Online Store Owner VS The Courier Mafia
If you are not moving forward, you are not standing still but moving backwards. Well, at least it's true in the business world and even more so in the Metaverse. Yes, I know that the 'Metaverse' is a buzzword and still in diapers BUT, it's here to stay.
Think back to the early days of the internet, the early 90's. Remember the dial-up web connections? The .com era, right? Fast forward 3 decades and we are all shopping, banking, gaming and dating ONLINE. Our lives are ONLINE.
Now, if you are a business owner today and you don't have an online presence, then you don't exist, right? Whatever type of business you have, you have to have some kind of online presence to be relevant.
So, over the last decade, online shopping has become the norm and consumers do not think twice about whipping out a credit card and punching in the numbers to buy, basically anything on the internet.
If you are new to the E-Commerce world and currently putting all the pieces of your online store puzzle together then no doubt you have called a few courier companies to assist you with delivering your fantastic product to equally amazing clients.
Jacques
In this video, we will look at a few tips and tricks that will assist you with not only dealing with couriers but also with some advice on packaging, insurance and the delivery of your product.
Now, chances are very good that you have bought something online and 24h later your doorbell rang and there was a neatly dressed person with an equally neatly wrapped package that contained your purchase.
Subconsciously that is what you expect, right?
You have paid hard-earned money for the item and you expect a neatly dressed delivery person to hand over an undamaged box containing your item, right?
You always have to think about your sales procedure from the customer's point of view, not from yours. So, package your sold items in the same way that you would like to receive them. Clients will judge you on this and if done right, then they will love you for it, and become returning clients! And that's where the magic of owning a business happens!
You see anybody can get a client, but the trick is to get that client to come back again and again resulting in free advertising for you.
Here are some packaging tips:
- As a new E-Commerce store owner, I recommend sticking with products that could fit in a box no bigger than 40x30x30 cm. Why? Simply to keep your courier costs down.
- The bigger the package, the higher the courier costs. So, if it can fit into a padded envelope then rather use that instead of a box.
- Please do not use old boxes from last year's house move or an old shoe box to send items to your clients. This will reflect badly on you and once of clients will just stay - once of clients...
- Spend a little money and buy a decent box from a storage facility or your local post office. If you can order in bulk, then of course you will get a great deal on the costs of these boxes.
- Do not use just anything to fill space around the item and prevent it from moving around but use proper bubble wrap and air-filled plastic pieces.
Jacques
Insurance:
With regards to the insurance of your items, you will need to make a tough call.
- Every cost associated with your business is potentially eating away at your profit.
- So, ask this; is it worth it to ensure the item? If the item is damaged or stolen during the delivery process how easily could you replace it?
- This is very important as not all couriers insure items and those that do, do not insure certain items such as artworks.
- Of course, if it is an extremely valuable item then it will be worth taking out insurance against it, but not for every single order leaving your warehouse.
- I suggest speaking to your business insurance broker as there are also premiums you could pay for general business insurance that would give you a broad business cover in the case of loss.
- Alternatively, the responsibility of insuring the valuable item could also be handed back to the client. Upon purchasing the item, the client would have an option to take out an insurance policy that would cover the item during the delivery process. This is then paid by the client and not by you.
Courier Costs:
Now let's speak about the Courier Mafia of the online business world.
An amazing gang of people from different courier companies that deliver thousands of packages daily to amazing clients around the globe.
But how do you choose a courier to partner with? Remember, indirectly, the courier service you select will also represent you in front of clients.
If you order something from the YOU24777Online Store and 24h later The Courier Guy knocks on your door then subconsciously you make a connection between the two. The store endorses the Courier Guy and The Courier Guy represents the store.
So you have to choose well.
Here in Cape Town, I have done my research on all the courier companies and it seems as if The Courier Guy is the best in my area. Do you see how this works? I am not paid by The Courier Guy to say this on YouTube, but because I received very good service from them, I am now promoting them online – FOR FREE.
How do successful online stores manage to display either FREE or budget friendly courier costs?
- Simple; they sponsor a portion (or 100%) of the cost.
Here is the breakdown:
If your courier advertises nationwide delivery for $15 then you advertise it as a $5 nationwide delivery.
It works like this:
The client 'pays' $5 for delivery.
You add $5 to the item's retail price.
You minus $5 from your profit.
So, in reality, the client pays $10 for delivery (although they think it's $5) and you receive $5 less on your profit margin, BUT you made a sale!
Once your E-Commerce store is up and running and you have had a few sales, then you can try to add a FREE Courier service if the client orders over a certain amount. You will then sponsor the entire courier costs, BUT you made a big sale and your client is super happy.
Of course, you could also advertise local delivery for a small fee, let's say 50% less than the standard courier cost. This will put YOU in the driving seat and you get to shake hands with your clients and build relationships for future business.
Jacques
Conclusion:
In the beginning stages of your E-Commerce journey, it is best to stay with medium size products that could fit into a medium size box. Wrap the item in bubble wrap and include a small thank you card inside the box.
Just a small something that would make the client remember you.
At the same time remember to include an advertising flyer in the box. The client is very excited as their new purchase arrived and it's the perfect time to introduce the client to additional stunning products or new releases on your digital shelves.
Why all this beating around the bush with the courier cost? Well, simply put, clients hate paying for courier costs, so the cheaper the displayed costs the better for your sales.
I know I know, surely the client needs to understand that somewhere someone needs to get dressed, get in a delivery vehicle filled with petrol and deliver his package within a 24h window period wearing a branded jacket, name tag and displaying a massive smile – all for free?
That's just the nature of the business. Remember, your goal is to create RETURNING CLIENTS.
I hope this helps and that it will propel you forward on your E-Commerce Journey!
Thank you for liking the video and if you would like to see similar content in the future then consider subscribing.
But for now, go out in the world and Be The Best Version Of Yourself!
From my side: ADIOS!
Jacques
