4 Ways To Cut Shipping Costs


Many of us have experienced budget cuts due to Covid-19 and the effect it's had on business and our lives, but we still have to perform for our customers, without cutting corners on quality. There are a few different ways you can attempt to save money within your shipping department.

Ensure you’re rating with the correct class and weight

Entering the incorrect class and weight will come with a rate adjustment, but in many cases, will come with a fee for the correction as well. This is an entirely avoidable cost. Don’t leave this information up to a guess. These fees will add up quickly if your freight is consistently being re-weighed or re-classed. You can check with your scale manufacturer to see how often they recommend recalibration based on frequency of use.

Package your freight properly

This one is simple-- improperly packed freight can result in damage to your products. Dealing with a cargo claim on a damaged product eats up precious time and costs to be replaced. Depending on the limit of liability of the carrier, you will likely not be able to completely recoup the cost of your product.


If you have multiple orders a week going to one location, it may be time to evaluate if you can ship them all at once. This is an easy way to cut back on costs. If you combine smaller shipments into a larger shipment you will likely get a better bulk rate, or at the very least, save on fuel surcharges. Consolidation won’t work for every business, but it’s definitely worth considering.

Utilize a Transportation Management System

If you’re relaying our routing guides or tribal knowledge you are likely leaving money on the table and not getting a full picture of your options when you’re booking your freight. Most routing guides operate off an assumption that one carrier is the best call for all moves from one state to another. This just is not the case. If I am shipping something to Laredo, TX the cost will likely vary greatly with the same carrier if I am shipping instead to Dallas, TX.

Utilizing a TMS may have an upfront cost, but, The ARC Advisory Group conducted a study and reported that 37.5% of companies reported freight savings improved by more than 10% after implementing a transportation management system. This is a classic example of spending money to save money.

Freightview is an affordable TMS that can help you manage your freight. Sign up for a free trial today to see how we can help.