the item

  • Extra costs when International shipments

  • Insurance and the handling fees

Why the Shipping Cost calculation is very important?

Yes! A perfect calculation of Shipping cost is very important if you are a credible Retailer. Because, preparing the cost for your shipments influence your profit margin. The more cost definitely opens a door for your competitor to pick your businesses. But, the less cost grabs your minimum profit that pull you back from sustainable income in the future. So, the perfect Shipping cost is very important when you are running a long term Retail business.

How to categorize the Shipping Cost for your Business?

Mainly, there are 3 categories for deciding the Shipping Cost. It is important that you have to choose the best for your Business!

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  1. Free Shipping : All the customers love Free Shipping irrespectively. So, Free Shipping is a recent trick offered by majority of the Retailers to meet the competition. This can be calculated in 2 aspects. 

    * The Shipping cost must be calculated and added into the Product cost that makes the Product a bit more costlier than the competitors. The famous brands who are being prioritized by the customers  beyond the price sensitives may do these tricks to retain the customers.

    * Skip the cost of Shipping and reduce the Profit Margin could be another trick. But, these tricks are more being used by the brands who need an immediate attention in the Market. Reducing the Profit Margin initially brings difficulties to sustain but moving on, these brands can slowly run beyond the competition
     

  2. Calculated Shipping: This must be the most beneficial method but needs comparatively more time to calculate the cost. The dimension & the weight of different packages are mainly considered in order to calculate the Shipping Cost. The good thing is that customers can have Shipping Cost only as per their requirements. But, the larger number of packages demand individual costing calculation.
     

  3. Flat Rate Shipping: This trick must fix a Shipping Cost regardless of the Size, Shape & Weight. For the International Shipments, the cost may varies. But otherwise, this is very comfortable for the small & medium level companies. For large companies, this may not be perfect. 

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What are the Costs to consider for International Shipments?

For the International Shipments, mainly these are the factors to consider:
 

  • Custom Duties (Tariffs) : Many countries imposed this cost to allow different items to enter there

  • Tax : Many countries consider either Value Added Tax (VAT) or General Sales Tax (GST)

  • Fees for Customer Clearances : Some countries demand separate Custom Clearance Fees 

  • Transportation fees : The travel related costs

  • Payment Conversions : The country specific cash conversion also matters

 If you are clear about the factors affecting Shipping Costs, 

How Quuote.me helps you on Shipping for your Retail Business?

Quuote.me helps Importers & Exporters to get their Shipment Costs online. Our group has been connected to 500+ Freight Forwarders through 100+ countries. So, once you need a Shipment cost to send your Freight anywhere in the universe, you can have a long list of Quotes quickly. Just compare different rates and the credibility of the providers, pick the most appropriate one, and book your Shipments!

 

Here are our key highlights:

  • A entire Digital Platform

  • Payment Security Guaranteed

  • Effortless Transportation

  • Real Time Tracking

  • Online Quotes from all around the Universe

  • Facilities to Compare the Quotes directly

  • Easy Shipment Booking

  • Customs Clearances

  • Business Credit

  • All services (Air, Courier, Ocean FCL, Ocean LCL & Truck)

  • International Coverage of Air & Ocean Trade

  • Facilities to join Overseas Agents directly, provided NO Intermediaries at all.   

For further details, please feel free to talk to us!

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