The price of third-party logistics has always been the first focus of e-commerce sellers. After all, it is related to the cost and profitability of their own companies. Generally speaking, they need to provide some other data before receiving the quotation(product weight, quantity, and billing quantity , packaging methods, required storage area, etc.). So today we will analyze why we need to provide so much data, and what are the important price components of an order fulfillment company.
Because the product needs to be shipped by express delivery, the express delivery price will be closely related to the weight and the amount. It will be more favorable if the number of e-commerce sellers is relatively large.
Since e-commerce sellers need to deposit their goods in the warehouse of a warehousing agency, they need to use a certain storage area. There will be a fee for the lease of the warehouse area. However, unlike self-leasing warehouses, in order fulfillment warehouse, e-commerce sellers only need to lease the corresponding area according to the actual storage area they need, which avoids the waste of warehouse area.
Operating Expenses in the Warehouse
The operating expenses in the warehouse mainly include loading and unloading goods, warehouse management, picking, secondary packaging, etc. Then this cost will be related to factors such as quantity and packaging method. With more quantities, the warehouse management staff naturally needs more manpower and energy to manage the goods. When picking according to the order, it also needs to spend more time and energy to operate, resulting in increased prices. The packaging method depends on the customer’s requirements(such as direct bagging and delivery)and the need for ice packs, which can affect the final price.
Many businesses order need the Cheapest international shipping, China shipping company, shipping from China when ordering products from suppliers in China. In some cases shipping is the most expensive part of their orders so getting a great price is essential to maximizing profit. If you use the tactics listed below then you are one step ahead when it comes to getting the best shipping rates. There are many things buyers should be aware of when ordering products from China to get the best shipping rates.
Negotiating With Different Shipping Companies
When getting quotes from suppliers they can ship your items from a variety of carriers. The more expensive carriers like DHL, FedEx International, and EMS offer the fastest shipping times (usually 2-4 business days). The more cost effective carriers like post and others are very slow sometimes even 15 days to one month to deliver your products based on your location. It’s essential to make sure you know when you need your product so that you can use the best shipping company for your situation.
Order Quantities and Shipping Price
It is a common saying that when the quantity ordered increases then the price should decrease. This is also true when ordering products from China. There are shipping fixed costs and then a variable cost of the weight of the items. So when you calculate a rate with a shipping company they are plugging this information into their system to give you a price. (This method will depend on your item’s size but works better for small to medium items) If you are ordering a product like coffee mugs then trying to order just one mug will be expensive but when you order 50 mugs the shipping will be cheaper per unit. It’s all about saving you money on shipping from China because you also have to ship the item to your customer once you receive it.
Online Shipping Calculators
If you believe that your supplier is not being truthful about the shipping cost for your shipment then check the price for yourself on a shipping calculator. You will need to know which carrier you want to use and the dimensions of the packages you are shipping but this is a great way to do-it-yourself or just check a supplier’s pricing to make sure you are not getting screwed over. Sometimes suppliers over inflate the price of shipping to make some extra profit from buyers so beware of this scheme.
Buyers who use these tactics listed above are set to make more profit on their purchases from Chinese suppliers. Once you know how the shipping game works then you can begin to use it to your advantage and make your suppliers work in your best interest. The only problem is that this process is sometimes confusing and it is time consuming. At ChinaDivision we manage the shipping process for your business so that you can focus on what you do best. We can streamline your inventory management and deal with suppliers to help your business work smarter not harder. Contact us today for Cheapest international shipping,China shipping company,shipping from China. We are your one stop shop for all things shipping, logistics, and customer satisfaction.
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