Question for small businesses that ship stuff

[matt819]

I think I've asked this before but am too lazy to check.

I ship stuff, mostly small, but larger than first class mail weight.

Shipping costs are added automatically by my website, though I can mark it up and add handling fees, which are then incorporated into the price the customer pays.

I know there's not a lot of wiggle room on shipping cost markup, but I would at least like to make a little on shipping, if only to make the cost of packaging (free packaging from USPS or UPS are not suitable for the items I sell). What do you do on shipping markup?

Not a lot of activity in this group, but I thought I'd ask here as opposed to the Lounge.

Thanks for the input.

[Sherman A1]

1. I did this in the past, very long ago when I owned a game store

My prices were pretty much fixed by the manufacturers so I had no wiggle room there. In my case mail order in those days was simply extra sales for my brick and mortar store (before online shopping became a thing) so I often ate the some of the postage costs as the sale was gravy to me.

I would suggest that if you can I would adjust your product prices upward to get to the margins you are wanting rather than try to fiddle with the shipping and handling end.

That's my 2 cents for what it might be worth.

[onlyadream]

2. I do the same thing

I just add a bit more to the shipping to cover other shipping costs, such as cost of labels and printer ink.

[WA-03 Democrat]

3. Depends on the shipping $ amount.

I sell small electronics online and through Amazon.

Free Shipping is the crack cocaine of getting the cart into check out. I have a minimum $$ order amount and it’s “free” if under that I tack 10% to the shipping total cost (postage+box). This drives my average order amount up and covers the time for low dollar orders.

Good luck

[matt819]

4. Funny you mention that

I had free shipping with a minimum purchase and sales went down. With shipping added, sales are up.

[bucolic_frolic]

5. There's no magic formula

They complain if you do, they complain if you don't. I combined 2 first class packages once, into Priority Mail. They cost almost the same. I was dinged for price gouging.

Best to jack up the price of everything. Soon the hackers will get you. I've been hit with 4 chargebacks this week. These are 75 days old. I doubt any of the financial institutions or money conduits care one iota about it. They don't care. Fraud? Did we get paid? Let the merchant take the loss, not our problem.

I swear they are hackers and crooks on the inside. Because I once got spam from inside, and no one could tell me how that happened.