The Impact of Shipping Price for Print Resellers

For print resellers, shipping costs represent a significant portion of operational expenses. While the percentage can vary based on factors such as volume, distance, and shipping methods, industry insights suggest that shipping can consume a notable part of revenue. On average, shipping costs can account for anywhere between 10-20% of a print reseller’s total revenue. This substantial figure can greatly reduce profit margins, especially in a sector where products are often commoditized and competition is fierce.

Customer Perception and Shipping Costs

The psychology of shipping costs in consumer behavior is profound. Studies have consistently shown that customers prefer options where these costs are minimized or absorbed by the seller.

Customers are willing to pay a higher price for a product if it comes with the perk of free or reduced shipping.

In fact, free shipping has been shown to be a more attractive incentive than a product discount.

This willingness to pay more upfront for reduced shipping costs is a critical insight for print resellers. By strategically adjusting product pricing to account for shipping, businesses can increase their appeal in a crowded market. This strategy, however, needs to be balanced carefully to ensure that the overall cost remains competitive.

There are several strategies that Navitor employs to reduce shipping costs, including:

• Negotiating with shipping providers – building strong relationships with carriers has led to better rates.
• Optimizing packaging – using the right size and materials for packaging reduces weight and, consequently, shipping costs.
• Consolidating shipments – carriers often lower rates for larger shipments, plus fewer shipments means lower carbon emissions.
• Streamlined logistics and administration – simplifying processes and streamlining communications has reduced administrative overhead.

The Takeaway

Managing shipping costs is a complex task, and it presents an opportunity for you to differentiate yourself in a competitive market.

Remember, in the world of e-commerce and wholesale print selling, the way you handle shipping can be as important as the products you’re selling.

At Navitor, we’ve worked hard to leverage strong relationships with shipping carriers – so watch for reduced shipping charges in your cart.