Welcome to Parcelconsulting
Welcome to Parcelconsulting
Not minimizing the empty space in your outgoing parcel shipments is likely costing your business more than you know. We understand that growing an ecommerce business requires managing a lot of moving parts. You have other priorities besides widening your assortment of packaging materials to better fit the products you’re shipping. However, just as your business evolves over time, your fulfillment strategy needs to evolve as well.
Although you may be using the same carriers or service levels you started with years ago, the way carriers price these services has likely changed. Today’s pricing is based on how many shipments a vehicle can hold; the larger your shipment is in size, the more it is costing you. Fortunately, downsizing your shipments—and, therefore, your costs—is as simple as right-sizing your packages.
UPS defines right-sizing as “reducing packaging size by using a box that minimizes empty space while still protecting the contents adequately [to] reduce the amount of fill material and paper waste, while maximizing…transportation efficiency.” In fewer words, it’s using packaging that’s close to the same size as the shipment.
In practice, Amazon is an example of a company that does not always practice right-sizing. The ecommerce behemoth ships millions of products of all shapes and sizes, which presents a challenge because there are only so many options when it comes to packaging. However, how many times have you placed an order from Amazon and received your item(s) in a massive box with multiple air pillows? It’s a common experience that is entirely avoidable, and it is damaging to Amazon’s reputation as a business.
This is what we mean when we say right-sizing benefits more than just your bottom line. It also improves your reputation because you show a commitment to the environment and to the customer. Overall, right-sizing provides four main benefits: you save on shipping costs, ship more sustainably, increase customer satisfaction and protect your shipments. Let’s dive in.
Many carriers use DIM (dimensional) weight to determine your rates, meaning that a larger package will be more expensive to ship. DIM weight is calculated by multiplying the length by the width by the height and then dividing that total by a predetermined divisor set by the carrier. Therefore, right-sizing will lower your DIM weight and save you the higher costs of shipping large packages.
Parcel Consulting will also connect you to local and regional carriers that can offer you further savings. We provide a free analysis of your current shipments and detail exactly how much you will save with the best multi-carrier strategy. Once you right-size your packages and draft your upgraded shipping strategy (with those up-to-date packaging dimension needs,) a whole new world opens up. The added complexities may seem daunting, but they are well worth it when you compound all the savings.
As mentioned above, companies like Amazon that consistently use oversized packaging are being wasteful and leave a greater carbon footprint. The obvious reason is because large boxes use more materials than small ones, but most won’t think about the behind-the-scenes waste: the water, energy and resources used to create the large box and the fuel consumed to ship it to the company that will then ship it again once it’s packed.
Oversized packaging also requires the use of air pillows and other plastics to protect the inside contents. Air pillows in particular have to be deflated and taken to a recycling center that accepts plastic bags, which is better than what can be said for non-recyclable materials. However, the most sustainable approach is to reduce, or not use these plastics at all. Finally, fewer large packages fit onto a shipping vehicle than right-sized packages, which also impacts your total carbon footprint.
The modern consumer prefers to shop with brands that have similar values to them, and they are increasingly listing sustainability near the top of the priority list. This means customers who perceive your oversized packages as wasteful will be turned off and less likely to make repeat purchases. Right-sizing shows them that you care about the environment and want to minimize your impact on it. It also shows an understanding of the customer’s wants and needs—they don’t have the time to make special trips to recycle your packaging.
Anyone in shipping and logistics knows that the journey along the average supply chain isn’t exactly gentle. Companies take many precautions to protect their shipments with air pillows, packing peanuts and other package inclusions that cushion the items inside. This may be effective, but right-sizing works just as well. Large packages have more room for items inside to move around, which increases the chance of becoming damaged during shipping. Your total spend is affected yet again: Shipping new items to your customers can quickly get expensive, Instead, ensure that items arrive undamaged with right-sizing and realize the savings of shipping fewer packages.
Parcel Consulting was started with a simple mission in mind: Connect end shippers with the best carrier and rate strategy for their needs and the best software options to streamline, automate and improve the accuracy and efficiency of the daily pick, pack, and label-printing process for their business.
We work with many different carriers and software partners, so that we can recommend the best solution based on more than a decade of actual experience with all of these providers.
Most people, even those experienced in shipping and logistics, are surprised to find out how many new and innovative carriers and software options exist now.
We have been tracking, comparing and evaluating them objectively for more than 10 years and we freely share our personal review of your shipping needs by simply scheduling a phone call or video conference with one of our experienced shipping consultants.
We’ve been preparing for this for more than a decade and we’re here to help! Give us a ring to discuss your options at: 833-PARCEL-1 (833-727-2351).
