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5 Tips for Reducing Shipping Costs During the Holiday Season

December 6, 2024

The holiday season is a critical time for logistics businesses, with increased shipping volumes and tight delivery windows. Managing costs effectively is essential to ensure profitability while meeting customer expectations. Whether you’re already a customer of Terminal Africa or exploring tools to optimise your operations, these tips will help you navigate the busy holiday season.

1. Leverage Multi-Courier Options

Relying on a single courier can limit your ability to secure competitive rates or find the most efficient routes. Use platforms like Terminal Africa to compare courier rates, transit times, and coverage options, ensuring you always pick the best deal for each shipment. Flexible courier choices help you adapt to fluctuating demand while controlling costs.

2. Insure Your Shipments for Peace of Mind

The holiday rush often leads to higher instances of lost or damaged shipments due to increased courier activity. While insurance doesn’t reduce upfront shipping costs, it safeguards your business from unexpected losses. Insure your packages through Terminal Africa to protect your shipments and enjoy faster resolution for claims in case of mishaps. Recovering the value of a lost or damaged shipment means fewer financial setbacks and happier customers.

3. Optimise Package Sizes and Weights

Shipping costs are often determined by dimensional weight (size of the package) rather than actual weight. Dimensional weight charges can inflate shipping costs if your packaging isn’t efficient. Selecting the right-sized boxes depending on what you’re shipping can make a big difference.

Choose snug-fitting packaging and use fillers sparingly. Our couriers offer standard-sized boxes optimised for cost savings. See our guides on how to add packaging information and how to correctly measure volumetric weight.

4. Prepare for Peak Demand with Early Bookings

Peak season brings surcharges and delays, making advance planning crucial. Encourage your customers to book their shipments earlier. Early bookings help you secure better rates and avoid the stress of last-minute fees.  Our platform lets you schedule shipments early, compare rates, and lock in savings.

5. Increase Shipment Volume with Strategic Orders to Reduce Cost

Free shipping doesn’t have to hurt your profits. When done strategically, it can encourage larger orders while reducing overall shipping costs per order. To qualify for free shipping, set a minimum order value. This covers the shipping cost and increases your average order value. Customers are more likely to spend more to save on shipping, boosting your revenue while keeping logistics costs manageable.

This holiday season, don’t let shipping costs eat into your profits. We’re committed to helping logistics businesses thrive—even during the busiest times of the year. With our platform, you can:

  • Access multiple couriers with competitive rates.
  • Enjoy automated shipment booking and tracking tools.
  • Gain insights to optimise costs and boost efficiency.

Let’s help you save on shipping. Book a shipment now.