No business wants to pay more for something than is absolutely necessary. This is especially true when it comes to the cost of their shipping. 

Whether you’re a small eCommerce store or a larger business, in order to reduce your overhead expenses and bring in more revenue, it’s vital that you get the best price suited for your specific shipping needs. But does this mean that you need to look for the cheapest quote possible?

In short, no … While the cheapest freight quote may seem like the most attractive, this is not always the case. And in the end, you may end up paying more for these shipments than you’d expect.

In order to get a quote that is priced right and suits your shipping needs you need to first understand what affects and goes into the total cost of your shipments as well as how (and why) different transportation and shipping methods costs vary so vastly.

Modes of Transport:

There are three main modes of transportation for freight shipping... (please see graphic table below)

• Ocean - This is the most affordable (and slowest) method of transport (especially when moving a large number of goods internationally). 
• Air - This transport method is speedy but costly and comes with limitations (in terms of cargo weight and dimensions)
• Land - Trucking / Railway - Where possible, this method is much more cost-effective but obviously slow over long distances. Land freight also comes with space limitations.

When looking for a quote for your shipments, you may need to consider one that encompasses a combination of the above methods in order to cater for your customers and order types. 

It’s important to choose a reliable shipping company that is able to work with you in planning the best routes and transport modes for your shipments. One that offers shipping quotes with solutions that are customizable to your needs. 

Transit Time:

Transit times and shipping costs go hand-in-hand. 

Put simply... The longer you’re willing to wait for a parcel to arrive at its destination - The less you will need to pay. 

That being said, the quicker you want your package to be delivered - The more you are looking at paying.

If you want your packages to arrive quickly or within reasonable time frames then a cheaper quote will most likely not be best.

Things to remember regarding transport times for your shipments:

• For some quotes, the transit times can vary by two weeks or more, and whilst air freight is measured in days, sea-freight is weeks.
• Transit times are measured in workdays and not consecutive days. 

Shipment Weight:

The weight and dimensions of your shipments are crucial factors that will determine the types of quotes you will receive. 

While some carriers charge based on a standardized system, most have switched to a dimensional-weight-based system. This dimensional system does not factor in weight alone but also how much space the shipment takes up.

And so, it could be that your cheaper freight quotes come from carriers who will raise the price once they know that the dimensional weight is greater than the actual weight. And in the end, you will be paying more than you originally thought.

Special Requirements:

Take into consideration any special requirement your shipments may need. Some shipments require refrigerated trucks or ones with air-cushion suspensions. As not all carriers will have this equipment available, quotes for these shipments will generally be a lot more.

If you are shipping something greater than 120cm, some carriers (mostly airfreight will apply a surcharge for this. 

Distance from Pickup and/or Delivery Locations:

Sometimes the cheapest freight quote comes from a carrier whose nearest terminal is far away from the pickup or delivery location. In these cases, they may subcontract that part of the shipment to a regional carrier. And so, these parcels will be dealt with by another company altogether.

Choosing a carrier that charges a little more but handles all but the smallest portion possible of your shipments will keep your mind at ease knowing that your parcels are handled by less hands and susceptible to less damages, or potential loss, throughout transit.

To Conclude:

While cheaper shipping quotes offering what we call ‘standard shipping’ may seem attractive, they have much longer travel times and go through many hands and stop-overs along the way. If your parcels are not time-sensitive, then yes, a cheaper quote may be a good option. 

For most businesses though, their parcels need to be sent in relatively short time-frames, and without going through too many stops or switches along the way. These quotes are far more comprehensive and so, more costly.

When looking for quotes for your shipments, instead of trying to find the cheapest quote, consult with your logistics provider about ways you can manage and reduce your shipping costs, maximize efficiency, and take advantage of any discounts or rebates they may offer.

Contact us today at InXpress, our logistics experts are always here to help with any questions you may have and to assist you in determining the best, most cost-effective way to ship your packages. Compare freight rates with an instant quote today.