The 5 Proven Ways to Save on Packaging and Shipping Costs

With US spending on shipping rising by $8.2 billion, or 1.4%, most firms are finding that reducing their shipping cost is becoming an increasingly essential requirement. This highlights how crucial it is for a business to reduce its shipping and packaging costs.

This blog addresses the ongoing need for saving the packaging and shipping costs and highlighting cost-saving tactics for small and medium-sized companies.

What Are Some Factors Which Contribute to Higher Packaging Costs?

• Labor Costs
• Market Fluctuations
• Energy Consumption
• Regulatory Compliance
• Supply Chain Disruptions
• Transportation Inefficiencies
• Quality Control and Returns
• Equipment and Maintenance
• Packaging Design and Testing

The 5 Proven Ways to Save on Packaging and Shipping Costs

1. Choose The Right Box Size

Make sure the boxes you are using to store and distribute your products are exactly the right size for the contents they hold. A shipping box that is too large allows things to shift around and perhaps get damaged in storage or during transportation.

Reduced replacement and returns result from fewer damages, which boosts overall savings and increases customer satisfaction. When you get rid of extra space in your packaging, your packaging will be the right size and your shipment will be less expensive.

Packaging volume and weight are reduced when products are packaged precisely to fit their size and shape, which also removes the need for extra filler materials.

2. Implement the Use of Eco-Friendly Material

Making the move to eco-friendly materials for packaging is the most cost-effective strategy. Low-cost sustainable materials might have an impact on the packaging budget as a whole.

Affordable packaging solutions are produced using inexpensive and environmentally friendly raw materials, as opposed to standard ones. Packaging that is sustainable can frequently be lighter and ship for less money.

Using eco-friendly materials like plant-based packaging, bioplastics, and recycled paper can revolutionize the way businesses who want to save costs and reduce environmental impact.

3. Choose the Ideal Shipping Method

Choosing the best shipping option is essential for both economy and efficiency. Several criteria, each appropriate for a distinct set of demands and circumstances, influence the decision between ground, air, and sea transportation.

Ground transportation is less expensive for items that are domestic and not urgent.

• Offers flexibility in routing and scheduling
• Perfect for heavy or bulky cargo where cost reductions are a top issue.

The best option for quick and far-reaching deliveries is air freight.

• Ensures prompt delivery of perishable or time-sensitive products.
• Offers increased security and less freight handling.

The product kind must be taken into account when choosing the shipping method. Air transport provides the quick handling and caution needed for fragile objects. Shipments by land or sea are more economical for sturdy, non-perishable products.

4. Using Technology

Using technology in the way of packaging products, especially by making it automated, can really boost how well businesses do things. Automated systems can speed up the process of packaging, cut down on the cost of hiring people, and use less material, which means everything runs smoother and costs less.

Adding technology to packaging also fits with being eco-friendly and flexible in the market, making it a smart choice for companies looking to make their packaging more efficient.

5. Incorporate Zone Skipping

Zone skipping is a method in which shipments are directly sent to the shipper’s regional hub, avoiding many shipping zones. This can lead to huge amount of cost savings for businesses that ship large volume of products to different regions. With the help of this, businesses can decrease their shipping cost per-packaging.

Final Thoughts

Packaging has a big financial influence when producing and sending tangible products to customers. Calculating the shipping cost and keeping it as low as possible is essential for running a successful business. Your shipping costs will be impacted by the kind of packaging you choose in addition to the cost of the packing supplies and shipping.