Top 4 Tips to Reduce Freight Shipping Costs for Your Business


Operating a business is undoubtedly an expensive task. You have to pay different bills including taxes, the employees’ salary, water, electricity, etc. On the other hand, you need to use various freight forwarding services to transport your goods from one place to another. The costs of the freight shipping services are high and can take up a considerable chunk of your business expenses.

To avoid any additional and unnecessary costs, you need to reduce the freight shipping costs while also maintaining the integrity and professionalism of your company. When you implement some fundamental changes, you can easily save both time and effort.

To help you with the freight shipping costs reduction process, we will discuss the top 4 effective ways to lower freight shipping costs. Continue reading the article to know more.

Know Your Shipment Options

Ground, air, and ocean are the three primary ways to transport your goods. Ocean freight is generally less expensive than air freight, especially when transporting goods through the international border. If you’re transporting goods to local borders, you should use rail freight as they are more cost-effective than trucks. You can also combine these three transportation methods to improve delivery times and lower operating costs.

Another effective option is to outsource the shipment. Shippers with a transportation fleet will provide you with more than a 25% premium over logistics companies. However, it’s suggested to use a freight calculator to estimate the cost.

Consider the Packaging 

Packaging is responsible for 10% of the supply chain medium, while transportation is 60% and warehouse storage is 30%. Therefore, you need to consider the package specifications and design while improving freight efficiency. Make sure you minimize the space of each good so that your shipping process can become more cost-effective.

Another great to package is by reducing the amount of additional support packaging. Strapping, airbags, bracing, and blocking will prevent the goods from moving around during the shipping process. This way you can protect the goods from damages. Make sure you discuss with your respected carrier and determine the proper packaging for your products. Not only will this save you money but also allow you free more space.

Ship during Off-Peak Days

This is one of the best tips to reduce freight shipping costs. While shipping goods, consider shipping them on off-peak days. Most customers prefer their products to be delivered on Friday to enjoy them peacefully.

However, this depends on the cargo you choose and the freight logistics company you’re building a relationship with. You can ship your products on Monday as the traffic will be lower than usual.

Leverage the Load Board

Leveraging the load boards will also help you mitigate the freight shipping costs of your business. If you have a one-way shipment, choose a carrier carrying your goods as backhaul. Carriers will always support backhaul as this process helps them generate additional money. As per Forbes, taxes and duties will affect the shipping cost.

If you search enough, you can also find carriers who will transport your goods by only taking the fuel costs and a small amount of additional money. This is beneficial both for the carrier and your company.


These are the top 4 tips to reduce the freight shipping costs of your business. If you have any other questions, don’t forget to let us know.

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