How to Keep E-commerce Shipping Costs Down

How to Keep E-commerce Shipping Costs Down

If you are one of the UK’s many e-commerce businesses, are you aware that it isn’t just the price of a first class stamp that is increasing in October? Royal Mail is also bumping up the charges of sending small and medium parcels by 8-17%, depending on weight. Unfortunately, that could have quite an impact on your profits, so we offer advice on keeping ecommerce shipping costs down.

Limit E-commerce Packaging Size

The size and shape of your shipping boxes determine whether your deliveries fall into the small or medium parcel category. From 7 October, the difference between sending a 2 kg box of 60cm length and one of 61cm length is £1.60 for Standard delivery and £1.74 for Tracked delivery. For this reason, it is advisable to source best-fit boxes for your products. Then you can avoid paying over the odds to ship empty space and void fill.

To keep your e-commerce shipping boxes within the small parcel category, limit the packaging size to a total Length x Height x Width size of 90cm, with no side exceeding 60cm.

When you are designing custom boxes for shipping goods, is it possible to use a slimline box? If items can be laid flat, rather than stacked, they might fit in letterbox-friendly packaging. And, if this doesn’t exceed 2.5cm in thickness, and 35.3 x 25cm, it’s classified as a large letter. A Standard delivery large letter is 79p less than a small parcel. For Tracked, the difference is 75p.

Be aware that the dimensions supplied to a packaging company are used to measure the inside of boxes. Therefore, the outside dimensions of the assembled box will be wider. So, let us know if you want the boxes to stay within the category size limits and we’ll advise on packaging solutions.

Limit E-commerce Packaging Weight

The volume of packaging used can also impact e-commerce shipping costs. You may think that extra layers of packaging and void fill don’t weigh much, but they could tip your delivery into a higher category. The maximum weight for a large letter is 750g. Go over this and you are paying the small parcel price.

The maximum weight for a small parcel is 2kg. If your deliveries exceed this, they fall into the ‘up to 10kg’ Medium Parcel category, even if it’s a small parcel size. So a nudge over 2kg and you pay an extra £3.30 for Standard delivery or £3.44 for Tracked. When you multiply that by the average number of orders you send out each month, it’s a significant cost.

We proactively advise customers on ways to reduce packaging volume, without compromising protection. It’s part of our commitment to sustainability, which can prevent environmental and financial costs.

If you would like to discuss e-commerce packaging options, call 01296 436888 to talk with our friendly team or email enquiries@abcbox.co.uk.

Compare Courier Prices for E-commerce Shipping

Royal Mail Check & Drop® and Tracked 24 are used by many e-commerce businesses. They provide tracking, label printing and a returns service that makes logistics more convenient. They also offer flexible delivery options if you send 20+ parcels a week. However, there are other options and it makes sense to compare prices and services.

If the weight or size of your boxes falls into a higher price category, you might find a more cost-effective option with another courier. These include DPD, Evri, Parcel Force and APC overnight. If you ship to international customers, take a look at the services offered by DHL and FedEx. It’s always worth asking other local entrepreneurs who they trust with their deliveries.

The full list of Royal Mail prices for October 2024 is shared here.