Blog: Why we charge shipping costs (2/2) | Weindepot
The issue of shipping costs is sensitive and complicated in equal measure. Sensitive because consumers have become so accustomed to free shipping in recent years that you don't want to move away from it. And complicated because there is far more to flat rate shipping than meets the eye.
Shipping costs
Shipping costs are an obvious factor that adds to the cost of package shipping. Companies must calculate the cost of transporting the package from one location to another. The farther the package has to travel, the higher the shipping costs will be. There are also additional costs if the package is particularly heavy or large.
Cardboard box costs
Another factor that increases the cost of shipping a package is the cost of the cardboard box. Companies need to ensure that the package is packed in a sturdy and secure cardboard box to avoid damage during shipping. These cardboard boxes must be purchased and stored, which adds to the cost.
Cost of sustainable shipping
More and more customers today are paying attention to sustainability and environmental friendliness in their purchases. Companies must therefore also use sustainable and environmentally friendly methods when it comes to shipping. This includes, for example, the use of recycled packaging and environmentally friendly means of transportation such as electric vehicles. However, these measures can incur additional costs.
Cost of lighter packages
Many of our customers appreciate shipping in smaller, lighter packages. This results in more packages being shipped per shipment, which results in additional costs (some customers are still unaware that we are charged on a per package basis).
Handling costs
In addition to the actual shipping costs, there are also handling costs. Companies have to process the package, register it in the system and make sure it is addressed correctly. This usually requires the use of special software solutions and the training of employees, which incurs additional costs.
Personnel costs for picking and delivery
Another important factor that increases the cost of parcel shipping is labor costs. Companies need employees to pick orders and prepare packages for shipping. They also need employees to deliver the packages. These employees need to be paid appropriately, which adds to the cost.
Returns
Finally, package returns are also an important factor that increases the cost of package shipping. If customers need to return the package, they will incur additional shipping costs. Companies also need to make sure they can process the returned items and add them back to inventory, which adds additional handling costs.
Additional costs
Also included in shipping costs are some of the ancillary costs such as duties and fees. These include, for example, the disposal costs for cardboard boxes, which we are obligated to pay.
If you add up all the above costs, you will quickly realize that our flat rate shipping covers only a fraction of the real costs, the rest we take over. We only share the costs with our customers, that's why we often use the phrase 'shipping costs' in our online store and on the invoice.
In summary, shipping packages is costly due to the multitude of factors that must be taken into account. We as a company need to consider the cost of shipping, packaging, handling, and labor costs while ensuring that they are using sustainable and environmentally friendly methods. - Tobias [TS05/23]
Shipping costs
Shipping costs are an obvious factor that adds to the cost of package shipping. Companies must calculate the cost of transporting the package from one location to another. The farther the package has to travel, the higher the shipping costs will be. There are also additional costs if the package is particularly heavy or large.
Cardboard box costs
Another factor that increases the cost of shipping a package is the cost of the cardboard box. Companies need to ensure that the package is packed in a sturdy and secure cardboard box to avoid damage during shipping. These cardboard boxes must be purchased and stored, which adds to the cost.
Cost of sustainable shipping
More and more customers today are paying attention to sustainability and environmental friendliness in their purchases. Companies must therefore also use sustainable and environmentally friendly methods when it comes to shipping. This includes, for example, the use of recycled packaging and environmentally friendly means of transportation such as electric vehicles. However, these measures can incur additional costs.
Cost of lighter packages
Many of our customers appreciate shipping in smaller, lighter packages. This results in more packages being shipped per shipment, which results in additional costs (some customers are still unaware that we are charged on a per package basis).
Handling costs
In addition to the actual shipping costs, there are also handling costs. Companies have to process the package, register it in the system and make sure it is addressed correctly. This usually requires the use of special software solutions and the training of employees, which incurs additional costs.
Personnel costs for picking and delivery
Another important factor that increases the cost of parcel shipping is labor costs. Companies need employees to pick orders and prepare packages for shipping. They also need employees to deliver the packages. These employees need to be paid appropriately, which adds to the cost.
Returns
Finally, package returns are also an important factor that increases the cost of package shipping. If customers need to return the package, they will incur additional shipping costs. Companies also need to make sure they can process the returned items and add them back to inventory, which adds additional handling costs.
Additional costs
Also included in shipping costs are some of the ancillary costs such as duties and fees. These include, for example, the disposal costs for cardboard boxes, which we are obligated to pay.
If you add up all the above costs, you will quickly realize that our flat rate shipping covers only a fraction of the real costs, the rest we take over. We only share the costs with our customers, that's why we often use the phrase 'shipping costs' in our online store and on the invoice.
In summary, shipping packages is costly due to the multitude of factors that must be taken into account. We as a company need to consider the cost of shipping, packaging, handling, and labor costs while ensuring that they are using sustainable and environmentally friendly methods. - Tobias [TS05/23]
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