eCommerce Shipping Mistakes that Can Cost You a Fortune

This column is authored by Shivangi K, Analyst, eCourierz

ecommerce shipping logisticseCommerce shipping is a difficult subject enough already, and committing mistakes in this niche can cost you not just a ton of money but a huge dent in business and customer relationships.  Movement of freight is an everyday operation, and so money and time are involved more than anything here. Here are some mistakes that can be avoided:

Poor packaging

Shipping goods include a lot of fragile materials as well. When this isn’t packaged and wrapped properly, it can lead to severe damage of the shipment. The best way out of this is to consult a packaging professional, who can help you reduce your liabilities and curb your package costing.

Inaccurate shipment weight

This is a burning issue with some organizations. Due to lack of a proper weighing equipment, the weight of the cargo is usually estimated. This becomes an issue because carriers weigh and confirm the true weight before shipment, and bill accordingly. So the weight doesn’t match, your bill exceeds your budget due to mistakes like these.

Wrong freight class

Freight class is an important factor by which carriers estimate their fee.  Businesses often deal with large volume of shipment, so they prefer shipping it through the lowest class possible as it is the cheapest. But when carriers recheck the class, they will impose a reclassification fee if the class designation is not right.

Ensuring the right services

Before shipping, shippers must contemplate the consignee’s capability to receive and handle the shipment. For example, if the consignee doesn’t have a lift gate, the shipment could be rejected and brought back to the carrier’s terminal. When this happens, the carrier will add a redelivery charge for providing a lift gate, and your invoice again would be more than the calculated amount. In order to maximise efficiency and reduce any extra costs, double check before assigning the shipping and ensure proper services are in place.

Don’t stick to one carrier

In a business that is primarily based on trust, it is not advisable to stick to a single carrier when shipping goods. Even through this carrier might be scoring high on the trust scale, but imagine a scenario wherein the carrier experiences a labor strike, or undergoes downsizing, then it can cost you big time. Divide and delegate to a few other carriers as well.

Approval of shipment

Before passing the delivery receipt, ensure that the entire shipment is checked and verified for any damages. If this is not done so, then you are not eligible for any damage claim from the carrier. The consignee must take this responsibility very seriously and must have strict inspection measures.

Incorrect addresses

This is an ever prevalent shipping error that has cost companies a lot in the past. An address is that one element that must be double checked at every stage for the correct pin code etc. Tracking down shipments is a very strenuous and time-consuming task, and even a single missing number or a missing line of address can cost you dearly.  

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