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.
Shipping costs can be a significant expense for subscription box companies, especially with small, heavy items. However, USPS offers discounted shipping rates through their Priority Mail program for high-volume shipments under 0.5 cubic feet and 20 lbs. This bases the price mainly on size and distance rather than weight. To qualify, you'll need to ship a high volume of packages regularly.
If your shipment volumes don't meet the minimums for discounts, consider using a third-party fulfillment center. Their high shipping volumes allow them to access carrier discounts that they can pass on to clients.
UPS SurePost and FedEx SmartPost hand off packages to USPS once they reach the destination area. This allows them to save money on final mile delivery. While it may take a bit longer, using these services can add up to significant savings over time.
Even small ecommerce companies can access volume shipping discounts by working with a third-party fulfillment center. They ship high volumes for multiple clients, allowing them to negotiate great rates. This saves you time and money on fulfillment while still benefiting from their carrier discounts.
Grouping multiple orders together into fewer larger shipments saves money compared to sending many small packages. You can batch by scheduling or accumulate orders until there is enough volume for a discount.
Specially designed custom boxes optimize space efficiency. Less wasted room in packaging means lower dimensional weights and shipping costs.
Research and compare rates across shipping carriers. Many offer special discounts or incentives that could greatly reduce costs.
Reduce packaging materials and eliminate anything unnecessary to minimize box weight. Heavier packages mean higher shipping rates.
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!
Next article: Everything to Know About the Delivery Time of FedEx, UPS, and USPS
Top options include USPS Priority Mail volume discounts, UPS SurePost/FedEx SmartPost, and using a fulfillment center to access volume shipping rates.
To qualify for discounts, you need to ship a high volume of small, heavy packages regularly that meet dimensions under 0.5 cubic feet and 20 lbs.
These services hand off packages to USPS for final delivery once in the destination zone. This saves money but can mean slightly longer transit times.
Fulfillment centers ship high order volumes for multiple clients. This allows them to negotiate great shipping rates that they can pass on.
Batching multiple orders together into fewer larger shipments can significantly cut costs compared to sending many small packages.
Specially designed boxes optimize space usage. Less wasted room means lower dimensional weights and reduced shipping rates.
Different carriers offer various discounts and incentives based on volumes, delivery zones, and other factors. Comparing them can mean major savings.
Heavier packages result in higher carrier rates. Reducing packaging materials and eliminating anything unnecessary decreases weight and costs.
