Tips on Getting the Best Parcel Shipping Rates
Shipping costs can significantly impact your business expenses, often representing up to 10% of a product's total cost. Wow is right! That's why understanding parcel shipping rates is crucial to reduce expenses and boost profitability. Factors such as package weight, dimensions, destination and shipping method all play a role in determining rates. By getting familiar with these variables, you can make informed decisions to lower parcel shipping costs and ensure timely, efficient deliveries for your business.
In this comprehensive blog, we explain the ins and outs of parcel shipping rates to help you make informed decisions and optimize your shipping processes. We cover essential topics such as understanding your parcel shipping needs, comparing different shipping options, streamlining your parcel packaging and avoiding small package surcharges. By implementing these parcel shipping tips, you can achieve cost savings, enhance customer satisfaction and gain a competitive edge. Let's go!
Understand Your Parcel Shipping Needs
To get the best parcel shipping rates you must understand your specific shipping requirements. This involves assessing your shipping volume, determining delivery time expectations, and evaluating your parcel packaging needs — including size and weight.
1. Evaluate your parcel shipping volume
If you're a low-volume shipper, you may find that basic small package shipping plans suffice. However, if you regularly ship a substantial number of packages, exploring comprehensive shipping plans that offer volume discounts can lead to significant cost savings. Take the time to analyze your parcel shipping patterns and project your future shipping needs accurately.
2. Determine your shipping delivery speed requirements
If your business relies on quick deliveries, prioritizing speed becomes paramount. Consider expedited parcel shipping options like overnight or express delivery to ensure your packages reach their destinations swiftly. However, if you can afford to wait a bit longer, choosing standard shipping methods can drastically reduce shipping costs. Understanding your delivery time requirements is essential for striking the right balance between speed and affordability.
3. Assess your small package size and weight
Package dimensions and weight have a direct impact on shipping rates. Heavier and larger packages naturally incur higher shipping costs. Therefore, it's crucial to accurately measure and weigh your packages before obtaining parcel shipping quotes. By providing precise package information, you can avoid unexpected shipping surcharges and ensure accurate pricing. Remember, even a slight underestimation can result in additional fees, affecting your bottom line.
By thoroughly understanding your parcel shipping needs, you lay the groundwork for making informed decisions that optimize your shipping strategy and minimize costs. This knowledge empowers you to select the most suitable shipping methods, negotiate favorable parcel shipping rates with carriers, and ultimately deliver your packages efficiently and cost-effectively.
Consider Different Parcel Shipping Service Options
Parcel shipping carriers offer a variety of delivery options designed to meet different needs and budgets. Understanding these options and choosing the one that best suits your requirements can significantly reduce your shipping costs and delivery speed.
The most trusted parcel shipping company in the nation is UPS®, known for its reliability and extensive network. UPS offers a range of small package shipping options, each with its own unique benefits and pricing structure. Key UPS shipping options include:
UPS® Ground
A cost-effective option for less time-sensitive shipments within the United States. It typically takes 1-5 business days for delivery, depending on the distance and destination. UPS Ground is ideal for large packages or heavy items that are not urgent.
UPS Air Services
Offers expedited shipping services for shipments that require faster delivery. UPS Next Day Air® guarantees delivery by the next business day, while UPS 2nd Day Air® and UPS 3 Day Select® offer delivery within 2-3 business days, respectively.
UPS SurePost®
A cost-effective hybrid shipping option that combines UPS ground service transportation with USPS First-Class Package Service or USPS Priority Mail. It offers a balance between affordability and speed, making it suitable for small packages and lightweight items.
By carefully considering your shipping requirements, such as delivery times, package size, and budget, you can choose the most appropriate UPS shipping option to ensure efficient and cost-effective parcel delivery.
Optimize Your Parcel Shipping Process
Optimizing your parcel shipping process is crucial to achieve reduced shipping costs and ensure efficient package delivery. Here are some effective strategies that will help!
- Centralize your parcel shipping operations. Managing all your shipments from a centralized shipping technology platform provides better visibility, control and optimization opportunities. This allows you to compare shipping prices for different shipping options, choose the best shipping method for each package and track shipments easily. Additionally, automation tools help you optimize packing, sort shipping packages based on size and destination, and generate shipping labels in bulk.
- Implement cost-effective packaging techniques. The weight and dimensions of your packages significantly impact shipping prices. Use lightweight packaging materials, optimize package sizes to minimize dimensional weight, and consider using filler material to reduce empty space. By optimizing packaging, you can minimize parcel shipping rates and reduce additional fees associated with oversized or overweight packages.
- Stay updated with UPS shipping policies and regulations. Shipping companies like UPS regularly update their policies and pricing structures. Staying informed about these changes ensures compliance and helps you choose the most cost-effective shipping service for your needs.
Watch Out for Additional Shipping Fees
When you navigate the landscape of parcel shipping, it's important to be aware of potential additional shipping fees and charges that can significantly impact your shipping rates. These surcharges can arise from various factors and can quickly turn a seemingly affordable shipping rate into a more expensive proposition. Understanding and proactively addressing these potential pitfalls is crucial to maintain predictable and budget-friendly parcel shipping rates.
One common culprit for additional charges is package size and weight. Shipping carriers often impose surcharges for large packages or those that exceed specific weight thresholds. To avoid these extra fees, accurately measure and weigh your packages before shipping and be mindful of any size or weight restrictions imposed by your chosen shipping carrier.
Another potential source of additional charges is incorrect or incomplete address information. Shippers must provide accurate and detailed recipient addresses to ensure smooth package delivery. Errors or omissions in address details can result in additional charges for address corrections or, in severe cases, failed deliveries and returned packages. Double-check all address information before finalizing your shipment to minimize the risk of incurring these avoidable fees.
Additionally, be aware of potential delivery area surcharges imposed by some shipping companies. Certain remote or less accessible areas may incur additional delivery fees due to logistical challenges. Familiarize yourself with the delivery area classifications of your chosen shipping carrier to avoid unexpected charges for delivery to remote locations.
When you understand and address these common causes of additional charges, you become empowered to make informed decisions and optimize your shipping strategy. By taking proactive measures to avoid these potential pitfalls, you ensure that your parcel shipping costs remain predictable and within budget. This allows you to focus on growing your business without the burden of unexpected expenses.
Track and Monitor Your Small Packages
Maintaining visibility over the whereabouts of your small packages is paramount to ensure timely deliveries and peace of mind. In turn, this can have an impact on shipping rates and costs. By leveraging shipping technology and fostering effective communication, you can effectively track and monitor your shipments. Platforms like a transportation management system (TMS) offer real-time updates on the exact location and status of your shipments, enabling you to remain informed at every stage of the delivery process. Here are just a few of the ways tracking and monitoring can impact parcel rates and costs:
- Improved Customer Satisfaction: Reliable tracking enhances customer satisfaction by providing them with up-to-date information about their orders. Happier customers are more likely to become repeat buyers, which can lead to more consistent shipping volumes and potentially better rates from carriers who value high-volume shippers.
- Carrier Discounts: Some shipping carriers offer discounts for businesses that use their tracking and monitoring services extensively. These carriers might provide better rates to customers who utilize their tracking systems because it helps them manage their logistics more effectively.
- Fewer Claims for Missing Packages: When you have tracking, you can resolve issues related to missing or delayed packages more effectively. This can help you avoid the costs associated with processing claims and issuing refunds or replacements.
Partner With a 3PL To Get Top Parcel Shipping Rates
A leading third-party logistics (3PL) provider like Unishippers knows that securing the best parcel shipping rates is crucial for businesses to cut costs and streamline their supply chain. Navigating fluctuating rates and surcharges can be tough, but with Unishippers, you benefit from our expertise and long-standing partnership with UPS. Our team, experienced in shipping intricacies, delivers tailored solutions for both small and large packages, ensuring optimal shipping strategies for your needs.
Want to learn more? Reach out for a free consultation today!
Additional Parcel Shipping Rates Resources
Setting E-commerce Shipping Rates for Your SMB
Which is better: UPS® or FedEx for SMB shipping?
FAQs About Parcel Shipping Rates
UPS charges for shipping based on both the weight and size of the package. They use a combination of these factors to determine the shipping cost, with larger and heavier packages generally costing more.
UPS shipping rates per pound vary depending on the service level and destination. For accurate rates, it's best to use the UPS shipping calculator on their website.
Determine UPS shipping costs by using their online shipping calculator or by checking their rate charts for specific service levels and destinations. Inputting the package's weight, dimensions, and destination will give you an accurate estimate.
Using a flat rate box can be cheaper if your package is heavy but fits within the flat rate dimensions. For lighter packages or irregular sizes, using your own box and paying based on weight and dimensions might be more cost-effective.