April 08, 2021
Posted by Janna Prowell

Why Reducing Your Shipping Costs Requires Automated Shipping Software

Shipping is one of the most vital components of your eCommerce business and yet the high costs and fees associated with shipping are likely hindering your business growth more than you may realize. Even with its essential status, shipping tends to be one of the largest areas that businesses overlook when it comes to strategy and cost savings.

Luckily, automated shipping software can help you get your shipping costs under control and scale your business. 

So how do you determine if switching from a SMB shipping software to a more sophisticated automated shipping solution is right for your business?

You can start by identifying the pain points your fulfillment operation is experiencing as related to shipping costs. Some common pain points that significantly impact shipping costs: 

  • Rate shopping - carrier tariffs (the rates and rules under which a shipping carrier will transport goods) are complex by design and as a result, are far too complicated for employee decision-making. With an automated shipping software, you can automate carrier selection and route optimization to realize the lowest possible shipping rates. 
  • Penalties and additional fees - the costs associated with shipping errors can dramatically impact your bottom line. From oversized charges to shipping an order in the wrong box - these errors are costing you big time. 
  • Packaging/waste - as cited in Adapt or Die: The Guide to Modern Warehouse Automation, “about 165 billion packages are shipped in the US each year, with the cardboard used roughly equating to more than 1 billion trees". Automating your shipping operation can not only lessen your company’s carbon footprint, but reduce your shipping material costs by identifying the optimal box for each order. 

If your business is experiencing some (or all) of these issues, it's more than likely you have the opportunity to save on your shipping costs by upgrading to an automated shipping software solution.

Now, you might be thinking that upgrading to an automated shipping software will cost you more, both in time and money. However, ShipHawk continues to help our customers turn their shipping operations into profit centers by reducing their shipping costs year over year. And that money saved can be reallocated to other parts of your business, like marketing, to continue growing your business and brand awareness. 

To learn more about how making the switch to an automated shipping software can reduce your shipping costs and help scale your business, schedule a call today with one of our team members. 

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