Order Consolidation-The Smartest Way To Cut Down Shipping Costs

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The era of e-commerce has made shipping and logistics more important than ever. In fact, the speed and quality of these services are as valuable for the customers like the quality and pricing of the products. As an e-commerce business owner, you need to go the extra mile while choosing a delivery solution that matches the expectations of the consumers. The concept of consolidated shipping makes a win-win idea because it can help businesses optimize their fulfillment processes even while they save on shipping costs to a considerable extent. And you cannot forget that it drives a positive fulfillment experience for your customers as well. Before understanding the extensive benefits of consolidated shipping, let us explain what it exactly is.

Order consolidation- What is it and how it works?

Order consolidation, as the name implies, refers to shipping a number of different orders together. The entire shipments headed to the one destination are grouped and shipped as one, which brings extensive savings in costs and time. All the individual parcels go in the same purchase order rather than having to organize different shipping solutions for each of them. Once the parcels reach the destination country, they are handed over to local couriers for last-mile delivery to individual buyers. The process is ideal for e-commerce sellers who frequently ship large volumes of orders to a specific country. There is a range of benefits they can derive by opting for order consolidation rather than sending them individually to buyers at the same destination.

Benefits of consolidated shipping

Consolidated shipping offers humongous benefits to retailers, shipping companies, and end customers alike. Here are the reasons that make it the best option for international trade.

  • Lower shipping costs: Retailers prefer consolidated shipping means because of the cost savings it offers. You can rest assured to get the Cheapest International Shipping rates because the system minimizes the need for packaging materials and boxes, cutting down the actual weight and dimensional weight of your shipments. Further, order consolidation reduces the handling fees per package as well. So you end up saving more than you expect.
  • Excellent buyer experience: The system also facilitates the supply chain efficiencies. The packages reach the customers fast despite the barriers of distance and international borders. A great customer experience translates into returning buyers and a better reputation for your business.
  • Reduced damage risk: When you send a greater number of packages in a single order, the individual items require less handling. Moreover, consignments are packed snugly and there is less room for sliding around while on transit. Obviously, this enhances safety and cuts down the risk of damage.
  • Improved quality control: With order consolidation, it becomes easier to detect problems with your products even before they leave the warehouse. So you have a better quality control system in place if you follow this shipment model.
  • Sustainability: The value of sustainability and eco-friendliness is something that businesses cannot overlook today. Consolidated shipping paves the way for sustainability as it cuts down the use of less packaging materials, which reduces the environmental impact of the business. Additionally, the carbon footprint is minimized as well because there is lesser fuel consumption as compared to what would have been with multiple shipments.

Surely, order consolidation can be a smart move for businesses that sell internationally. If you haven’t tried it yet, you should explore it sooner rather than later.