9/11/2023 0 Comments Benefits of flat rate it![]() ![]() The faster you work, the more profit you can make. It requires you as the service provider to generate a standard price for all the services you offer. At ITS Logistics, we can help you determine the best shipping option for your specific products that will help you save money and keep your customers happy.A flat rate is one of the simplest and potentially most profitable pricing structures. It’s important to consider your product size and weight, shipping timeframe and carrier package constraints when comparing flat-rate shipping options to their counterparts and to each other. This means if you are trying to meet a strict delivery timeline, this may not be the shipping method for you.ĭetermining when to use flat-rate shipping to ensure you are utilizing the most cost-effective shipping is complicated-but vital to your success. Only FedEx and USPS offer guaranteed overnight flat-rate services, and only FedEx ships boxes with these services. An additional disadvantage is that some options may not be available based on your delivery time frame. UPS does allow you to use your own packaging but still has size constraints, meaning if your package doesn’t fit the necessary dimensions, it won’t qualify. You are required to use the provided packaging for USPS and FedEx in order to use their flat-rate services. Another drawback of this shipping method is packaging. ![]() It’s important to research every shipping option for your specific product to determine what the most cost-effective solution is. For example, even if you sell an item that very easily fits into a small flat rate box, if it weighs under one pound, it would actually be cheaper to use USPS First-Class Package Service. This is particularly true if you ship mostly light-weight items. If you decide flat-rate shipping is the best option for your business, keep in mind that each carrier has its own options, so it’s important to analyze each one and pick the best one for you.ĭefaulting to flat-rate shipping may be easier, but it’s not always the best way to save on shipping costs. This can be helpful if you have packages that are nonstandard sizes and won’t fit into other carriers’ package sizes. USPS and FedEx both offer packaging that merchants can order for free if they’re using flat-rate shipping while UPS offers the flexibility of using your own packaging. FedEx and UPS apply dimensional weight to all packages, but flat-rate shipping can help you avoid this. Dimensional weight bases the weight on the amount of space a package takes up, instead of physical weight. This shipping method also allows you to avoid any surcharges that are typically imposed by UPS and FedEx like fuel and residential delivery fees, and dimensional weight doesn’t apply either. ![]() Perhaps the biggest benefit of utilizing flat-rate shipping is that it creates predictable costs, allowing you to accurately forecast budget no matter how far the order is shipping or how heavy it is. Become a Contract Carrier or Owner Operator.Get your business ecommerce ready with the right 3PL.A Comprehensive Guide to Seller Fulfilled Prime.Looking for a California Distribution Center? Try Reno, NV.Distribution Benefits of Indianapolis, IN.Distribution Benefits of Dallas-Fort Worth, TX.Intermodal transportation and rail services.Industry-Leading Transportation Technology.Parts Distribution Dedicated Delivery Service. ![]()
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