Understanding Shipping Costs

Inflation has hit everyone and every business in some way, shape or form and while the effects are beginning to recede a bit, everyone’s always looking for a deal. The same holds true when they’re using a courier service.

Today, we’re going to talk about what goes into pricing at a courier service so not only do you have a better idea as to how things work – but can also better help you to anticipate costs down the road and be more prepared as a business. Let’s jump right in!

The basics

Shipping costs refers to both the postage of the item at hand and the transportation it’ll need in order to get there. This price is calculated through four basic measurements: the size of the package in area, the weight of the package and then the distance between the place it’s being shipped from and its designation.

It’s important to remember, everyone’s rates are a little different, so be sure you discuss prices upfront so there’s no wild surprises when you drop a package off for delivery.

Labor costs

Not only is there transportation and the goods themselves to consider, you also need to factor in that there’s gotta be someone to drive it, carry it, drop it off, get a signature for it, etc. That’s call labor costs. There can be additional fees in here as well depending on what’s requested and/or needed for the delivery – including bundling, gift wrapping, or custom inserts to make the package more stable.

The extras

Once there’s a cost- there’s also the TYPE of delivery you’ll be making and whether or not you want to purchase protection. Same day deliveries and other quick-drop options generally will cost you more, so be aware of that. Expanding the timeline can help though – as the added time can take a little bit off the top in terms of the cost.

Another extra some people opt to use includes shipping insurance. Especially when it comes to valuables – this will basically make sure that your package will be replaced or compensated for if its contents get broken, damaged, etc. This isn’t really necessary for most deliveries – but it’s a must in certain cases. Check with your courier for rates and to learn what’s covered and what isn’t.

Hopefully this helped give you a little bit more understanding of how courier costs are put together. If you’re looking to use a courier service in the Tampa area, don’t hesitate to reach out. Until then – good luck!

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