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Save on Shipping Costs

By August 19, 2010January 16th, 2020Fulfillment, Packaging, Shipping Rates

With the economy sluggishly moving along, we are always looking for ways to improve efficiency and pass along savings to our clients.  There are three main buckets of costs when delivering products to your customers; (1) shipping i.e. USPS, FedEx, UPS etc… (2) fulfillment fees; and (3) packaging fees.  Shipping costs tend to run 60-75% of your total fulfillment expenses.  The direct fulfillment fees, this is how TAGG makes it’s money, usually makeup another 20-30% of these expenses with packaging being the smallest, final portion.  Therefore, a reduction in shipping expenses will have biggest direct impact on your bottom line and this is an area we are always looking at ways to improve.  Recently we added two new services to our shipping portfolio to act as lower cost alternatives to the USPS.  For packages under a pound, we are able to beat the cost of a normal first class mail rate using UPS Mail Innovations.  For packages over a pound and less than 10 pounds, we are able to significantly reduce the cost of a regular Priority Mail shipments using a FedEx product called Smart Post.

There are an endless variety of shipping methods.  With these 2 new alternatives to the Post Office, TAGG can effectively ship your product for you the exact way you want….or let us shop it around a bit.  Our bet is we will come up with a creative way to save you money!!!