Tag Archives: small business logistics

3 Key Small Business Shipping Trends for 2020

Shipping is the last, and probably one of the most important steps, in customer satisfaction. Today, a customers experience defines how they perceive brands, products or services. With the viral expansion of e-commerce, more small businesses now have access to the market. However, more possibilities means more competition. To succeed in this dynamic and fast-paced market, you don’t just have to meet expectations, but exceed them. Good products and quality service will always remain key components of a successful business, but a polished shipping strategy can go a long way. Every day, the world is changing, and it is crucial to notice and adapt to new trends. Here are a few key small business shipping trends that can act as a direction for many small businesses in 2020 and beyond.

What small business shipping trends will look like in 2020

Multichannel

Developing a successful omnichannel strategy will be essential for small businesses and retailers who want to outrun their competitors. 2020 will be all about expanding horizons, especially in terms of distribution. Considering your audience, research new channels where you can increase brand awareness, grow sales, and generate revenue from different sources. To properly sell across all the channels, you must have robust inventory management to fulfill the incoming orders on all platforms in the most efficient way.

Essentially, different channels require different approaches. You can’t use a one-fits-all strategy if you want to get the most out of each opportunity. Conduct advanced analysis of your customers and their behaviors to understand which channels have the most potential for investing your time and money. Ultimately, the more channels you will successfully adapt, the more growth and profitability it will bring to your business.

Going global

Another way to expand your services is to start shipping internationally. If you are already established on a local market, starting to sell to a global market is a natural step towards future growth. Selling products internationally is much easier now than in many years before. With countless technology and software tools, a growing and blooming e-commerce sector, and more affordable shipping platforms appearing, small businesses can access customers across the world. Geopolitical processes in the world will also encourage retailers to search for new markets, and expand their shipping frontiers.

Killer customer service

Customer experience is a key factor and driving force in small business shipping practices. Since it is the closing stage of the customer journey, and the competition is fierce, businesses have to grasp and apply the best possible practices within their opportunity scope and budget. Obviously, not all small companies can afford the luxury of free and same-day delivery and compete with retail giants like Amazon. However, there are ways to extend your shipping experience potential. Firstly, focus on operational processes and eliminating delays, errors, and cancellations. Once you meet the expectations, you can move past the basic line and exceed them.

small business shipping

A Closer Look At Small Business Shipping and Logistics

Shipping has become a crucial part of a business’s success, especially small businesses. With the competition among retailers constantly increasing, the demand for fast and affordable small business shipping grows as well. We know how shipping looks from a customer’s perspective, but how does it really work from the inside? What challenges do companies face to provide their customers with a smooth shipping experience?

The state of the market and the growing influence of customer’s needs put small businesses under pressure of managing excellent service, fast and free delivery, and high-end product quality. In some cases, to supply free, next-day shipping, companies have to make product quality a second priority. When you over-concentrate on the product itself, your customer service may suffer.

It is possible for your business to find an optimal shipping solution. Companies are seeking reliable, affordable solutions to continue to make their customers happy every day.

What challenges do companies face when arranging small business shipping and logistics?small business shipping

Essentially, setting up an efficient transportation strategy can be challenging for some companies. Here are some of the major obstacles businesses have to deal with:

Transportation costs

Price is the initial concern when picking a small business shipping option. Considering an extremely diverse nature of products, volumes and shipping frequency, it’s hard to find a one-stop-shop for all your transportation needs. Especially, when most of the options are quite costly. With the pressure of fast and free shipping, companies try to save wherever possible to afford such shipping characteristics. With that being said, the main challenge of small business transportation is finding an affordable, reliable and efficient shipping partner.

Organizing and operations

Another major undertaking of small business transportation is the lack of planning and organization. It is hard to manage everything from point A to B, and strategic planning is often an outsider in this game. It is common for small businesses to lack automation and professional software, however, tools like a transportation management system or even online shipping service can be extremely beneficial for process automation. Apart from that, you gain complete visibility into shipment spends, which lets you reduce extra costs.

In-house logistics department or outsourcing?

Many companies today decide to outsource their logistics and supply chain management to third-party providers. Despite some businesses considering it a risky decision, outsourcing can actually make your transportation much less painful. A 3PL can supply you with technology so that you don’t have to invest in your own software. Additionally, they can be your one point of contact and ‘shop’ through various carriers and negotiate exclusive freight rates for you. All of the processes are reported to you. On average, shippers admit from 10 to 30 percent of savings after using 3PL services.

Which option is better for small business shipping and logistics?

Ultimately, fast and cheap shipping is not as easy to provide as it seems. Small businesses face many challenges to supply their customers with good service and affordable shipping, however, there are many ways to save on transportation costs and increase shipping efficiency. One of the solutions for simplifying small business transportation is outsourcing, which can be very useful for companies.

Learn more about our small business transportation services!