Thanks to Amazon Prime, overnight delivery, same-day delivery, and two-day delivery are becoming consumers’ preferred shipping methods. Other eCommerce industry leaders like Walmart, also allow their customers the option for FREE next-day deliveries. Hence, if you want your eCommerce business to thrive, include rapid delivery to your marketing strategy.
If we take the literal meaning into consideration, is overnight shipping really over-night? Let’s find out.
Overnight Shipping made easy for you by Fulfillment Hub USA!
- A Guide to Overnight Shipping
- What is overnight shipping?
- How does overnight shipping work?
- Benefits of Overnight Shipping
- Overnight Shipping Costs
- Reduce Overnight Shipping Costs
- In A Nutshell
- Ship Overnight with Fulfillment Hub USA
- FAQs About Overnight Shipping
A Guide to Overnight Shipping
When it comes to making a purchasing decision, 53% of shoppers consider shipping speed to be the most important factor. Moreover, 24% of shoppers cancel an order because of slow delivery speeds. Hence, these figures clearly state the importance of rapid delivery time in eCommerce order fulfillment.
To keep up with this trend in the market, you must provide overnight shipping to your consumers. But what is overnight shipping, is it literally overnight, is it expensive, how much does it exactly costs, and how can you provide it to your customers effectively. Continue reading this blog to find out answers to these questions.
What is overnight shipping?
Overnight shipping is the quickest delivery option available for eCommerce shoppers. It guarantees the product delivery the next business day. However, the delivery of the order depends on the order time. If the customer places an order over the weekend, the product may need an extra business day to arrive.
Next-day delivery and one-day delivery are often used as synonyms to overnight shipping. Anyway, every seller has a certain time frame within which the customer needs to place an order. It is only then, that the product becomes eligible for next-day delivery. This time is called cut-off time. After the cut-off time, there is no guarantee of overnight delivery.
How does overnight shipping work?
In overnight shipping, the order-fulfillment process has to be fast to ensure timely delivery. The process is as follows:
A customer places an order before the cut-off time
When a customer places an order before the cut-off time, you get the time window as well to forward or process the order before your courier’s cut-off time for overnight shipping.
The shipment company receives and processes the package
Once the product is done with picking and packing, it is forwarded to the shipping company to process it for overnight shipping.
The package is delivered to the nearest hub overnight
The package is then delivered to the nearest hub overnight via the shipping method you have chosen depending upon the destination distance.
Customer receives the order
In the end, the customer receives the package the next day, meeting your overnight delivery promise.
Benefits of Overnight Shipping
Apart from being a life-saver at the time of emergencies, overnight shipping has many other benefits. Let’s go through them one by one.
Makes You Stand Out
When you offer overnight shipping, you are highlighted in the market because it reflects that you match the service levels provided by the best in the industry, such as Walmart and Amazon. Overnight shipping is undoubtedly a differentiating feature that you can market.
Increases Customer Conversions
Overnight delivery is an enticing option and when you offer it to the users visiting your eCommerce store, you convert them to your buyers. Next-day delivery accommodates purchasing decisions of the shoppers and assists in increasing conversions.
Boosts Customer Retention
Customers trust you when you deliver products and services on time, and overnight shipping counts as a premium service. When premium services are provided to consumers, they keep coming back for more. Moreover, it makes your brand reliable.
Increases Average Order Volume
The psychological trigger of getting the product delivered overnight makes the consumer buy more to take complete advantage of the deal. Hence, customers buy more, especially when you have set a minimum overnight delivery spent.
Beneficial Marketing Strategy
Along with being an enticing option for consumers, overnight shipping is a great marketing strategy as well. You can promote your business with this feature and this helps you gain a competitive edge in the market and help you acquire more users for your website.
Overnight Shipping Costs
Overnight shipping costs vary depending on various factors. They are:
The dimension of the package is an important factor in determining the cost of the shipping. It takes into account the Dimensional Weight (DIM weight) of the package. It is the amount of space a package occupies in relation to its actual weight. The formula to calculate DIM weight is,
DIM= [Length (l) * Width (w) * Height (h)] / DIM Factor
DIM Factor is a mathematical factor that represents the volume of a package allowed per unit of weight.
DIM determines the packages’ final billable rate.
Delivery Time Frame
The faster the consumer wants the package, the costlier it gets to ship. Therefore, overnight shipping costs more than usual delivery methods.
When the weight of the package exceeds a certain limit, many carriers use the packages’ original weight to calculate the shipping costs. The heavier the package, the more expensive the overnight delivery costs.
Distance is an important factor in shipping. The shipping destination from the origin location determines the cost of the package; short distances incur the cheapest overnight costs while long distances denote expensive shipping charges.
When you ship in bulk, you get various discounts from shipping carriers. This is one of the reasons third-party fulfillment companies get the cheapest overnight delivery rates.
Reduce Overnight Shipping Costs
Overnight shipping is an expensive and premium service. No matter how well you deliver it, most consumers prefer low-cost shipping and abandon carts if the charges are too high. Hence, it is vital for your business growth to reduce your overnight shipping costs. Here are some effective ways:
Find the appropriate overnight shipping service
Choosing a shipping carrier that offers the best service and is cheapest in the market is difficult to find. Best services come with a price. Hence, it is better that you go with the one that suits your budget and matches the needs of your consumers.
Set minimum order values
You can set a minimum order value for overnight deliveries. It ensures customers spend enough money to make next-day delivery possible for them and profitable for your business. However, remember that a large basket size can equal a heavier package, impacting the shipping cost.
Distribute Your Products to Multiple Warehouses
When you distribute your products to multiple warehouses, situated at different locations, you reduce the distance cost, and with ground shipping methods, you can ship the products easily. However, buying multiple warehouse spaces costs you more. To overcome this, follow up on the next point.
Partner with a 3PL
A third-party fulfillment center offers inventory management, order fulfillment, and returns management at an affordable price. They are also known for getting huge discounts from shipping carriers because of the large order volume. When you partner with them, you can ship your products overnight while saving a large sum of money.
If you want to partner with a 3PL, look for firms with multiple warehouses strategically placed at multiple locations to reduce the costs like Fulfillment Hub USA.
In A Nutshell
Overnight shipping can be magical for customers and expensive for you. Hence, before making any decision on providing overnight shipping to your customers, research the different shipping carriers and hire the one that suits your needs the best. Or the most feasible option is to hire a fulfillment center that has a proven record of serving its customers the best like Fulfillment Hub USA.
Ship Overnight with Fulfillment Hub USA
Fulfillment Hub USA has the largest fulfillment center in South Florida. We have multiple warehouses strategically placed across the country to reduce shipping costs for you and your consumers. Moreover, our freight delivery services are expedited and security is our top priority. Don’t just go with the words, talk to our team and experience. Contact Now! [email protected] or +1 786-622-1102.
FAQs About Overnight Shipping
How fast is overnight shipping?
Overnight shipments typically take one night and a few hours of the next day to deliver the package. In the end, it all depends on the destination distance.
Is overnight shipping really overnight?
Yes, it is possible to complete the shipping overnight. However, by definition, it guarantees the delivery of the orders on the next business day.
How does overnight shipping work?
Overnight shipping is an eCommerce delivery method where the consumers receive order the next business day. Next-day delivery, one-day delivery, and overnight shipping are often used interchangeably.
Is overnight shipment guaranteed?
Yes, overnight shipping guarantees the shipment will be delivered the next day by a certain time requiring the consumers to meet the cut-off time.
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