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Aug 13, 2024
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What's the Cheapest Way To Ship a Package?

Managing Your Shipping Budget: How to Calculate the Costs of Shipping Your Merch
Ship a package

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For small businesses and content creators selling products online, shipping can rapidly become a major expense. So finding cost effective shipping solutions is essential to keeping as much revenue as possible in your own pockets! 

There are a variety of shipping methods available, from flat rate boxes to US Postal Service Priority Mail, local courier services to overnight shipping, each with different costs, speeds, and levels of convenience. Let's explore the different types of shipments and cheapest shipping methods, so you can keep your merch moving and your customers happy without breaking the bank.

Types of Shipping Methods

Free Shipping

Customers do love free shipping - but as a small business owner, absorbing the cost of free shipping can be a lot, to say the least. To mitigate this issue, try offering free shipping for orders over a certain amount, and "bake" the cost of shipping into the overall product price. This will make it easier to plan and budget for shipping costs. Fourthwall allows you to offer free shipping

Pick-Up

Many shipping companies offer a pick-up service, allowing the package to be picked up from your business location for a fee. This option can be more cost effective than driving to the post office, especially if you have multiple packages or limited time; it probably won't work well if you're just shipping out a few smaller packages, as the fee will likely outweigh the savings. (USPS may pick up some packages at your location for free.)

Priority Mail

For packages within the United States, USPS Priority Mail or Priority Mail Express flat rate boxes can be the cheapest shipping options, and can be utilized for packages weighing up to a whopping 70 pounds. Priority Mail rates are based on the package's size and weight, rather than its distance; and bonus - Priority Mail also comes with free tracking.

Local Shipping

For businesses operating within a small geographical area, local shipping can be a cheaper shipping option. This method can involve a flat rate, regardless of distance, or be calculated by distance within a certain radius. By using a local courier or delivery service, packages can be delivered faster and with greater accuracy, which can increase customer satisfaction.

International Shipping

For packages traveling across borders, international shipping is the necessary way to go. However, international shipping rates can be quite expensive, especially if the package is heavy or requires expediting. A more affordable option for small businesses selling internationally is to use a consolidated shipping service, which combines multiple packages from various shippers into one container, resulting in significant cost savings. Otherwise, you may want to consider limiting the countries that you will ship your products to.

Same-Day Delivery

For time-sensitive packages, same day delivery can be a lifesaver. However, the cost to ship will also be substantially more expensive than standard shipping options. Same day delivery can be more economical if you select a shipping carrier that offers same day shipping as an option rather than a third-party courier.

Media Mail

For educational/arts materials, USPS Media Mail is a very cost-effective option. This special slower delivery option can save you money since it only applies to media items - books, DVDs, CDs, printed music, and other sound recordings (USPS Media Mail doesn't apply to magazines, comics, or blank cassettes.) Just make sure you note the longer delivery times for your customers, and offer an expedited option in case they want their package faster than USPS Media Mail can offer.

First Class Package Service

For lightweight small boxes, First Class package service can be another affordable option. The rate is based on the package's weight and distance and is significantly less expensive than other shipping options; of course, those prices will go up if the package is quite large or heavy.

Expedited Shipping

For packages requiring faster shipping, expedited shipping is an option; keep in mind that this method at all outlets will be significantly more expensive than other options, and is best used for very time-sensitive or emergency shipments.

The Cheapest Ways To Ship Within the U.S. 

The cost of shipping a package is generally based on its weight and dimensions, with heavier packages costing more to ship. Here are three examples of widely available shipping companies and their rates for shipping small packages (prices as of June 2024), along with estimated delivery times:

UPS

UPS offers several shipping options for small packages, including UPS Ground, UPS 2nd Day Air, and UPS Next Day Air. For a small box or package weighing two pounds or less, UPS Ground shipping, the cheapest shipping option in this category, would cost around $14-15 and take approximately two to four business days to arrive. UPS 2nd Day Air would take two days and would cost around $30; the fastest option, UPS Next Day Air Saver, arrives in one day and costs about $48.

USPS

USPS offers Standard Post, Priority Mail, and USPS Priority Mail Express for shipping small packages. USPS Priority Mail is generally the most efficient of the options for smaller shipments. A USPS Priority Mail small flat rate box is the cheapest shipping option and would cost about $11; the medium flat rate box would cost about $19; and the large (12" x 12") around $25. All would take two to three days to arrive.

FedEx

FedEx offers FedEx Ground, Express Saver, and Standard Overnight for shipping small packages. FedEx Ground shipping has the least expensive shipping rates of these options; the cost to ship a package under 2 pounds runs around $16, and will take approximately three to four business days to arrive. If you need it to get there overnight, FedEx's Priority Overnight option will run you around $140 for the same size package.

The Cheapest Ways To Ship Internationally

Shipping packages internationally can be a complex process that involves customs regulations, taxes, and duties; give yourself some extra time at the post office or shipping center, because you will be filling out customs forms! Here are three international shipping carriers, their international shipping rates, and estimated delivery times:

UPS

UPS offers a variety of international shipping services, including UPS Worldwide Expedited and UPS Worldwide Saver. For a package weighing two pounds or less, UPS Worldwide Saver deliveries range from $85-175 (based on the country/region you're shipping to) and take approximately one to three business days to arrive.

USPS

USPS has five main international shipping services to choose from, including Global Express Guaranteed and Priority Mail International. For a package weighing two pounds or less, USPS Priority Mail International is the cheapest shipping option - it would cost around $31 and take approximately six to ten business days to arrive. You can get it there a little faster (three to five business days) with Priority Mail Express International for around $60; or splurge on Global Express Guaranteed, which starts at $75 for delivery in one to three business days.

FedEx

FedEx offers several international shipping options (none of which are particularly cheap), including FedEx International Economy and FedEx International Priority. For a package weighing two pounds or less, FedEx International Economy would cost around $173 and take five to six business days to arrive. Gotta get it there fast? FedEx International First will get it there in two days, but it'll run you over $235.

4 Tips To Keep Your Shipping Costs Down

1. Optimize the Packaging

The size and weight of your package will significantly affect shipping costs. Larger and heavier packages cost more to ship, so it is essential to optimize your packaging. Use the smallest possible box or envelope that can safely hold your product (you can use small corner protectors if you're concerned about the box's integrity.) Remove any unnecessary packaging material that adds weight to the package, and use appropriate packaging materials, like bubble wrap, cellulose cushioning, or shredded paper. These can help reduce shipping damage, which can save you money (and hassle!) on returns or replacements.

2. Use Flat Rate Shipping

Flat rate box shipping is often the cheapest shipping option for small businesses and content creators who frequently ship packages of a similar weight. USPS, in particular, offers efficient flat rate boxes that allow you to pay a fixed cost based on the size of the package, regardless of its weight. This is beneficial for heavy or awkward items that may otherwise cost more to ship.

3. Offer Local Delivery

The delivery distance always affects shipping costs, so offering local delivery if it makes sense to do so can be a practical and affordable way to reach customers in your area. You can choose to drop off packages yourself, or use courier services like TaskRabbit, Uber Connect, or even local bike messengers. Offering free or low cost local delivery can also help boost sales by attracting customers who prefer to purchase from local businesses.

4. Stay Informed on Shipping Rates

Don't try to guesstimate your shipping rates; they can vary wildly depending on a multitude of factors. Most shipping sites have shipping calculators that you can use online before you even go to the post office or shipping center, so you know how much to budget. If you ship packages regularly, consider negotiating shipping rates with your chosen provider; as a frequent shipper, you have more leverage to negotiate better rates than occasional shippers. Contact your provider to discuss the possibility of reduced shipping rates based on regular shipping volume. 

Sell and Ship Your Merch With Fourthwall!

Fourthwall is an online ecommerce platform that enables content creators to design, create, and sell a wide range of custom merchandise, while leaving the entire fulfillment process, from creating the merch to packaging and shipping it, to the experts at Fourthwall.

Fourthwall works with fulfillment partners in the US, UK, EU, and Australia to allow content creators to offer low-cost shipping rates to your fans and customers. Most items are produced, packed, and shipped - the entire process! - in seven to ten days. Get started designing and shipping on Fourthwall and watch your merch sales zip around the world!

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