Guest guest Posted January 3, 2003 Report Share Posted January 3, 2003 In a message dated 1/3/03 8:03:05 PM Central Standard Time, bjmccabe@... writes: > How do those of you with web sites figure shipping fees for your shopping > cart? Is it a percentage or a flat rate? Thanks. > > I just switched to a percentage. After a year of set fees (which on Paypal sucks because the price ranges are so far (10-49.99). I ended up charging too much to the people that ordered a little and undercharged those ordering on the higher range. So, after a year, I sat down and calculated, I have gone to 15% (may raise to 17%) if I stick with the USPS, but am thinking of using UPS. Still reading all the stuff they sent me! Hope that helps. Kay, Stoli and Queso Selling soap for weimaraner rescue <A HREF= " http://www.weim.net/stoli/ " >Soap for hope</A> Got Tickets???? National Weim Quilt Raffle <A HREF= " http://www.geocities.com/WeimQuilt2001/ " >http://www.geocities.com/WeimQuil\ t2001/</A> Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 3, 2003 Report Share Posted January 3, 2003 In a message dated 1/3/03 6:03:06 PM Pacific Standard Time, bjmccabe@... writes: > How do those of you with web sites figure shipping fees for your shopping > cart? Is it a percentage or a flat rate? Thanks. > > Judy > Hi Judy, It varies. First of all you probably need to decide how you want to ship.....UPS, Fed Ex, USPS, etc. Shipping is based primarily on weight, size, location. For my business, I found that UPS offers the most economical and best service. USPS does not include free pickup, insurance and free tracking in their fee--UPS fees include these things. And trust me, you don't want USPS to lose a package without having insurance. With insurance, they even have a difficult time and won't reimburse til 30 days have passed. UPS takes care of any damages immediately. I will ship USPS if a customer requests it, but will probably start charging extra to do so. That's right, I don't like dealing with the USPS! Also, I found that it would be virtually impossible to have a set fee for shipping that could be fair and accurate, so I decided to state in my policies that shipping will be figured separately once the order is packed and weighed etc. I charge the exact shipping fee, which is the only fair way I could do it....but some sites charge handling...which I can totally understand and may need to do myself at some point. I choose to use recycled packing materials to cut cost as much as possible, because packing materials are expensive. My suggestion is to do your research on all the different options and then decide which is best for you. good luck! Angie The Herbarie - Botanicals and Body Care Natural Source & Specialty Bulk Ingredients...Exceptional Quality at Wholesale Prices...visit us at http://www.theherbarie.com Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 3, 2003 Report Share Posted January 3, 2003 How do those of you with web sites figure shipping fees for your shopping cart? Is it a percentage or a flat rate? Thanks. Judy Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 3, 2003 Report Share Posted January 3, 2003 I've been several routes on this. Currently I use a flat rate (UPS Ground or USPS Parcel Post, my discretion) and that works well on my retail. I figure if someone buys a lot I can afford to cover the little bit of extra shipping (relative to the product cost). For other methods of shipment (UPS 2-day or 3 day) I charge by a fixed rate that I set based on the amount of the order (ie order up $0 to $40, ups 2 day is one price, $40 to $80 it's another price). Not the best, but it was what I could come up with for rush orders needed before Christmas. For wholesale orders I charge the actual shipping or, if I have to give them an exact price before I have everything packaged, a close estimate on what the actual shipping will be. My new shopping cart (still working on it) will allow calculations for a certain rate per zone per weight ... so I think that will work okay. However I may (haven't decided yet) still go with a flat rate for my retail sales. Marie Marie Gale Chandler's Soaps www.chandlerssoaps.com Re: SHIPPING FEES > > How do those of you with web sites figure shipping fees for your shopping > cart? Is it a percentage or a flat rate? Thanks. > > Judy > > > > > Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 3, 2003 Report Share Posted January 3, 2003 Judy, I currently use both USPS and UPS. USPS: I charge a flat $5.00 fee for ground service. If once it is weighed at the station and it it less that the $5.00 for ground I bump it up. Last week I sent a package to Puerto Rico, first class with confirmation for $5.25. The extra .25 cents is nothing compared to the good will of getting the package there in a timely manner. UPS: I use the zone method. When a customer is ready to check out, a drop down menu of shipping choices are available. My server uses their zip and the UPS zone to give price and time frame. I also have the UPS thermal printer for labels. This is $2.00 a week rental from UPS with all the free labels you need. I have not used it much so far. I just got it last week. For me right now, the verdict is still out on the best choice. The other thing to consider is the way you are processing your orders. For me, all my orders are processed as soon as the order is placed. Which means I do not handle the transactions. It is done by my gateway server. The other way would be to take the order, package it up and ship, then to manually charge for it. For me, I do not want this added step so the flat fee and the zone rate work better. Hope this helps! By the way, to all who contribute here; THANK YOU! Doers www.lilianrosa.com Bringing You The Finest Nature Has To Offer.tm Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 4, 2003 Report Share Posted January 4, 2003 I just wanted to throw something out here for those people concerned about charging exact shipping. Are you taking into account your packaging materials? I do and know many people recycle boxes, bubble wrap and peanuts, and you can even get free boxes from USPS for priority mail. But what about things like packing tape (I must have used 6 rolls in December alone), tissue paper and such? And as your business grows you may not have enough recyclable materials for your needs. (Or in my case lots of big boxes and not enough small ones.) Boxes and all of that can get pricey. Also what about your time? When I set my prices I take into account how long it takes me to make an item, should I also be figuring in hidden labor costs like packaging, weighing and labeling. Not to mention driving the packages to USPS or UPS if I can't get a pickup. What do you all think? Heidi Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 4, 2003 Report Share Posted January 4, 2003 Hi Heidi, I charge a flat rate of $5.95 for shipping, regardless of the amount. It's stated clearly on my website so people know. If someone orders 1 bar of soap for $4.00, they end up paying $9.95. They have the option to buy more or not not buy at all. On the other hand, an order of 10 soaps, and 10 body oils (total weight about 10 lb including the box and packing material) also pays $5.95. Since I started doing a flat rate my sales went UP. I just figure that the uncovered part of the shipping cost is covered by the added amount of the sale. If someone is willing to buy more because it doesn't increase their shipping costs, I'm willing to cover the difference out of the added profit I get from the bigger order. This is true for my retail sales; wholesale customers pay actual shipping. Soapmakers, like you, buying malibu tubes, foam pump bottles and such, are currently paying the $5.95 flat, but I may have to change that to a graduated scale because I have so little mark-up in the bottles. If someone wants to have something shipped by a different or faster method, then I'd like to charge the actual shipping (maybe plus a small handling charge). The handling charge is more to cover the fact that they want rush service and I have to disrupt my normal operation to service them. That seems fair, becuase the customer is able to make the decision and always has the flat $5.95 option available. As for boxes and packing material ... yes, they are costly. I used to use only recycled stuff, but for a while now I've had to buy boxes just because I couldn't scrounge enough of them. Peanuts are easy because I have about 4 stores in town that save them for me. Bubble wrap is harder, and I have had to buy some (I get it from a place I found at e-bay ... cheaper than papermart because of the shipping). I figure the cost of the boxes and such are part of the cost of doing businesses, like paper, pens, computer software, etc. That comes out of the net profits. The cost of a product has to take into account not only the cost of the ingredients, container, label and labor (cost of goods), but also has to have a sufficient mark-up to cover the general cost of doing business AND leave a profit. I try to shoot for pricing my products at least 5x the actual cost of the ingredients and such. It doesn't always work that way, and sometimes I can get more than that, but that's the ball-park. Marie Marie Gale Chandler's Soaps www.chandlerssoaps.com Re: Re: SHIPPING FEES > I just wanted to throw something out here for those people concerned > about charging exact shipping. > > Are you taking into account your packaging materials? I do and know > many people recycle boxes, bubble wrap and peanuts, and you can even > get free boxes from USPS for priority mail. > > But what about things like packing tape (I must have used 6 rolls in > December alone), tissue paper and such? > > And as your business grows you may not have enough recyclable > materials for your needs. (Or in my case lots of big boxes and not > enough small ones.) Boxes and all of that can get pricey. > > Also what about your time? When I set my prices I take into account > how long it takes me to make an item, should I also be figuring in > hidden labor costs like packaging, weighing and labeling. Not to > mention driving the packages to USPS or UPS if I can't get a pickup. > > What do you all think? > > Heidi > > > > > Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 5, 2003 Report Share Posted January 5, 2003 Hi Heidi, I think people will clear their cart if s & h is too high, JMHO, Auggie Mystical Lights Let The Magic Begin... Let Us Lights Your Way... http.www.mysticallights.com Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 5, 2003 Report Share Posted January 5, 2003 Hi Marie Thanks for the info. Yes I am one of those soapmakers who has taken advantage of your generous flat rate shipping, and you're right I probably do purchase an extra dozen or so because after the 1st purchase the shipping is free. I wondered how that worked for you. I think I need to revisit how I figure my prices so I can cover all those incidentals. The hidden costs of doing business. Heidi ----- Original Message ----- From: " Marie Gale " <info@... > I charge a flat rate of $5.95 for shipping, regardless of the amount. It's > stated clearly on my website so people know. If someone orders 1 bar of > soap for $4.00, they end up paying $9.95. They have the option to buy more > or not not buy at all. On the other hand, an order of 10 soaps, and 10 body > oils (total weight about 10 lb including the box and packing material) also > pays $5.95. Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 5, 2003 Report Share Posted January 5, 2003 Could be Auggie. I do think it would be different if I was selling supplies, or items that you could get somewhere else. Then being competitive with the shipping charges would be very important or you would lose the sale. But customers order from my website for the unique items I make and if they are watching their pennies that closely they are probably not buying from me anyway. And almost 100% of my web business is repeat sales. I haven't gotten 1 new customer unless they were referred by another, or got my items as gifts. Since I am not at a point where I can weigh each item and figure shipping exactly, I chose to use the same shipping that Land's End uses. It works out surprisingly close to the actual shipping. Of course now that all the shipping companies have raised their prices, I will probably lose a little on that, unless I change it. The advantage for me is I can then choose which carrier to use. USPS is more expensive sometimes, but so much easier for me, I would gladly eat the $1 or two and send it out that way. However if UPS is bringing me something it's easy to hand them the package. If I have to call for a pickup they are now tacking on a fee because it is residential and kind of out of the way. And now USPS has free delivery conformation when you use stamps.com to print your labels. Getting better all the time. Heidi Re: Re: SHIPPING FEES > Hi Heidi, I think people will clear their cart if s & h is too high, JMHO, > Auggie Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 6, 2003 Report Share Posted January 6, 2003 Thanks again Heidi, I use UPS, he comes right into my garage if I am not home and picks up my boxes. I love UPS for wholesale orders, I charge on the invoice, no problem. What I am trying to figure out is on my site for retail shipping. Since it is relatively a new site I find that my shipping is not high enough, and I have been eating that 1.2 and 3 dollars here and there. Maybe I should just leave it be and when it becomes a profitable retail site it will all work itself out. I have gotten many wholesale accounts though the site, so I guess in a sense it already has. Thanks again for all the responses on shipping, Auggie Mystical Lights Let The Magic Begin... Let Us Light Your Way... http.www.mysticallights.com Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 6, 2003 Report Share Posted January 6, 2003 >But customers order from my website for the unique items I make and if >they are watching their pennies that closely they are probably not >buying from me anyway. And almost 100% of my web business is repeat >sales. I haven't gotten 1 new customer unless they were referred by >another, or got my items as gifts. On a side note...nothing to do with shipping.... Heidi, we run a balance of about 2/3 repeat business, and 1/3 new customers on the web. I wanted to check your website...and couldn't find a link in your sig line. I suspect there's maybe some things you can do to make yourself more 'findable'...you might want to take a look at the page in my signature for some ideas. I love and value our repeat customers...some of them have been buying from us for years and are part of our family....but we need a steady influx of newcomers for the business to grow. so, anywhere... how do we find you online? For information on making your website an effective sales tool see <http://www.naturesgift.com/sitewrite.htm> It works! it really really does. Quote Link to comment Share on other sites More sharing options...
Guest guest Posted January 9, 2003 Report Share Posted January 9, 2003 Re: Re: SHIPPING FEES > > > > Hi Heidi, I think people will clear their cart if s & h is too high, > JMHO, > > Auggie > > > > > Quote Link to comment Share on other sites More sharing options...
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