Source: Aun Photographer/Shutterstock.com
Fluctuations in fuel prices and fees mean that international shipping companies’ prices are often changing, and it’s hard for businesses to keep up with the cheapest possible shipping options. The challenge is even greater if you only send individual packages to customers and don’t distribute enough products at high volume for partial or full shipping container rates.
There are some general rules for finding the cheapest shipping companies and, surprisingly, the big-name worldwide cargo companies aren’t always the best option. Before we get into the details, here is a brief summary of findings:
- Ocean shipping is almost always cheaper than air, but ocean shipping is not always practical for delivery to clients.
- USPS is often the cheapest option, but there may also be international carriers that specialize in a particular country or route.
- Online websites that allow you to compare and buy shipping labels are great for discovering new carriers and finding hidden deals.
Air vs. Ocean Freight
Although it is possible to ship a package by rail or truck to Mexico or Canada, in most cases, air and ocean freight are your main international shipping options. Air freight is almost always more expensive due to the limited space available on planes and higher overall demand. The difference is sometimes negligible for small and lightweight items, but it adds up for heavy or bulky packages.
Both air and ocean freight are influenced by seasonal demand and can be more expensive during peak shipping season before the holidays. However, sending individual packages is usually not subject to dramatic price changes.
Source: alphaspirit.it/Shutterstock.com
Courier Services
Courier services like DHL and UPS are rarely the cheapest option for shipping, even if you have a special business contract with them. The difference between prices for different courier delivery companies is usually minor and often varies based on destination and shipping speed.
The reason for the overall higher prices is partly because they usually guarantee delivery times, unlike USPS. They also offer better customer service, including basic help with how to fill out a customs form for international shipping. However, the higher prices may mean that even sending small packages may be financially unviable for small businesses.
Learn How to Fill Out a Customs Form for International Shipping
USPS
USPS is generally cheaper than courier services, even for international shipments. The package prices are usually based on both weight and the zone that a country is assigned to. In some cases, the package dimensions may play a role with oversized items incurring a surcharge or requiring assignment to a different package class.
USPS flat rate packages are priced based on volume and come in small, medium and large sizes. These boxes make shipping convenient, but in many cases, they are more expensive than it would be to ship the item based on weight and volume. If you are shipping lightweight items, make sure to do a cost comparison and see if it makes sense to use your own fiberboard box weighed manually.
Regional Carriers
Some companies specialize in deliveries to specific countries or regions and only have offices in a handful of major U.S. cities to keep costs down. Although some of these companies cater to people moving abroad, many are a viable option for business shipments. These companies are prevalent in Asia since the routes are so long and they get so much business that streamlining the logistics is highly efficient.
If your business sends packages to a particular country or region regularly, it may be wise to contact them and see if you can get a special rate. They may be a more reliable option than USPS without the added costs of worldwide courier services. Even without a contract, you may be able to save 30% or more per shipment.
Regional carriers may also offer a broader range of shipping speeds, including slow ocean freight for non-urgent packages. Make sure to closely check these carriers’ terms and conditions before using them to send packages to clients.
Use Shipping Materials for Protection During Transit
Using Online Shipping Services
Many online services claim to get you discounted rates for courier services, USPS, regional carriers and more. These services sometimes work very well, especially if you send individual packages to customers regularly.
These services are especially great for companies with existing eCommerce platforms, as they can often import shipping information directly from your website. With a little help from your web developer, you can buy and print the cheapest shipping possible with just a few clicks.
Most of these services have affordable monthly rates with high limits on the number of packages you can send. Just have your shipping materials ready to go, and you can print labels from your office easily.
Source: Freedom/Shutterstock.com
Getting the Right Price on Shipping Materials
Air Sea Containers understands the importance of keeping your costs as low as possible, especially in the highly competitive retail industry. We work hard to bring you hazmat shipping materials, custom boxes and more at an affordable price. Count on us to keep you in compliance with international shipping laws while keeping your prices competitive.