The Ecommerce landscape is becoming competitive and volatile. In such a scenario, achieving bottomline is a real challenge. While several factors can affect your profits, unoptimized shipping cost is a major financial blind spot. 

Keeping shipping costs low without putting the product safety at stake is crucial. Using substandard packaging shipping material results in damaged goods and unhappy customers. On the other hand, over packaging will not only add on to operational expenses, but also affect the environment.

It’s always a catch-22 situation for Ecommerce owners – whether small-scale D2C or a tier-1 online store. 

We understand your problem and so here’s a solution. Keep reading as we explore how smart packaging strategies can help you ship without overspending.

Table of Content: 

1. How to Ship Smarter?  – The Correlation Between Packaging Material and Shipping Costs.
   1. Dimensional Weight Vs Actual Weight 
   2. Oversized Packages = More Dead Space and Higher Transport Rates
   3. Poor Quality Packaging = Damaged Products, Damaged Reputation 

2. What is Smart Packaging and its Significance in the Modern Ecommerce Industry.  
3. 4 Smart Packaging Strategies to Keep Shipping Costs in Check
   1. Pick Right-Size Packaging Shipping Materials
   2. Choose Lightweight and High-Strength Packaging Materials
   3. Create Custom Packaging 
   4. Use Poly Bags
4. Takeway 

How to Ship Smarter?  – The Correlation Between Packaging Material and Shipping Costs. 

Every package comes with a price tag. However, not many know that choosing right packaging can (positively) impact the shipping expenses. 

Want to know, how? Let’s see: 

1. Actual Weight Vs Dimensional Weight

Most shipping carriers use dimensional weight to determine the freight charges. Result? The overall price is calculated based on the greater of two metrics: the actual weight or the DIM (dimensional weight). This means bulkier packages, even if they are lightweight, can cost you a bomb.  

2. Oversized Packages = More Dead Space and Higher Transport Rates

Oversized and underfilled packages means you are shipping air. Such parcels require more raw material and occupy more space in the vehicles. Result? – You have to pay an exorbitant price for shipping the products. 

3. Poor Quality Packaging = Damaged Products, Damaged Reputation 

Packaging is not merely for shipping the products. Its uses are versatile – they ensure product integrity, regulatory compliance, and acts as a powerful storytelling tool. 

However, poorly designed or substandard packaging materials often leads to costly recalls and lost customer loyalty. 

Uncontrolled shipping expenses can eat into your profit margins, but with strategic packaging options, you can cut down these overheads without compromising product integrity and customer satisfaction. 

Read on as we explore what is strategic packaging and how you can keep a check on the rising shipping charges. 

What is Strategic Packaging and its Significance in the Modern Ecommerce Industry?

The E Commerce industry is transforming at an unprecedented speed.  And with this growth, comes challenges.  To stay ahead of competition, most online retailers are adopting strategic packaging – an innovative method where technology is integrated with traditional materials.  This not only improves packaging efficiency, but also reduces shipping expenses. 

Let’s quickly glance through the benefits of strategic packaging in modern day online retailing space: 

• Enhanced brand perception 
• Increased customer satisfaction and loyalty 
• Gives a competitive advantage 
• Better product protection 
• Acts as silent salesperson for your business
• Creates a memorable unboxing experience resulting in good social media reach. 
• You can provide vital information and instruction regarding products on the packaging material. 
• Becomes a major physical touchpoint for brands to interact with their customers. 

Now that you know how vital strategic packaging is, let’s see how you can use this method to ensure lower shipping expenses.

Packaging Strategies to Keep Shipping Costs in Check

Excessive shipping expenses can burn a huge hole in your profits. But, when planned correctly, you can optimize the freight costs and boost your bottom line. 

Let’s delve deeper to make your packaging more seamless and save on unchecked shipping charges.

1. Pick Right-Size Packaging Shipping Materials

Picking the right packaging material creates a beautiful balance between product protection and weight management.  If your package contains empty space, you will end up paying for air – a total waste of money! Instead opt for lighter shipping packaging materials like tamper-proof courier bags not only reduces freight charges, but also make packaging more efficient. 

2. Choose Lightweight and High-Strength Packaging Materials

While it’s not possible to reduce the product weight, you can always lighten the load. 

How? – Let’s see! 

Choose lightweight and high-strength packaging shipping materials. For example, to transport goods like clothes or small fashion accessories like jewelry, you can opt for small poly courier bags. These are not only tamper-proof and durable, but also lightweight. Doing so will not only reduce the transport costs, but also allow you to ship more efficiently. 

3. Create Custom Packaging 

The key to finding a sweet spot is to strike an equilibrium between custom and stock packaging.  Always invest in custom packaging, as it becomes a vital touchpoint that can create a positive customer experience. 

For example, if you are shipping children’s apparel, you can get your courier bags printed in bright colours and bold prints. 

How ARK Packaging Can Help You Cut Down the Shipping Costs

If you are looking for ways to save on the ever-rising shipping costs, ARK Packaging is ready to help you. Whether you are a small-scale online business or a renowned brand,  our experts will help you narrow down the best possible packaging options.