Weighing Your Costs: The Delivery Cost Comparison Guide

Globally, annual online consumer shopping will reach $4.8 trillion by the year 2021. In just a few years, analysts forecast that e-commerce will be the largest retail shopping channel on the planet.

Today, people aren’t only spending more time shopping online – they’re spending more during each session. Resultantly, businesses are competing fiercely to attract their share of the estimated 1.92 billion people who will shop online in 2019.

Studies show that 85% of all shoppers browse online reviews when trying to make a buying decision. Of those, 77% go on to make a purchase.

The delivery cost is one part of the shopping experience that consumers write about frequently. Even if you offer free shipping, excessive costs to deliver goods can eat away your profits.

Because of this, business owners must do a carrier cost comparison to understand shipping rates for different packages. This way, they can save money while carving out their share of the $4.8 trillion online shopping pie.

Why Delivery Cost Matters

Unchecked shipping costs can become expensive. Still, there are times when consumers need goods right away. This can range from last minute gifts to parts needed to repair a vital household appliance.

The three major United States shippers – USPS, UPS and FedEx – offer similar services. These are the main shippers for same-day, overnight and today delivery. Still, packaging guidelines and pricing vary somewhat.

Same-day delivery service bodes well with consumers. It can create a seemingly seamless shopping experience. As more consumers come to expect same-day shipping, retailers will be compelled to deliver.

When it comes to attracting and retaining buyers, it’s all about consumer convenience. Same-day shipping has emerged as a way to make shopping more convenient and closer to an in-store experience.

Now, with the click of a mouse, consumers can have goods arrive at their doorstep anywhere from a few hours to a few days. For retailers, the trick is to keep shipping costs under 7% to 8% of consumers’ total shopping cart total.

Cost of Delivery By USPS

For guaranteed overnight delivery, the United States Postal Service offers Priority Mail Express. The service is available seven days a week.

Priority Mail Express is the cheapest option for shipping flat, lightweight goods. USPS offers the service for $24.70. You can ship anything that fits in the Mail Express envelope to anywhere in the U.S.

The USPS also ships packages overnight. For example, a:

  • 1-pound shipment costs $39.40
  • 5-pound shipment costs $63.20
  • 10-pound shipment costs $93.15
  • 50-pound shipment costs $288.45

The United States Postal Service is the most cost-effective choice for shipping items that weigh less than a pound.

For a long time, reliability was a big issue for the government-run service. Relatively recently, however, they have redeemed themselves as a dependable carrier by delivering parcels more consistently.

One advantage of using USPS is that they provide free boxes. You can even have shipping boxes delivered to your business.

Delivery Pricing for FedEx

FedEx offers First Overnight for next morning delivery. FedEx Priority Overnight, however, is available for next day delivery before 10:30 a.m. or in the same afternoon for rural areas. The carrier also offers FedEx Standard Overnight for delivery to rural areas between 3:00 p.m. and 4:30 p.m. and private residences before 8:00 p.m. the next day.

Starting at $46.30, you can ship overnight packages using FedEx Standard Overnight. FedEx First Overnight comes with a heftier price tag, starting at $81.69.

FedEx next day package shipping rates are higher than USPS. Comparing similar packages, a:

  • 1-pound shipment costs $81.11 to $123.05
  • 5-pound shipment costs $102.99 to $141.08
  • 10-pound shipment costs $141.83 to $175.05
  • 50-pound shipment costs $390.12 to $429.71

However, there is a relatively new caveat with FedEx shipping.

You want to avoid getting charged with a “Ground Unauthorized Package” fee. Starting September 03, 2018, FedEx rolled out new fees for oversized shipments along with additional handling surcharges. The new penalty is a hefty $675 fine.

FedEx laid out several criteria for Ground Unauthorized Packages. These include packages that are:

  • A combined length, width and depth of 165 inches
  • More than 108 inches long
  • Weigh more than 150 pounds

If FedEx pinpoints one of your shipments as a Ground Unauthorized Package, they may refuse or return it. In other words, adding insult to injury, they will charge you the fee and refuse to accept your shipment.

UPS Delivery Options

When you need to move items in a hurry, UPS offers Next Day Air for $46.58. You can use the service to ship items that weigh less than 8 ounces. The next tier of service, UPS Day Air Early costs $80.98.

UPS overnight package options are similar compared to FedEx for lighter packages but are less for shipping more substantial items. For example, a:

  • 1-pound shipment costs $81.47 to $122.52
  • 5-pound shipment costs $103.47 to $140.63
  • 10-pound shipment costs $142.45 to $174.77
  • 50-pound shipment costs $208.42 to $240.80

If you’re not careful, however, you can also face fines if you don’t choose your shipping options carefully.

Starting June 2018, UPS rolled out a penalty system that’s similar to the FedEx Ground Unauthorized Package fine. The UPS version, however, is less punitive.

UPS will penalize shippers if weekly charge corrections total more than $5. The Audit Fee is $1 per package correction or 6% of the total amount of corrections, whichever is higher. Accordingly, you’ll want to double check every shipment to make sure that your items comply with UPS guidelines.

Putting It All in Perspective

It’s important to note that overnight shipping services guarantee that your goods will arrive when indicated. In reality, however, a 100% success rate is impossible. What the guarantee means that if the carrier cannot fulfill their promise, you’ll receive a refund for the shipping fee.

As more consumers shop online, delivery cost will become more critical for retailers. It’s essential to keep shipping costs down for the benefit of both consumers and your business.

If you have questions about shipping best practices and optimization, contact us today to speak with a friendly representative. Ask about our free app that you can use to arrange same-day and next-day shipping across the United States.

How to Get Quotes from a National Air Courier Service

In January of this year, over 2.2 million revenue tons of air cargo moved across the United States. Air cargo is used most often when time is of the essence. 

Because this form of shipping tends to be more expensive and more complicated, you need to know how the process works. You have more options than merely quoting with a well known national air courier.

We’ve created a guide to help you get the best rate for your next air freight shipment. Let’s get started! 

Preparing Your Shipment 

Before you can start getting quotes, you need to have your shipment packaged and ready. Freight carriers will want your shipment to be on a pallet. This allows them to easily move the shipment to and from the truck and plane. 

Pallet Hangover 

Place your items on the pallet. Walk around the pallet and make sure no part of your items hang over the edge of the pallet. If it does, fix it. 

The carrier will not accept your shipment if you do not do this. These overhangs will get damaged when they load multiple pallets next to each other. 

Secure the Items 

If you have an oddly shaped item, strap it down to the pallet using ratchet straps. If you have stacked your pallet with boxes, you can use plastic wrap to secure everything. Though we still suggest you use straps here too. 

Remember, you need to secure it so that any rough movement won’t affect it. If you think it might be good enough, make it more secure.  

Measure the Dimensions

Measure from the highest point of the item to the bottom of the pallet. Then measure the width and length of the pallet. This should give you the total dimensions of the entire shipment. 

If you have multiple pallets of the same thing, you will want to account for each one. 

Weight 

Do not guess on this. If your guess is too low the carrier will find out and charge you more. If your guess is too high, you are overpaying for your shipment. 

Don’t forget to add the weight of the pallet into your total. Wood pallets can weigh anywhere from 30 to 70 pounds depending on their size and the type of wood used. Plastic pallets can weigh 15 to 30 pounds. 

The easiest way to know for sure is to weigh the finished packaged shipment. Most of us don’t have a scale that big though. You can ask the manufacturer for the finished production weight of the item. Of you can weigh one box and multiply it by how many boxes are on the pallet. 

Find Your MNFC Number 

Now that you have your dimensions and weight you can calculate the density of your shipment. The density will tell you what freight class your shipment belongs in. This is how carriers charge for shipments. 

If this sounds like too much math, there is good news. You can use an online calculator to determine your freight class for you. What is great about these calculators is that they will give you an analysis of your shipment. 

You may find that if you slightly adjust the height or weight, you can get your item into a different freight class. 

Get Quotes 

You can start shopping around for air freight quotes now. You need to decide who you want to get quotes from. 

National Carrier 

These are the large national carriers with shipping lanes across the major distribution channels in the United States. Typically they are going to give you the best rate as long as you stay within their channels. 

Independent Carriers 

These are the smaller carriers that tend to specialize in a particular region. If you are looking to ship there, this is a great way to go. Because they specialize in an area, their resources are more focused. 

They can beat out the national carrier on rates for their geographic coverage area. Hiring this type of air freight service is ideal because they know the area and have extensive experience in air freight deliveries.

Freight Broker 

Air freight is a bit more complicated than truck freight. You will need to arrange transportation for your shipment from your facility to the airport, then the flight, then transportation from the destination airport to the final destination. 

You can do this yourself through a courier service. Look for a shipping service that specializes in your area to the best rates. 

The other option is to hire a freight broker to do all of the work for you. The benefit is that you don’t have to do anything and you can take advantage of their pre-negotiated rates. The downside you are limited to only working with the carriers that the broker has relationships with. 

What You Need to Quote 

To get an accurate quote for your shipment, there is a list of information you will need to provide. 

  • Package width 
  • Package height 
  • Package length 
  • Weight
  • Distance from the origin airport 
  • Distance from the destination airport 
  • Type of service you want 
  • If you want insurance 

Getting insurance may seem like an unnecessary waste of money. It isn’t if anything happens to your shipment during transport; the insurance will cover it. That way you are not out the value of the item you shipped. 

Bill of Lading 

You will know you have successfully completed your shipment quote and booking when the carrier sends you a BOL. This is a vital piece of paperwork that outlines the critical details of your shipment. 

The driver will not pick up your shipment without this paper. 

Quote and Book with a National Air Courier

You are now ready to ship with a national air courier. When you ship air freight you need to make sure you package your pallet so it can withstand a lot of jostling and bumping. 

Remember your shipment is going from the truck to the cargo hold and back to a truck. That is a lot of moving around. 

Have the accurate information for your shipment so you can get the best rates. Then choose the carrier you feel most comfortable with. 

Get a quote today and let us help you get your shipment moving by air freight.

Sameday Courier vs Standard Mail: Which is Better for Business?

Are you having a hard time deciding between sameday courier services and standard mail services?

Courier services are an important part of modern day life nowadays. Everyone from those in the food industry to small local businesses uses courier services to boost the convenience they provide for their respective customers. People have taken such a liking to it that it’s made couriers a staple in any kind of business.

This led to the normalization of courier services though. In an effort to break the mold, businesses have come up with different kinds of courier services to give their customers different options. This then led to the most favored type of shipping, same day delivery services.

The question now is, should you opt for that kind of service do you stick with standard courier services? Read what’s below to know which service is what you need for your business:

1. Delivery Time

First off, let’s knock out the most important aspect of deliveries, the time it takes for your package to get to you. This is the most important part of delivery because it’s a testament to the credit courier services deserve to have.

The standard mail service can vary in this part. Depending on certain factors like the size of your item and its weight, it can take them around 2-3 days to get a package delivered to you. The time it takes it to get to you can get reduced if the package is lighter and smaller.

Same-day delivery services, as they’re named after, can get your package to you on the same day you order it. Of course, there are some limitations to this, such as the distance from the nearest fulfillment center to your house and such. For the most part though, services won’t offer you this option if they cannot deliver on their word.

They may even offer specific times so the customer knows when to expect their arrivals. A useful feature for customers who like plotting their schedules ahead of time.

2. Quality of Service

Standardized delivery services don’t have much to make their quality of services stand out. For the most part, they do the job they’re paid to do, they take your package and get it to you in whatever way they see fit.

It’s also worth noting they get more than thousands of packages to deliver every day. This means there’s no room for special treatment for your items. You can expect them to be less than gentle with the way they handle your package.

Couriers providing express services have a higher standard of service quality. This is because there’s a lot of information about it before you can opt for this service. For example, some services allow you to view the information on your designated courier.

This makes it so you can hold them accountable for any damage made while your item is en route. It reflects on their record when something goes amiss, so you can expect great care for your package.

3. Security

Express services are not perfect for their security leaves much to desire. Many people choose these services on a regular basis. Focusing that on a small area, that means a lot of packages for one courier.

This can lead to some complications like mismatched packages and such. Also, the pressure of making the marked time may get to an individual, leading to instances where they skip certain addresses to keep up with their timelines.

Though that’s not to say they don’t have some unique ways to cope with what they lack. For example, some ask for the signature of the receiver before surrendering the item. They also need you to leave a letter of authority to the receiver if you’re not there when they deliver your item.

Standard services have it better in this case. Their timetable allows their couriers to be more relaxed. This makes it so they can check everything off before handing over the package.

Problems occur when an item becomes lost in circulation. This happens more often than not because of the sheer number of orders they have to handle. If your item has a lot of value staked on it, it may not be a good idea to opt for the standard option.

4. Variety of Options

Mail services may offer different options when you want them to deliver something, but they often don’t follow through. They won’t come in the specified time, they may contact you out of the blue to tell you they can’t deliver to your location, or they leave your packages to complete strangers,

When it comes to express couriers though, you get what you ask for and more. For instance, they will never fail to keep track of your package. They will even give you the ability to track where your package is at the current moment.

Also, they give you options like last mile delivery services and warehousing services. In short, they have services to fit your needs whatever they may be. They always follow through, too.

This is because most of the time, they’re an independent service provider. This means they only have their reputation at stake when they make deliveries. One bad customer review can affect how others view their reliability.

5. Pricing

The great thing about standard mail services is they have a fixed rate for packages. It all depends on your item’s weight for the most part. Some include the distance of the destination when they’re estimating a price.

Often, their prices are more affordable than you expect. You also don’t need to worry about an unexpected surge. This is because they always post a notice if prices are to change any time soon.

Same day services though have a price associated with their services. This makes sense because of the convenience they provide their customers.

Know Whether to Choose a Sameday Courier or Standard Services Today

Sameday courier services have an edge over standard services in a lot of ways. What you end up choosing should still reflect how important your package is though. Evaluate your item and make a choice now!

Looking for a great courier service? Need It Now Courier is the choice for you! Contact Need It Now Courier and have your package delivered to you in the way you want.

LTL and FTL Ship Strategies to Make the Most of Your Money

About 71% of freight ends up getting moved on trucks. This is the most cost-effective way to get large shipments across the country. 

When looking to book your freight shipment, it can be easy to fall into what you are comfortable and familiar with. The freight process is complicated enough with many moving parts, why purposefully add more? 

This complacency can be costing you money. If you aren’t fully utilizing your LTL and FTL ship strategies, then it is time to reevaluate your shipping methods. 

Start using these strategies to optimize your shipping methods and make the most of your budget. 

Choosing FTL Shipping 

As a rule of thumb, full truckload shipping is more expensive than the less than truckload. But if you have a lot of product to move, this is the ideal choice. You can load up to 40,000 pounds on a single truck. 

This method tends to be faster. This is because there is no need to move the freight between trucks to get it to its final destination. 

You also get more security with this method of shipping. Again, because your shipment is put on the truck and then not taken off until it arrives at the destination. There is no risk of loss, theft, or accidental misplacement on the wrong truck. 

Choosing LTL Shipping 

This is the ideal shipping method for small freight shipments. It is cheaper than FTL because the carrier is combining your shipment with many other shipments to fill a single truck. 

The price you pay for the lower cost comes with longer shipping times. This type of shipping gives businesses more flexibility though. 

National carriers that offer LTL shipping tend to have extensive networks of shipping lanes. This gives businesses many solutions for getting their shipments to anywhere in the country. 

Are You Using These LTL and FTL Ship Strategies?

When it comes to quoting your freight shipment, you could be wasting more money than you realize. Use these strategies to help you choose the right method for your shipping needs. 

Know Your Dimensions and Class 

One of the biggest mistakes shippers make is estimating their dimensions and weight. Get these wrong, and you end up using the wrong NMFC class for your shipping quote. 

This can result in a difference in price that is hundreds or even thousands of dollars. Carriers depend on the information you give them to plan out which shipments will go on which truck for transport. 

If the carrier has to reweigh or rework a truckload, this will be costly for them. The carrier will turn around and pass this cost off on to you by readjusting your freight class. 

It is the shipper’s responsibility to report the correct information for their shipment. 

Choosing Between LTL and FTL 

One to three pallets will generally be cheaper when you choose LTL over full truckload. When you start having five to six pallets, it will become more affordable to choose full truckload. 

Of course, this greatly depends on the size and weight of your pallets. 

Consider Your Origin and Destination 

When a carrier dedicates an entire truck to your shipment, they are losing that truck in their rotation. This can result in lost profit for the carrier. 

Because of this, the carrier will charge you extra if the truck has to drive out of the carrier’s standard shipping lanes. When looking for a carrier, you will want to find one that regularly ships to your origin and destination locations. 

Choosing Between LTL and FTL 

If you can ship your load by LTL, you may get a price break on shipping to a more remote location. The carrier will hold your shipment until they have enough loads to fill the truck, then take all of the shipments to the remote area. 

This lowers the cost for the shippers and makes the trip worth it for the carrier. 

If you need to ship by full truckload, try looking on load boards. You may find a shipper that is already scheduled to your remote origin location. You can score a discount by booking the truck’s return trip. 

Get Creative with Your Options 

Don’t be afraid to think outside of the box when it comes to how you arrange your shipment. You may find that using multiple carriers and shipping solutions will get you the best price. 

For example, you can combine multiple shipments to create a full truckload and send it to the carrier’s terminal for the region. You save by combining shipments and having convenient locations for the carrier. 

Then arrange for a final mile service to take your individual shipments the final leg of their journey. These services have more focused efforts and trucks available in a smaller geographic area. This means they can give you a better price for the local shipments than the national carrier.

Doing this will get the shipment to the customer faster also. Instead of everyone waiting for one truck to make many stops, multiple trucks will deliver at the same time. 

Start Saving Money on Your Freight

Choosing the right LTL and FTL ship strategies is all about knowing your options. Be sure to measure and weigh your shipment correctly so that you can get accurate quoting. 

Get quotes for both LTL and full truckload. Get creative with your shipments to create a solution that both works for your needs and is budget friendly. 

Get a quote for your final mile and other shipping needs today.

From the Pony Express to Same Day Delivery Service: A Brief History of Package Delivery Options In the U.S.

Pull your face out of the window and back to the screen. Two-day shipping means two days, not two minutes.

To keep these kids now-a-daze from thinking anything they type anything into an Amazon search bar will show up at their house within 48 hours, we present a brief history of package delivery.

From humble beginnings on horseback, to a $1 trillion industry, mail service has always rooted itself in one main principle: all mail is created actual.

The History of Package Delivery – A Timeline

Egypt, 2400 BC – Pharaohs sent runners or couriers to disperse their decrees throughout their territory, organizing the first courier service in history.

Early Colonial Times – Native Americans, slaves, and merchants carry messages throughout the colonies.

Boston, 1639 – Mail service is established in a tavern by the General Court of Massachusetts. The tavern acts as a repository for international mail.

New York, 1673 – Francis Lovelace, the governor of New York, establishes a monthly postal delivery service between New York and Boston. Couriers ride on horseback along part of current day U.S. Route 1.

Pennsylvania, 1683 – Governor William Penn opens the state’s first Post Office.

1692 – Thomas Neale organizes a postal delivery system that expands to the central colonies with the help of a grant from the British Crown.

1707 – The British government takes control of the postal system and appoints John Hamilton as Postmaster General.

1774 – William Goddard comes up with the idea of a Constitutional Post for mail delivery service within the colonies. 

Philadelphia, United Colonies, July 26, 1775 – The Second Continental Congress officially establishes the role of Postmaster General.

He 1. definitely has to be a guy, 2. got a 1,000 salary, a secretary and Comptroller, and 3. was in charge of designing delivery routes between Falmouth, New England and Savannah, Georgia.

Benjamin Franklin serves as Postmaster General for the first 15 months. Once the constitution officially declares our country the United States of America, Franklin appoints Samuel Osgood to the position. 

The President of the United States remains responsible for appointing Postmaster General as part of their Cabinet for the next 196 years.

Congress, 1781 – Congress assumes control over “establishing and regulating post offices … throughout all the United States,” (Article IX).

1785 – Stagecoaches begin transporting mail. The Continental Congress attempts to grown and support stagecoach lines by favoring this more expensive and less fitting form of mail transportation. 

1792 – Several laws known as the Private Express Statues restrict package delivery by parties other than the Postal Service, establishing a monopoly over the industry. 

1799 – Package delivery options are by number of sheets and distance. For instance, it costs a quarter to send one sheet more than 500 miles.

Washington, D.C., 1800 – As the new house of the government, the Post Office relocates by two horse-drawn wagons from Philadelphia to Washington, D.C.

1803 – The Louisiana Purchase expands United States territory and package delivery service routes. 

1811 – Rowboats are replaces with steamboats for faster package delivery than ever. 

1822 – Package delivery from Washington, D.C., to Nashville takes only 11 days.

1823 – Post roads expand by more than 25,000 miles in less than a decade. Waterways are declared official post roads.

Honesdale, Pennsylvania, August, 1829 – The Stourbridge Lion chugs along the Delaware and Hudson Canal Company Road, foreshadowing the used of train for package delivery.

1831 – 76% of civilians in the federal workforce are postal employees.

November 30, 1832 – The Post Office Department allows stagecoach contractors to transport mail via the railroad. 

New Salem, Illinois, May 7, 1833 – Abraham Lincoln is appointed Postmaster General.

1845 – Rates are now based on weight and distance. In an effort to save money, some people cross-wrote letters. This means they filled a page from left to right, then turned the paper from portrait to landscape and continue writing over the first half of the letter.

This is also the year that Congress lowered the rate of advertisements and other circulars in the mail. This was an attempt to recoup some lost revenue that now went to private package delivery companies. 

California, January 24, 1848 – The Gold Rush sends some 300,000 Americans to California, expanding the need for mail service to the west coast. 

1849 – The number of letters sent throughout the United States via U.S. mail increases by 37.5 million over the past six years.

California, 1852 – Wells Fargo opens 12 offices to provide national package delivery service. They claim to specialize in shipping gold dust and bullion, and their package delivery options welcome packages and parcels of all kinds. 

1855 – Rates change again. Package delivery now costs three cents for half an ounce to travel up to 3,000 miles. 

April 3, 1860 – The Pony Express is established.

New York, July 1, 1861 – The Pony Express promises your letters will get to San Francisco in only 10 days. $1 for letters weighing half an ounce or less and a dollar more for every additional half ounce or fraction of an ounce. 

October 26, 1861 – The Pony Express is dismantled due to the completion of the transcontinental telegraph line.

March 3, 1863 – 12 Statute 704 sets delivery service costs to be based on weight alone and establishes mail classes. 

  • First Class Mail – Mostly letters
  • Second Class Mail – Periodicals and other regular publications
  • Third Class Mail – Package delivery and anything else that could be mailed

Promontory Summit, Utah, May 10, 1869 – The central and Union pacific railroads join, transforming the model of package delivery across the country.

Congress, June 8, 1872 – The Post Office Department becomes an executive department.

Long Island, New York, 1911 – The Post Office Department conducts an experimental mail flight.

January 1, 1913 – Parcel Post, a service accommodating package delivery for parcels over four pounds. 

Congress, 1916 – Air mail service budget of $50,000 is approved. 

August 1, 1931 – Weight limit accommodated by Parcel Post grows to 70 pounds. 

1971 – The U.S. Post Office Department becomes U.S.P.S. The President is no longer responsible for appointing Postmaster General.

1987 – Need It Now Courier’s Air Freight package delivery service is established.

2013 – Walmart provides same day delivery on packages from their stores. Jeff Bezos announced the use of unmanned aerial vehicles (drones) for a rapid package delivery option. 

2014 – U.S.P.S. ships Amazon orders with same day delivery to 15 cities. 

February 1, 2015 – The first female Postmaster General, Megan J. Brennan, is appointed by the Governors of the USPS.

Present Day Package Delivery

Congrats on being born in the modern era, where services like same day delivery and package tracking features actually exist. 

Need It Now Deliveries operates 24/7, delivering packages to the U.S. and Canada the very same day. Take your business and shipping needs to the next level with superior national and international shipping on all your big ticket orders.

Ship now for world class package delivery your customers will love.

To Insure or Not to Insure: What Is Shipping Insurance? Everything You Need to Know

As the holidays grow smaller and smaller in the rear-view mirror behind you, you may begin to reflect on how well everything went. And maybe how well some of those things didn’t. For instance, maybe some of the packages you had shipped to friends and family around the world arrived damaged and broken.

That would get anybody’s blood boiling. But it’s not that hard to imagine and almost forgive. After all, an estimated 2.5 billion Christmas packages were expected to be shipped in 2018. That’s a high volume of packages that could lead to some maltreatment of some shipments. 

And Christmas presents are the only shipments suffering fates like this during the holidays. Even businesses are feeling the strain of the volume increase and seeing their own shipments become damaged and broken before making it to the buyer.

But what can be done? Where can you turn? The answer may lie with shipping insurance. Keep reading to find out what is shipping insurance and how can it help save you some heartache next holiday season.

What is Shipping Insurance?

Shipping insurance is much like any other insurance policy. It offers to cover your shipment and protect you from incurring any major losses as a result of a damaged parcel.

Not all companies offer the same insurance policies but there are a few key things and basic coverages you should be aware of before purchasing any shipping insurance.

You Might Not Need Additional Insurance

Before you even start looking over policy options check first to see if additional insurance is even necessary. Both FedEx and UPS automatically insure packages that are worth less than $100.00. However, the U.S. Postal Service only does this for express carrier mail that is worth less than $100.00.

What this means is that the courier will only cover your shipment for up to $100.00 worth of the contents’ value.

However, if the items you are shipping are worth more than $100.00 and you don’t get it insured you’ll only be covered for no more than $100. Be sure to declare how much the contents of your package is and purchase the extra insurance if you want the full amount over $100 covered.

Read the Fine Print

When deciding which shipping insurance policy to purchase be sure to read all the fine print throughout the policy. There are certain things, events, scenarios, and situations for which the insurance policy will not cover.

For example, shipping your package to certain international locations could cause a denial of coverage.

This would mean if your package was damaged at the courier facility, you can file a claim and get reimbursement. However, if that same package doesn’t become damaged until it’s in a location that the courier does not offer coverage to, you are responsible for the cost of the item.

Be sure to read over each of the insurance policies you consider and understand where, when, why, and how they will cover something. The same also goes for when they will not cover something.

Packing Requirements

This goes along with reading the fine print, however, it deserves its own section due to the magnitude and scope of this problem. And yes, it is a problem. More damage insurance claims are denied due to improper packing than anything else.

Here are a few reasons why packing a package can be difficult and cause problems later on if done improperly:

  • The government has established proper packing and shipping regulations
  • Those change every year
  • Each courier also has their own packing and shipping regulations and requirements.
  • Those also change every year.
  • The average consumer is very confused.

And for good reason. The problem though is that the regulations and requirements have to change every year due to changes in consumer behavior and shipping trends.

What this means though is that you need to pay attention to how your courier and the federal government want your package wrapped and shipped. Failing to comply with these requirements could see a denial of an insurance claim should the improperly packed parcel become damaged.

These requirements can be found on the courier’s website as well as the U.S. postal service website.

Filing a Claim

Speaking of having problems when it comes to filing a claim let’s take a quick look at what filing a claim looks like.

Remember to keep all those things in mind from earlier, pay attention to fine print, make sure your package is packed properly, and make sure you’ve purchased the correct policy for your package.

Now that all that is done and out of the way, what do you do if you’re package is actually damaged?

Again, each courier will have their own claims departments and policies, but a few general things to remember and be aware of when filing a claim:

  • Start your claim the moment you discover your package was broken, lost, or stolen.
  • Most couriers have a cut-off date of the longest you can wait before filing a claim.
  • Have all the right documentation filled out correctly.
  • Take photos of the damages or have photos taken and sent to you.
  • Be prepared to wait.

The last one is the hardest one for some people. Once you’ve filed your claim and submitted all your paperwork the claim must be reviewed by claim managers who will decide to cover or not. That process can take a while as well as the amount of time before receiving any actual money.

Be patient and cross all your ‘t’s and dot all your ‘i’s.

To Insure or Not to Insure

That is the question hopefully you’ve found an answer to. Along with the answer to what is shipping insurance? Remember to always read the fine print, purchase the right policy for your needs, make sure you’re not already covered, and file as soon as you are made aware of any theft, loss, or damages to your package.

If you have any questions about shipping insurance or finding the right courier services for you, contact us today!

Who’s The Real Star Of A Stellar Online Customer Experience?

We all know that shopping online has taken over the way companies do business. But what you may not know is that shipping options can make or break the deal for the majority of buyers. 

About 85% of Amazon users won’t buy a product because of the shipping charges. Then 60% of Prime users won’t buy your product if the shipping is too slow. 

How do your delivery options stack up? You are probably missing out on a lot of sales because your delivery options aren’t what shoppers are looking for. 

Let’s go over the delivery options that you have available to you. 

Tracking 

First things first, no matter what shipping options you offer your buyers, you must provide tracking. Your customers want to know when their order ships and when they can expect it. 

In fact, they are more likely to be happy with a longer shipping time as long as they know when the delivery will happen. By offering them an online portal to track their shipment you give them a higher level of communication and build trust.

Rush or Expedited Shipping 

Amazon has proven that some customers want their items fast. In fact, there is a whole community of Prime members who pay a yearly fee just to have two-day shipping on all of their orders. 

Sephora has followed suit and they offer a yearly membership of $15 to get their FLASH shipping. That’s free 2-day shipping on all orders. 

The advantage for you is that these customers are more likely to order more product because they know they have free shipping. 

One Off Rush Shipping 

You don’t have to offer a membership to offer rush shipping. This will be a more most expensive shipping option, but your customers will expect that. 

This option is about service and speed, not price. 

Low-Cost Shipping 

You need to provide a low cost or free shipping option. This will cover all of your customers who don’t want to pay for shipping. 

Now this means that you need to cover the shipping cost yourself. You could build the cost of shipping into the price of the product. This isn’t always possible though. 

Your other option is to reduce your shipping costs. One way to do this is to work with a shipping service that provides warehousing.

You would then hire them to store and ship your inventory. This does two things for your business. First, it reduces your shipping costs by streamlining the process. It also reduces costs by allowing you to leverage the shipper’s volume for lower rates. 

The second thing it will do is place your product closer to your future customers.

Think about it this way, if your company is in Florida, but most of your customers are in New Jersey, then they have to wait for their order to go from Florida to New Jersey every time they order. 

Instead, have your company in Florida, but warehouse your inventory in New Jersey or nearby. Then when a customer orders it only travels a short distance, getting to your customer faster. 

In-Store Pickup

Another popular option is in store pickup. Walmart and Target have been leaders in this type of shipping service. It works well for your business because you already have the logistics infrastructure in place to support it. 

It can also streamline your inventory management since the product may not even need to be shipped. It may already be located in the store. 

There is also the added benefit of getting your customers in the store. This increases the likelihood of buying more once in the store. 

For those who do business online and in brick and mortar locations, this is an option that should be embraced. About 60% of shoppers aged 15 to 49 would be happy to have and want to use this service. 

Shipping Large Items 

If you are in the business of shipping large items then carrier or parcel shipping isn’t for you. In this case, you can provide your customers with the highest level of customer service by arranging shipping for them. 

If you work with a broker you ensure that they get full service at the best price. Your customers may not know that they will have to pay extra for last mile and in-home delivery.

You can get the best rates for both of these by leveraging your broker’s shipping volume. This also takes all of the headaches and work out of the buying process.

Your customers will appreciate the prompt on-time delivery. This type of service is what will separate your business from your competitors. 

Delivery Options for Your Business 

You don’t need to give buyers all of the delivery options that are out there. You just need to offer a couple of different options. This will allow you to cater to the needs of a wide range of shoppers. 

You want to have one low-cost option. This will cover those who don’t care how long the shipment takes, they want the lowest cost possible. 

Then you want a mid-grade option, people who are willing to pay a little bit to get their item slightly faster than the cheapest option. Many buyers will choose this option because it seems like a better option. 

Finally, you want a fast shipping option. This is for those who want their item RIGHT NOW. These shoppers are willing to spend extra money to make sure they get their item as fast as possible. 

With these options, you are sure to have something to satisfy the biggest amount of people. 

Contact us today and let us help you formulate your shipping strategies.

National Delivery Service vs Regional Delivery Service: Which is Right for You?

Do you think you offer the best services your customers need and deserve?

Think about it: there are almost 30 million small businesses in the country. How does your business stand out?

One area you can excel above the rest is package delivery. Customers hate poor courier service like the plague. People also want their orders delivered as soon as possible.

If you need to get your package delivered, you need to understand the different types of courier deliveries. You need to know whether a national delivery service fits your requirements. Otherwise, you might need to use regional delivery instead.

The reason you need to differentiate is to narrow down your choices. Remember, if you’re a business who wants to save money, you need to stay informed. If you want to learn which shipping partner to choose, read on.

What’s the Difference Between a National Courier and a Regional Courier?

Before you know which to choose, you need to understand the differences. The first thing you should remember for national services is that they’re big. It means they have a larger means of transportation.

Having these traits help them with their reach. It allows them to operate anywhere in the country.

National deliveries have the capabilities to use shipping routes that take a week to travel. For example, large companies like FedEx Freight are national courier providers. They can give continuous delivery services no matter where you are in the country.

As for regional carriers, they’re smaller companies that operate in local areas. That means their area of operation is much smaller compared to national carriers. Most people consider businesses as regional carriers if they’re giving services for shipments within a 500-mile radius.

Some of the better regional companies can deliver up 1,200 miles away. It’s only possible if the clients can wait for an additional day. That means far-off customers can only use the second-day services offered by these businesses.

What are the Advantages of Each Carrier?

The advantages of these services depend on your situation. Your business size and your area of operation are two of the best factors to consider. Here are the things you should consider:

National Services

National delivery services have the size for a wider reach. With the size, these companies have access to a greater level of resources like the latest technology.

The resources make it possible for the national carriers to maintain more complex delivery routes. This allows them to keep a bigger customer base. Some can even partner up with large retail companies sell items by the bulk.

The size and abundance of resources make it possible for national carriers to have the proper equipment. It enables them to serve longer routes. It’s much longer than any regional or local courier services.

National services, because of their scale, tend to have a stronger system to protect their company’s integrity. They might offer better insurances to protect packages. Also, even if they cover a larger area, they sometimes work faster than regional couriers because of their organized operations. 

It’s also common for national couriers to have better customer service and more efficient tracking. Very often, it’s not a hassle to log into their website and get efficient real-time data regarding the location of a package. Regional couriers don’t often get this because they might not have the resources to maintain this level of monitoring.

Regional Services

The regional carriers are great when you need to rely on shorter deliveries. Their limited area of operation gives them more flexibility to their services. Often, they’re more familiar with the routes within their service area.

They know shortcuts and other situations since they’re traveling more often in the same area. A lot of customers feel satisfaction when they work with regional carriers. It’s not unusual since these carriers have a smaller customer base.

What are the Drawbacks of Each Carrier?

When it comes to freight weight, trucks move around 71% of the entire country’s packages. Despite this, both types of services have their own drawbacks. Here are some things you need to remember:

National Service

The biggest issue with national couriers is that they may charge a higher price. However, you have to put this into context: most national couriers offer better service, better insurance, and faster delivery. You get what you pay for, after all.

Although national services can be faster, there’s no denying they may have to travel farther distances and go through different vehicles. A package from one end of the country heading to the other might have to go through a bus, an airplane, and finally a truck before reaching the customer. This raises the risk, albeit only sightly, of the package getting damaged while on the road.

Regional Service

The most obvious limitation of regional couriers is their limited geographic areas. What this means is that they will charge you a lot. It’s especially true if it’s outside their normal delivery area.

Even then, it’s possible that they’ll reject your request. It happens when it’s too far for them to make it worth their resources.

If you coordinate different regional services, you might get the deliveries done faster. But the problem is that it’s expensive and often unwieldy. This means regional carriers aren’t the best choice if you plan to have longer shipments.

National Delivery vs. Regional Delivery – Learn the Best Choice Today!

Your choice of courier service changes with the shipment distance involved. If you’re a large business serving the country, national delivery couriers are for you. They have access to bigger infrastructure and resources.

Even if you’re a small business, national delivery might be the right solution for you. They can give you a competitive level of pricing while delivering efficiency. These companies can give the speed you need but give you satisfaction at the same time.

But always remember that there are more factors out there that can affect your choice of courier. If you need a versatile courier, you can contact us today to get a quote. Otherwise, we can talk about how we can help your business grow with our services.

Courier Service NYC

Get It Delivered Fast! Your Guide to Same Day Delivery Service

Courier Service NYC

Got a solid SEO plan for your online business? Do you think you’ve got a solid marketing plan that caters to your target audience?

Attracting customers is one thing, but keeping them happy is another ball game. One good way of maintaining satisfaction is to deliver the products they order in a timely and orderly manner.

If you want to widen your small business’s reach, you need to plan your packaging well. Give your customers choices and check whether you can scale your shipping process. One of the things you need to consider is a same day delivery service.

This service helps fight the impact of lost packages since the item doesn’t stay in transit for too long. But how does quick shipping benefit you and your customers?

Read on and learn more!

1. Greater Degree of Convenience

A lot of people have difficulties scheduling on-time deliveries. After all, most people need to be available once their courier arrives. If your business offers same-day delivery options, you make it more convenient.

Your customers can have the leverage they need to make the orders as soon as they need something. They become more relaxed since they know it arrives soon. It’s much better for them rather than rearranging their schedule to fit your courier’s.

2. Increased Productivity

If you integrate same-day delivery into your services, it benefits your employees too. You’ll see an increase in their productivity since they’re more efficient with their work.

It creates a sense of urgency. This motivates them to finish their work at the shortest possible time. That will increase your business’s productivity.

It has a huge impact on your company’s final turnaround. It does so while maintaining employee morale.

3. Reduced Shipping Costs

Shops and services benefit more from same day shipping. It’s due to its reduced shipping costs. Enterprises that offer this type of delivery schedule won’t depend on more shipping charges.

What this means is that they don’t pay more money on fast shipping.

This can benefit customers since it cuts off extra costs. You might even drop other shipping options and pay a uniform amount of shipping fee.

4. Greatly-Reduced Shipping Time

Most businesses push for the shipping evolution to offer more convenience. Speed is one of the main factors they push, especially eCommerce retail businesses. With the sheer profit made by these companies, a lot of couriers needed to adjust to capitalize on the booming industry.

After all, it’s expected for the global eCommerce retail sales to reach $4.5 trillion within the next three years. What this means is that next day shipping and same day shipping are current industry standards. This applies no matter where you are in most developed countries.

Now businesses push for affordable same day delivery as the next evolution of shipping. This means the orders can now be delivered within a few hours after buying them. Thankfully, the same-day service industry is closing the gap for both local and domestic deliveries.

Once this happens, the B2C segment will outgrow its B2B counterpart. That benefits both your business and the customers you cater to. After all, deliveries arriving within 1-12 hours after order placement makes everything much faster.

What’s Next in Same-Day Delivery?

A lot of companies see same-day delivery as the ultimate goal of internet retail. Even large companies like Amazon try so hard to get a consistent level of delivery. They want it on such a scale that it applies no matter where you are in the country.

If online businesses can deliver same day shipping all the time, they will make physical businesses obsolete. The difficulty of maintaining this process put a lot of businesses into bankruptcy.

The early pioneers of this service crashed and burned. It’s due to the items costing less than their delivery fees. Amazon, when it first launched the service back in 2009, needed to know how to implement it.

Right now, the technology and logistics involved are evolving. It’s becoming easier to get deliveries accomplished, but its scope still has its limits. This is especially apparent to small businesses that operate in small areas.

For all its worth, same day deliveries can still benefit your local business. If you confine it within your area of operations, it’s a nice feature that will make you gain more customers. Customers are willing to pay for extra if they can receive their items within an hour after ordering.

Customer Considerations

A lot of possible customers need to consider what same day delivery can or can’t do. For the most part, your business can offer same day delivery in select areas. If you’re located in a metropolitan area, deliveries that arrive within an hour or two are possible.

What are the other things customers should consider? Let’s look at a couple.

1. Items with Same-Day Delivery Offers Might Cost More

There are some businesses out there that charge more than normal for items with same-day deliveries. It might even be higher than the price of local products you can otherwise buy. That makes it difficult to see how the delivery is worth your money.

2. Local Businesses Might Deliver Faster for Less

Most national companies offer same day deliveries. But before you do anything else, check with local businesses that do the same for you. If you’re looking for groceries or items with high availability, do your research.

Local businesses can offer same-day shipping at a lesser cost. Don’t hesitate to use local groceries and other establishments to get the things you need. Contact them and ask whether they can do deliveries.

Get Same Day Delivery Service Today!

If you’re a business that wants to facilitate a same day delivery service, you need to partner with a good courier service. This can determine whether it succeeds or drives you toward bankruptcy. Always keep tabs on local couriers to ensure that you get the best deals out of your money.

Are you a business in New York? If so, you can use our services to deliver your parcels to your customers. We have the means to complete orders within the same day and help you flourish.

Contact us today and we’ll help you get started on the path to success.

slow moving inventory

Quit Dusting Your Dead Stock! How Delivery Options Can Boost Slow-Moving Inventory Sales

slow moving inventory

slow moving inventory

Even in a well-run business, there could be 20 to 30% of inventory that is dead stock.

Carrying dead stock and slow-moving inventory can increase your costs and harm the rest of the store.

There are ways you can move these problem items and get the cash your company needs.

Continue reading this article to learn how to keep inventory moving and decrease the time it spends on your shelves.

Say Goodbye to Slow-Moving Inventory

The same shelf of products is staring back at you. It has been for months now and it is taking up valuable retail space. There could be a number of reasons that you have dead inventory on your shelves, such as:

  • Lack of customer interest
  • Selling products that are too similar
  • Failure to train staff to sell a product
  • Defective products

No matter what the reason is for having excess inventory, there are solutions that can help you get those annoying boxes off the shelves.

What Is Dead Stock?

Dead stock is inventory that doesn’t sell. If your company doesn’t use inventory management software, you may have product hiding out in your warehouse for years.

Whether you manufactured the products yourself or brought them through another company, if you aren’t moving inventory, you are amassing costs. The cost of storing the products is only one of the costs. Having old stock in your store can make your store look out of date and behind the times. Instead of looking like a retail professional, your store might look like a once popular liquidation special.

Avoiding Dead Stock

The first step to solving your problem is knowing that you have a problem.

Having software that will alert you when you have an aging inventory will allow you to get to work on a solution.

Instead of the wait and hope “strategy”, you can put systems into place that will help you shed the dead weight.

You might find some of your products aren’t worth saving, and they have to meet the dumpster, but that isn’t always the case. There are many smarts ways to get rid of these products and recoup some of your costs.

Some ideas for cost recouping are:

  • Selling to discount stores
  • Donation to charity (Hello tax write-off)
  • Using it as a gift giveaway with selective purchases
  • Offering the product in a bundle

Inventory should sell in 90-120 days in most situations. After the 90-120 day period, it is time to get concerned.

Since cash flow is the life-blood of any business, you need to get that inventory moving even if it means taking a loss.

Before implementing any of these strategies, make sure you are not continuing to order products that are not selling. If you are getting rid of the product at a discount only to have more come in behind it, you will never be able to solve your problem.

Quick and Free Shipping Are Your Friend

When selling your products online, it is important to have the best shipping services possible. Shipment is one of the determining factors for whether a customer buys your product or a product from your competition. The days when your company could charge hefty fees for shipping are far in the past.

When inventory isn’t moving, you can offer free, fast shipping on those products to get them to move. If the free and fast shipping alone isn’t enough to make them move then offer a deep discount to sweeten the deal. The longer you leave the product on the warehouse shelves, the more money you will put out in expenses.

While you will not make a profit off of these sales, your company will come out better in the long run since you didn’t have to count these products as a total loss.

You can use the situation as a way to win new repeat customers by giving them an amazing first experience. When first-time customers buy one of your deals, they will experience your fast shipping and customer experience.

If you haven’t thought much about your customer experience when they receive your package, this is a point you need to address. Your customer’s first connection with your product is often when they open your package.

Getting Customers to Promote You for Free

Once you’ve wowed your customers with free, fast shipping and a great deal, the experience needs to continue when they open the product package.

Pay special attention to the wrapping of the package, the messaging within the packages and any promotions you include. All these things are part of the customer experience, which will make or break the relationship and any free promotion you get from the customer.

If your packaging is unique, interesting and enjoyable, it is likely they will share it on social media or at least send it to a friend to see. Word of mouth and social media advertising is very powerful and can turn your dead stock into a part of your marketing campaign.

What to Look for in an Order Fulfillment Company

As you choose the company that will fulfill your orders, keep in mind that their commitment to their promises to your customers. If they can’t deliver product when they say they will, your customers are going to blame you, not them.

Working with a company that has a great reputation for following through on their promises is a must. Not only should they offer long-distance shipping, but having same-day delivery allows you to get packages to local customers at the speed of light.

Read customer reviews, speak with the sales team and even call customer service to make sure there is a good match between your companies.

Keep the Inventory Moving and Customer Satisfaction High

Slow-moving inventory can be a thing of the past. Offering the best shipping services to your customers will put you out in front of the competition that is skimping on shipping services. Speak with our professionals today to learn more about how we can help you and your business.