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Shipping Cost and Logistics for Buying on Wholesale

Category Selling
Shipping Cost and Logistics for Buying on Wholesale


  1. Shipping Cost and Logistics for Buying on Wholesale.
  2. Dealing with a Local Supplier - Purchasing in Bulk.
  3. Best Shipping Services for Different Countries.
  4. International Shipping.


Shipping Cost and Logistics for Buying on Wholesale


Want to purchase wholesale products online? What do you know about international and local wholesalers and shipping cost? If this is the information you are looking for, this article will cover all. Read till the end to find your answers.

Purchasing Goods from International Countries

As far as purchasing good from other countries is concerned, it could be the most expensive shipping option to consider. However, if you invest in the right product, the shipping cost you will pay will be so worth it. Therefore, it is important to ensure you research properly before ordering the products and compare the prices with buying the same product locally and see if you can save money without the shipping cost.

Importing from a different country can be a totally new experience and slightly daunting for those of you who haven't done it before. The procedure may seem to be a little complicated and thus not considered ideal for new sellers (unless they are willing to take the challenge in the first go). For new sellers it is best to start with local wholesalers. You can find a list of validated, authentic wholesalers at FinalWholesale.com. Don't forget to check your options out.

As far as the shipping cost for importing products from other country is concerned, it will vary depending on where you are importing from and how much you are ordering.

- You can find a number of shipping services who can easily offer small imports up to 62 kg (150 lbs). These services include DHL, Fed Ex, EMS, and UPS.

- Imports above 62 kg require shipment through sea. At that weight, the cost of shipping through air can be very expensive. On the other hand, sea freight is a more suitable option for weight that exceeds 62 kg but that comes with one drawback; the procedure is longer and it takes more time for the delivery of goods using this method. This procedure involves getting in touch with a freight forwarder to book passage on a cargo ship. This also requires contacting a customs broker to prepare the important paperwork to get clearance on customs. It is important to find the right freight forwarder to have a smooth shipping experience. Only a professional freight forwarder will work out all logistics on your behalf and look for the most lucrative deal for you - somewhere near $300.

- And what about container? How much does it cost to ship via container? A smaller container which is not completely filled can cost anywhere between $60 and $2000 whereas a full container can cost up to $5000. Indeed, there is a huge price gap here and the cost is very high too. This is why we always recommend that you conduct your research, compare and then shop around.

Research is important. That's the only way you can find out if you are paying the right amount for shipping cost. Also, this will help you compare if buying locally is more feasible.

How to Purchase Goods from US Suppliers Who Don't Deliver to Your Country

Majority of the suppliers or wholesalers you find on FinalWholesale.com ship to majority international countries (and hopefully your country too). Don't just assume. Feel free to email them and ask them even if your country is not mentioned in their shipping list.

However, if you are confirmed that a particular supplier does not ship to your country; you may want to open an account with a mail-forwarding company, such as www.mbex.net. This country will provide you with a US residential address so that you can go ahead and purchase from the US supplier who does not ship to your country.

In case you are not planning for a bulk purchase, this option may even allow you to save a lot of money in freight. However, that's only possible if you want to make multiple small purchases from different suppliers. After receiving all the shipment to that one address, MBex can send you all your purchases in a single shipment and send it to your address. This way, you will have to pay only for one shipment instead of several small ones.

Another big advantage of this method is that you will also be entitled to a discount that MBex gets for using Fed Ex shipping service. The discount is always passed on to the customers by MBex.


Dealing with a Local Supplier - Purchasing in Bulk


For bulk or palette orders, most companies prefer using freight companies. It is important to know that purchasing in huge quantities can cost you a lot of money, especially after the increase in fuel price.

It is very important that you carry out a detailed and realistic cost analysis to make sure it is working for you. For the least, you should still expect to pay something between $400 and $900 if you want a dedicated truck. The cost will vary depending on the distance between your supplier and you. Another great way to cut down cost is to piggyback your purchases with another company that operates in your area.

This can also lead you to saving a lot of money but it is important that you plan carefully before synchronizing and take your time before you actually implement the plan.

Drop Shipping Method

Drop shipping method is another option for you to get the products delivered to your customers. However, it is important that you analyze the cost you will incur following this method. You can expect to pay a handling fee between $2 and $5 plus you will also be responsible for the shipping cost. The good part is that the costs are usually mentioned on the website of the drop shipper and all you have to do is calculation. Once you have the figure in your hand, compare it with other drop shipper and choose the most viable option.

Ideally, a drop shipper offers very quick delivery service and therefore uses a respected and well-known company (such as DHL). Therefore, you can expect the shipping cost to be high depending on where you want the goods to be delivered.

Selling Online and Shipping to Customers

It is very important to decide on a pricing strategy and know you are charging the right amount, which is covering your shipping and handling cost. However, at the same time it is also important that you set a competitive price to stay in competition in the market. So the big question here is: how much to charge? Read on to find out.

- Look what others are offering. You can check out other eBay auctions where both shipping and handling costs are mentioned. Now compare their costs and the price they are charging and continue your research accordingly.

- It is considered a part of your professionalism to mention shipping cost even if you are listing it on a website that does not necessitate you to specify it. Information is important for people to buy from you. The more information you provide your buyers about the product and costs, the easier it will become for them to make a purchase decision.

- While you may prefer quality over everything else, it is also important to remember that eBay prefers items with cheaper shipping cost and will put similar items to their top search results. If you are after the traffic, you must find cheaper shipping options.

- You should also make sure you are choosing a reliable shipping service to deliver good to your customers. If you want to avoid negative feedback and continue to maintain customer satisfaction, you must provide fast shipping service. Compare and check reviews for the different options you have and see which one seems to be the most feasible of all.

- Research is crucial. You cannot just make a decision without thinking. Take your time, research and don't forget to compare rates. Check out the different shipping companies and compare before you choose the right one.

Calculating Postage

If all this seems like a hassle, get yourself a nice shipping scale. This is available on eBay and can be used in conjunction with online calculators and shipping charts to give you effective results.

Why Other Sellers Are Offering Cheaper Shipping Cost - The Possibilities

It could be a little surprising to find out that other sellers are offering cheaper shipping cost. In fact, when you check and compare the prices of shipping companies for your own research and when you compare them with what the competitors are offering in their listings and auctions, it could come as a shock. So what are the possibilities behind this? How can sellers offer cheaper shipping cost than available?

- Shipping companies often show their commercial rates on the website. If you are a business, don't be fooled by this and continue to pay retail. By opening up your business account with different shipping companies, you can avail huge discounts. In some cases, the discounts can be as big as 60%. Make sure you avail them. Your competitors might be using those deals.

- Online purchasing - a number of shipping companies offer discounted rates for buying online. Moreover, it could also save you time that you spend at post office.

- Your competitors may be using a pricing strategy by offering very low (or sometimes free) shipping to get more traffic and sales. This pricing strategy is only to entice customers to purchase from them. But they do not bear the shipping loss themselves. To cover the loss (by offering low or free shipping), businesses usually add that cost to the price of the item (and proving it to be a high quality item available for a higher price). At other times, the loss is covered by persuading customers to purchase accessories along with the item as an add one at checkout.

- Compare different services. As mentioned earlier, it is important that you put your time and effort in finding out the rates of different shipping companies for delivering goods to different destinations. Better research may also be the reason why your competitors are able to sell at low or free shipping. For instance, it only costs $37 for USPS to ship 20lbs to Australia from USA as per their flat rate of International Priority mail boxes. On the other hand, Express Mail will charge you $97.90 for the same service. Huge difference right? Comparison and research will create a huge difference and will help you find better, more lucrative deals.

- Invest in a good shipping scale. You don't want to judge wrong here. Even a few ounces will matter and can be slightly more expensive when you actually send the goods.

- Don't forget that time require in shipping can be a significant cost too, so do try and minimize the complications as much as you can. You will find a lot of suppliers who clearly mention that they ship three days in a week (let's say Monday, Tuesday and Friday). If you follow the same strategy, you will not have to go to the post office every day for a single item. Don't worry about the buyers. If you have mentioned these details, they won't mind waiting for one more day to get their goods.


Best Shipping Services for Different Countries


Here comes the most interesting part. Learn about the best shipping services for different countries. Starting with USA, go and educate yourself so you know which top shipping companies to compare.

United States Shipping Options

Your shipping options in the United States include:

USPS - This is by far a favorite and one of the cheapest shipping services you will find operating in the US. It is especially cheap on Media Mail, First Class Mail, and Priority Mail. It is the most commonly used shipping service used by majority of online sellers. In addition to efficiently deliver goods to your customers, you can also order labels and free boxes from USPS and get them delivered right on your doorstep. They also provide the picking-up service for free - which means no more wasting time outside the post office. They will pick up the package from you without any charges, save you the post office trip, and most importantly, send your goods to your customers through fast shipping service.

Fed Ex - This is another most reliable shipping service commonly used by online sellers to ship heavy items. The rates and reliability of heavy items offered by Fed Ex are considered the best amongst all in the United States. Fed Ex takes packages weighing up to 150 lbs and you can avail great discounts if you sign up with them with your business account.

UPS - This shipping service has a special pricing option for sellers that are operating on eBay. Although their services are extremely reliable in terms of quality and fast shipping, it can be a little more expensive as compared to the other shipping companies.

DHL - This shipping service can offer great prices for heavier items - and is considered more cost effective as compared to USPS and UPS - but it cannot fairly compete with them in terms of reliability. According to sellers and their reviews, the service is not as reliable and cannot be fully trusted.

United Kingdom Shipping Options

Your shipping options in the United Kingdom include:

Royal Mail - This shipping service is one of the most commonly used services by majority sellers in the UK. You can also avail discounts through your business account. So don't forget to check out their business rates for a better price.

Business Mail Services - For international shipping and shipping of heavier, larger items, business mail services is the best company for these services.

Australia Shipping Options

Your shipping options in Australia include:

Australian Post (regular post) - Here you can expect to find the cheapest options for shipping. However, it is still recommended that you check other options and compare services. For instance, the prices you find here can be cheaper for certain items and for other parcel posts it can be higher than what others are offering.

Greyhound Freight Courier - This option is great for finding cheap interstate services. Their shipping services also include insurance and signature on delivery.

Other options include Fastway services and Australian Post Courier services.

Canada Shipping Options

Your shipping options in Canada include:

Canada Post - A reliable shipping service used by majority of online sellers in Canada.

Couriers - UPS, Greyhound Courier and DHL Express are also available as your option.

International Shipping

International shipping is more expensive and involves lengthier procedures and legal work such as Customs clearance, Customs declaration form, etc.

It is important to remember that your customers may be required to pay custom duty to receive the package. The duty will depend on the classification and value of the item. Moreover, if your customer is also purchasing shipping insurance, it is imperative that you provide them with the true value mentioned on the customs declaration. The shipping insurance will not cover the entire cost of the duty. In fact, it is only valid for covering the declared value.

Indeed, international shipping is complicated and requires lengthier procedure. However, if you offer these services, you will have customers from all around the world. Imagine getting amazing traffic from different parts of the world for your products. Provide them with the best of international shipping services by learning about it as much as you can.

International shipping to Canada? Don't forget to add details about customs brokerage rate and estimated duty for international delivery. This information should be posted upfront together with the listings.

Sending an international shipment to Australia or New Zealand? Custom duties are applicable on items that are higher than $1000 in Australia and over $399 in New Zealand. Make sure this is mentioned clearly for your customers to see.


Need more advice on how you can ship internationally without any hassle? Speak to other sellers who have been doing this for years by joining FinalWholesale.com and learn from others' experiences to have a great, seamless experience yourself.


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