Why Reducing Shipping Costs is Important
Shipping costs can affect your profit margins if not properly managed. High shipping fees might also discourage buyers from completing purchases. By optimizing your shipping strategy, you can:
Offer competitive prices to attract more buyers Increase profit margins by cutting unnecessary costs Improve customer satisfaction with affordable delivery
Top Strategies to Reduce Shipping Costs
Use the Right Packaging Size
Many couriers charge based on weight & package dimensions. Using oversized boxes increases shipping fees.
Solution:
Use lightweight, properly fitted boxes. Avoid excess bubble wrap or padding unless necessary. For non-fragile items, use padded envelopes instead of boxes.
Example:
A 0.5 kg product in a compact box may cost ₦1,500 to ship, but placing it in an oversized box can increase the price to ₦2,500.
Offer Local Pickup & Alternative Delivery Options
If most of your buyers are from the same city or region:
Offer local pickup options. Partner with a dispatch rider for cheaper city-wide delivery. Use Owode’s Courier Shipping Channel to access bulk discounts.
Consolidate Multiple Orders
If a buyer places multiple orders, ship them together instead of separately.
Example:
Instead of shipping 3 orders separately for ₦2,000 each (₦6,000 total), you can combine them into one package for ₦2,500.
Leverage Shipping Discounts & Seller Promotions
Owode may offer seasonal shipping discounts for sellers.
Check for free shipping campaigns to boost your store’s visibility. Offer “Free Shipping for Orders Above ₦XX,XXX” to increase your average order value.
Final Thoughts
By using smarter packaging, comparing couriers, and leveraging bulk shipping, you can significantly lower shipping costs as an Owode seller.
You’re now ready to start selling on Owode Marketplace!
