How To Speed Up Your Shopify Store: 7 Step Guide

Shoppers are impatient. Every additional tenth of a second it takes a store to load can drop conversion rates by 7%. Can you imagine how much money a Shopify store owner could lose over a 2-second delay?

Slow websites provide bad user experiences. This alone causes people to turn away from stores they would otherwise shop from. But it can also negatively impact search engine rankings too. That’s another huge problem in its own right since so many Shopify store owners count on being listed high in Google Shopping ratings.

Fixing a slow website is tricky and technical. But thankfully, it’s easier to troubleshoot issues on Shopify than it is on most platforms. In this guide, we’re going to talk about what makes Shopify stores load slowly and why it matters (in the words of actual store owners).

We’ll wrap up with clear steps you can follow to troubleshoot your slow store.

Why Your Shopify Store Is Loading Slowly: 3 Common Reasons

Shopify stores can load slowly for a lot of reasons — oversized images, sluggish apps, theme issues, you name it. We’re going to talk about each of these in a little more detail so you can understand why each one of these causes loading issues.

This is not an exhaustive list. Truth is, there are a million reasons why your Shopify store could be loading slowly. You might have a server issue or some kind of obscure coding problem. But 95% of the time, something much simpler is giving you trouble.

Here are three loading time issues that come up all the time and that you are going to have some control over.

1. Your images are too big.

Big images are, by far, the most commonly cited reason why Shopify stores load slowly. Nearly every source we asked for advice on this matter told us this, independently of one another.

Jose Gomez, Partner at Summit Metals, put it best. “Websites generally load slowly because images are not optimized in size. For example, people might upload a JPG that is 3MB.”

On its own, that isn’t a problem, but clarifies, saying that “multiplied by 20 images, your cell phone will take a while to load [the web page].”

There are ways you can troubleshoot this, which we’ll get into more later. Gomez recommends converting images to WEBP format, which cuts size by about 70% without sacrificing quality too much. Meanwhile, Steve Sacona, Founder of Top 10 Lawyers, recommends using tools like Photoshop or free online converters to compress images to smaller sizes. In our experience, we’ve found either technique can work well.

2. One or more of your apps is slowing down your site.

Remember the days when iPhones only had 8 or 16 GB of storage? Take a second and rewind to the days of having to delete apps to make room for your music. Shopify works like that.

If your store has app after app that you are not using, it might be slowing the site down. Consider purging unneeded apps and reap the benefits of faster load times.

“Carefully choose the apps that you add to your store, and remove any that aren’t needed,” suggests Justin Christopher, Manager of Ecommerce and Marketing at Klatch Coffee. “In addition to removing the app, you might need to check to make sure the app automatically removes any code that it installed, because old apps can leave behind code that slows your site. Shopify store owners can run before-and-after tests using Google Lighthouse to ensure that newly-added apps aren’t slowing their store.”

3. You’re using a slow Shopify theme.

When themes don’t work properly, they can slow down your page. Themes are all made by developers, and developers make them by writing code. The way the code is written can have a huge impact on how the website itself is loaded when it runs that code.

Practically speaking, if your theme is the problem, the only option you really have is to switch themes. Granted, there are many other things you can troubleshoot first, which we’ll talk about. But if you keep having stubborn performance issues, your theme might be the problem after all.

Why Shopify Store Loading Time Matters

If you want to really understand why loading time matters so much, it helps to hear what other store owners have to say.

Gomez says that “Google/Bing Search Engine crawlers rate your site based on how fast your site runs. The reason for this is they want to give users best user experience (which means smooth loading times.”

Christopher states that “site speed is critical for usability. We know that visitors quickly abandon slow-loading websites, especially mobile users, which make up about 70% of our audience.” He then expressed the value of using Lighthouse, Core Web Vitals, and Search Console to find and fix issues.

“There is a reason loading time is important for many reasons. Ignoring this essential aspect can scare away prospective buyers, because an average online shopper is quite impatient, and every additional second of waiting increases the bounce rate and decreases the satisfaction rate,” says Ben Schreiber, Head of Ecommerce at Latico Leathers. “Even a [one-second] delay can lead to fewer conversions, according to research. SEO is also adversely affected by slow websites as search engines such as that of Google take loading speed as a factor when indexing web content. Reduced download times mean enhanced popularity and increased chances of converting visitors into regular clients.”

Sacona states that “fast loading times are essential for keeping visitors on your site and can directly impact your business’s bottom line. From a legal standpoint ᅳ seeing to it that your website performs efficiently is not just about user experience ᅳ it’s about seeing to it that your business against potential disputes & maintaining your market position.”

Taken all together, one thing is clear. Making your Shopify store fast is not just an intellectual exercise. It has a direct impact on your profitability.

How To Speed Up Your Shopify Store: 7 Steps

With all of the above in mind, we would like to provide some tips on how you can speed up your Shopify store. Try each of these steps one at a time, and in the order they are listed below. Use free tools like GTMetrix, Pingdom, and PageSpeed Insights to measure changes in performance as you go along.

Why follow these specific steps?

This is a technical point, but it’s helpful to understand, so bear with us. You are trying to optimize three different factors:

  • Largest Contentful Paint (LCP): The amount of time it takes to load the largest object on the page. Less time is better.
  • Interaction with Next Paint (INP): The amount of time it takes for a website to respond after a user interacts, such as by clicking on something. Less time is better.
  • Cumulative Layout Shift (CLS): The amount that objects appear to “jump around” as the website loads. Less shifting is better.

The tips that we’re going to share require relatively little technical expertise but should make a large impact on these three figures. Don’t get too hung up on the figures themselves, though, they are ultimately just ways to quantify how it feels to use your website. And you want it to feel good, so use your human judgment.

1. Optimize your images.

If your website is loading slow, you should check your images first. That’s because overly large image files are both the most likely reason for your website to be loading slowly and one of the easiest to fix.

There are two ways main ways to optimize images, and either will work. You can either convert them to WEBP or use a tool – paid or free – to compress the images to a smaller file size. It doesn’t matter which one you use, it only matters that the file size is relatively small.

Of the two, we personally find WEBP preferable since it’s a little less technical than compressing images and certain speed measurement tools tend to like it better than optimized PNG and JPG files.

When you compress images, look at them closely and make sure the quality is still good before you use them on your website. You want the smallest file that still looks good.

Windy Pierre, Ecommerce Growth Marketer at Ecommerce Manager Dot Com has some additional recommendations for image optimization. He says it’s best to “[avoid making] the main picture load lazily. Only make pictures that you can’t see right away [should] load lazily. For more control, it’s better to use Shopify’s automatic lazy loading or the section index.”

He also advises against using special effects for main pictures.  “While making pictures fade in might seem cool, it can make the website slower. It’s better to remove them for a faster website.”

2. Remove apps you don’t use.

Having too many apps is a sure way to slow down your Shopify store. The easiest thing you can do is start removing ones you don’t use.

Sacona is a fan of this approach, saying that a “quick fix is cutting back on unnecessary plugins and streamlining your site’s design to reduce the number of elements that need to load.” Removing extra apps is a great way to do this and requires relatively little explanation.

 

3. Eliminate pop-ups and lightboxes.

You likely want to avoid removing apps that you use on a regular basis. But if you’ve optimized your images and removed unnecessary apps, and you’re still running into load time issues, you might need to consider removing some marketing-related apps. Of those, the easiest thing to check for are slow-loading pop-ups and lightboxes.

“Don’t use big pop-ups. Pop-ups for cookie consent and signing up for newsletters can take a long time to load and be the most significant thing on the page,” says Pierre. If you use them, he advises that you “make sure the text or pictures in these pop-ups are small.”

4. Disable apps one by one.

If you are still having problems with loading time after optimizing images, removing old apps, and turning off pop-ups and lightboxes, you need to go a bit further. At this point, we recommend that you start disabling apps one by one and seeing how each removal affects performance. Odds are, you’ll find at least one app is tanking your load time and it’s only by disabling them one by one that you’ll be sure which one it is.

5. Toggle your lazy loader settings.

Lazy loaders cause images to load only when they are needed. For the most part, lazy loading helps a lot with site performance and Shopify’s Dawn theme enables it by default.

But sometimes, lazy loading has problems and you need to turn it off or on. This can get a bit technical, so here is a video that can walk you through the process of enabling and disabling lazy loading. It’s best to try both ways and see which one gets a better performance.

6. Make sure your CDN is working properly.

CDN is short for content delivery network. CDNs basically save a copy of your website’s files in various servers all over the world. When people load your website, the files come to them from servers that are located physically closer to them. That means the actual electronic information that moves in physical form through fiber optic cables doesn’t have to go as far.

This is nice, since Shopify’s development team has not figured out how to move data faster than the speed of light. Give them a couple of years, though, and we’re sure they’ll figure it out!

If you use Shopify to host your store, you are automatically using their CDN. For the most part, Shopify’s CDN is excellent and probably won’t give you any trouble. But if you can’t quite get the performance you need, here is a tutorial that will walk you through replacing the default CDN with one of your choosing.

7. Use a fast Shopify theme.

If you have followed the above steps and you are still running into issues, it’s possible that your theme is slowing down your website. We saved this tip for last because switching Shopify themes requires a lot of extra work and it’s not something you want to do lightly.

But if you do get to this point, Justin Christopher recommends that you “choose a theme for your Shopify store that makes fast loading a priority, and comes from a reputable developer. Quality themes include regular updates that include bug fixes and new features, as well as performance improvements.”

Bonus Tip: Don’t Forget About User Experience

This article has focused on technical fixes, and those are important. But don’t forget about things like ease of navigation and checkout. This dramatically affects perceived speed of the website, whether or not it loads in 300 milliseconds or not.

“One of the easiest wins to improve your conversion to check out process is to simplify the checkout experience for the user,” says Dan Korte of Riseabove Apparel. “I can not think of any more effective way to remove friction from your checkout experience, than offering a guest check-out setting with a streamlined check-out, and talented graphic presentation.”

That is to say, don’t forget to test how your site feels to use while you’re testing how long it takes to load.

Final Thoughts

A slow Shopify store doesn’t just frustrate customers—it costs you money. Every second of delay means fewer conversions and lower sales. If your store isn’t loading fast enough, you’re essentially turning away shoppers who are ready to buy.

Speed matters. It affects user experience, search engine rankings, and ultimately, your bottom line. With so many factors influencing loading times, you can’t afford to ignore the problem. Start with the basics: optimize images, remove unused apps, and choose a theme designed for performance.

Fixing a slow store takes effort, but it’s worth it. Follow these steps, track your progress, and watch your store’s performance improve. A faster site leads to happier customers and a more profitable business.

Navigating the complex world of subscription box order fulfillment may seem overwhelming. But with the right strategies and tools, order fulfillment processes can quickly become a subscription box business owner’s best friend.

Adopting advanced technology, streamlining your processes, fostering strong supply chain relationships, preparing for scalability, and keeping a pulse on emerging trends can turn fulfillment from a challenge into a competitive advantage.

Remember, a successful fulfillment process is more than just sending boxes—it’s about crafting a unique, satisfying customer experience that drives loyalty and growth. Your patrons aren’t just buying a box; they’re investing in a promise you make every month.

Let’s ensure you deliver on that promise perfectly every time.

Why Order Fulfillment is So Important in the Subscription Box Business

Order fulfillment is the heartbeat of any subscription box business. It is the series of steps that bridges the gap between a customer placing an order and receiving their curated box of goodies right at their doorstep. The process begins with managing inventory and extends through packaging, shipping, and delivery of the subscription boxes.

Fulfillment plays a vital role in shaping your customers’ experiences and, by extension, their loyalty to your subscription box service. A well-executed fulfillment process ensures that the orders are accurately packed, labeled, and promptly delivered.

In a business model that relies heavily on customer retention, your patrons will come to appreciate and expect the seamless service your business offers with each delivery. After all, remember that 87% of customers “are highly likely to shop again with an online store after a positive delivery experience.” Therefore, an effective fulfillment process significantly contributes to customer satisfaction and repeat business.

However, the importance of order fulfillment isn’t limited to creating positive experiences. It’s equally crucial in preventing negative ones. For example, 69% of consumers are “less likely to shop with your business if you fail to meet your delivery window.”

Mishaps in the fulfillment process, such as incorrect items, late deliveries, or damaged goods, can quickly tarnish your brand’s reputation. In addition, in today’s digitally connected age, customers are likely to share their dissatisfaction online, which can discourage potential subscribers. In the worst-case scenario, a poorly managed fulfillment process can lead to a high churn rate, impacting revenue and growth.

In a nutshell, the order fulfillment process isn’t just about getting boxes from point A to point B. It is about crafting a positive experience that encourages your customers to maintain their subscriptions and promotes the growth of your business. Doing it right can transform a one-time buyer into a long-term, loyal subscriber and, ultimately, become a key competitive advantage for your subscription box business.

Why Order Fulfillment is So HARD in the Subscription Box Business

The subscription box business is unique in its nature, and as such, it presents its own unique set of challenges in the realm of order fulfillment.

First off, customization complexities. A significant allure of subscription boxes is their personal touch, their ability to deliver surprises catered specifically to the customer’s tastes. However, this tailored experience means each box is unique, making the fulfillment process more intricate. It must cater to various preferences, sizes, and themes, complicating packing and inventory management.

Next, we encounter considerable swings in order volume at any given time. Some subscription boxes go out at certain times of the month, for example. Building routines and standard procedures around this feast-or-famine demand volume can be difficult.

Thirdly, inventory management. Predicting stock levels becomes a fine art with varying customer preferences and changing trends. You want to avoid being left with excess stock or a shortage that could lead to disappointed customers. Balancing this tightrope is no easy feat.

Then there are the more common logistical hurdles found in any eCommerce business. Delivery accuracy and speed are vital in any e-commerce business, and subscription boxes are no different. Ensuring that each unique box reaches the right customer in the right place and time is a significant challenge.

On top of all this, there are the unique struggles of scaling up. As your business grows, so do your challenges. More customers mean more boxes, deliveries, and opportunities for things to go wrong. Maintaining the same level of quality and efficiency during expansion can be a herculean task.

How To Handle Order Fulfillment For Your Subscription Box Business

Understanding and overcoming these challenges might seem intimidating. However, proven strategies and tools can make order fulfillment more manageable and efficient for your subscription box business.

1. Use the latest technology for inventory management and order tracking.

Adopting advanced technological tools can make navigating the complexities of a subscription box business significantly easier. This is particularly true when managing inventory and tracking orders—two core components of your operation.

Consider utilizing cloud-based inventory management systems such as Zoho Inventory or Quickbooks Commerce. These platforms provide real-time updates on stock levels, track the movement of items across various locations, and even manage reordering processes. They use powerful analytics to anticipate future stock needs based on past patterns, helping to prevent overstocking or understocking issues that could impact your bottom line and customer satisfaction.

Order tracking is another area that benefits immensely from technological advancements. Tools like ShipStation or EasyShip offer end-to-end tracking solutions that update you on the whereabouts of your shipments and provide your customers with real-time delivery updates. This level of transparency can significantly improve the customer experience, allowing your subscribers to anticipate when they will receive their curated boxes.

In terms of automation, even simple technologies such as address validation can reduce the risk of human error. This results in fewer misdirected shipments, greater profit margins, and more time to spend on strategic initiatives that drive business growth.

2. Streamline processes for maximum efficiency.

Efficiency is the key to successful fulfillment operations, and streamlining your processes can significantly enhance this. Here’s how you can achieve it in your subscription box business.

Start by conducting a thorough analysis of your current processes. Tools like process flowcharts can help visualize every step, from inventory management to box delivery, and identify potential bottlenecks or wasteful activities.

Next, implement standard operating procedures (SOPs) for repetitive tasks such as box assembly and labeling. For instance, adopting an assembly line approach—where each team member is responsible for a specific task—can improve speed and reduce errors.

Finally, embrace the principle of continuous improvement. Regularly review your processes and make data-driven decisions for incremental enhancements. For example, if a particular supplier consistently causes delivery delays, it might be time to consider alternatives.

Remember, a streamlined operation results in faster delivery times, fewer errors, and higher customer satisfaction.

3. Foster relationships in the supply chain industry.

Building strong relationships within your supply chain is critical to the smooth operation of your subscription box business. These relationships encompass your suppliers, logistics providers, and even your delivery personnel.

With suppliers, open communication and mutual trust are paramount. Regularly share updates about your business, growth plans, and challenges. For example, if you anticipate a spike in demand during the holiday season, notifying your suppliers in advance can ensure they’re prepared to meet your increased needs.

Also, consider partnering with logistics providers who specialize in subscription box services. Companies such as Fulfillrite are familiar with the unique needs of this business model and can offer invaluable support and expertise.

4. Prepare for scalability.

As your subscription box business expands, it’s vital to prepare your fulfillment operations for scalability. Anticipating future needs can ensure a smooth transition during periods of rapid growth.

Consider your storage needs. As your customer base grows, you may need to hold more inventory. If you choose to manage orders on your own, warehouse management systems like Logiwa can help optimize your warehouse space and track inventory across multiple locations.

As your operations expand, consider outsourcing fulfillment to a third-party logistics provider (3PL). By their nature, 3PLs specialize in handling increased order volumes, freeing up your time to focus on core business strategies.

Finally, regularly revisit your scalability plan. As your business evolves, so should your strategies to ensure continuous growth and success.

5. Be aware of emerging trends and technologies in fulfillment.

Staying abreast of emerging trends and technologies in fulfillment can give your subscription box business a competitive edge. You may want to select a fulfillment partner with a forward-thinking philosophy toward implementing new technology.

Regardless of whether you ship on your own or with a partner, though, here are a few promising technologies to watch out for:

Artificial Intelligence (AI) and Machine Learning (ML) are revolutionizing inventory management and demand forecasting. AI-driven tools like EazyStock can predict future inventory needs based on past data and patterns, helping you avoid overstocking or stockouts.

Automation in warehousing, including the use of robots for picking and packing, can increase efficiency and accuracy. Companies like Amazon are already leveraging this technology.

Drones and autonomous vehicles for delivery are gaining momentum. Though not widespread yet, keeping an eye on this trend could position your business ahead when it becomes mainstream.

Blockchain technology, despite its primary association with cryptocurrency, can also be used for tracking shipments in a way that improves transparency and security in the supply chain. For instance, IBM’s Food Trust uses blockchain to track food products from farm to consumer.

Invest time in understanding these trends and consider their potential benefits for your business. Being an early adopter could pay dividends in the long run.

Final Thoughts

Successfully managing order fulfillment for your subscription box business is complex. It involves juggling customization intricacies, dealing with order volume surges, optimizing inventory, overcoming logistics hurdles, and preparing for scalability. However, with the right strategies in place and by harnessing the power of the latest technology, these challenges can transform into opportunities for growth.

Streamlining your processes, fostering strong supply chain relationships, planning for scalability, and staying ahead of emerging trends can significantly enhance your fulfillment operations. Remember, at the heart of it all, your goal is consistently providing an excellent customer experience. Ultimately, this will drive customer loyalty, foster retention, and contribute to your business’s long-term success.

FAQ

Should I handle fulfillment in-house or outsource to a 3PL?

Start in-house if you’re shipping fewer than 500 boxes per month and have adequate storage space. Beyond that volume, consider a 3PL specializing in subscription boxes. They understand the unique challenges of customization, irregular shipping schedules, and seasonal spikes that subscription businesses face.

How do I handle inventory for seasonal or limited-edition items?

Use demand forecasting tools based on historical data and subscriber preferences. For limited editions, consider pre-orders or waitlists to gauge demand. Always maintain a small buffer stock for popular items, but avoid overordering seasonal products that may become obsolete.

What’s the best way to manage customization at scale?

Implement customer preference profiles in your system and use automated picking software that can handle multiple SKU combinations per order. Some 3PLs offer kitting services where they pre-assemble customized combinations based on subscriber data you provide.

How can I reduce shipping costs for subscription boxes?

Negotiate volume discounts with carriers, optimize box sizes to reduce dimensional weight charges, and consider regional fulfillment centers to reduce shipping distances. Some subscription businesses also offer shipping upgrades as paid add-ons to offset premium delivery costs.

What happens when subscribers change their address mid-cycle?

Implement address change cutoff dates (typically 3-5 days before shipping) and clearly communicate these to subscribers. Use address validation software to catch errors early and maintain updated subscriber databases with automated sync between your subscription platform and fulfillment system.

How do I handle damaged or missing items in subscription boxes?

Establish clear policies for replacements and refunds. Track damage rates by carrier and packaging type to identify improvement opportunities. Many subscription businesses maintain emergency inventory specifically for replacements to avoid disappointing long-term subscribers.

Manufacturing is at the heart of many businesses. Whether you’re making kitschy Etsy crafts or Silicon Valley high tech devices, the manufacturing process will be a huge part of your success. It is, after all, where your products are turned into physical reality. This is true whether you’re making something with massive machinery or with your own two hands.

Even as early as the manufacturing stage, you need to be thinking about logistics. You can optimize and tweak the supply chain after a product is created, it’s true. Yet there are few opportunities where simple smart decisions can make such a massive impact quite like what we’re about to talk about.

#1: Don’t start manufacturing until you know your numbers.

Once you start manufacturing, you cross a threshold where you can’t easily turn back. That’s because manufacturing necessarily implies tying up a bunch of cash flow and waiting until the run is complete before you have inventory ready to sell.

This is why eCommerce operators like Dan Korte of Riseabove Apparel insist that “before abandoning the prototype stage and heading off for manufacturing, entrepreneurs should know the minimum order quantities, lead time, and quality control considerations, so that they do not make irreversible mistakes, have excess costs, or miss customer expectations.”

Paul Ferrara, Senior Wealth Counselor at Avenue Investment, has similar thoughts. He says that “cost modeling based on volume is usually omitted by entrepreneurs who go through from prototype to manufacturing.” To illustrate his point, he uses the example of “a product that costs $25 each in small batches could reduce to $10 at 10,000 units but would need $90,000 to equip the tools. The capital cost cannot be covered by firm orders or prepayments and this has the effect of straining cash and delayed breakeven.”

In short, don’t commit to manufacturing before you completely understand what you’re getting into.

#2: Reduce item weight to reduce postage cost.

Nothing tips the scales on price like weight. At least, this is true for the supply chain process. Whether you transport cargo by air, sea, rail, or road, you will be billed by weight. Not all means of transportation are equal when it comes to price, time, or quality of service, but this rule remains the same.

Once your inventory arrives at a warehouse, you’re not out of the woods. Not by a long shot! Indeed, whether you store goods in your own warehouse or use a third-party service like Fulfillrite, order fulfillment costs are driven by weight as well. When you send goods through a carrier like UPS, USPS, FedEx, or DHL, they will always ask you the same question. “How much does it weigh?” Weight will drive cost there, too.

At the manufacturing level, you have the ability to dramatically cut costs. The difference between a 4.5-pound product and a 5-pound product is huge. For bulk shipments in freight, you can pay a lot less because your 5,000-unit shipment of products weighs 10% less than it otherwise would have. Once it’s time to fill orders, you’ll save once more on postage costs.

In short, even at the manufacturing stage, you need to ask yourself: “how do I make this shipment as light as possible?”

#3. Reduce item size as another way to reduce postage cost.

Packing cargo for transportation is a giant game of Jenga. Individual items are packaged after manufacturing, usually in boxes. Those boxes are then put into master containers. The master containers are then loaded into standard-sized shipping containers. We’re referring to the big 20-foot metal containers, as well as containers better suited for different modes of transport. The larger your product is in terms of volume, the more containers you will use, and the higher your bill will be.

Again, it doesn’t stop there. Carriers like UPS, USPS, FedEx, and DHL are also playing cargo Jenga. The more room you take up on their trucks and planes, the higher the postage costs will be. This is unavoidable no matter how you choose to fulfill orders.

Once again, subtle differences made at the manufacturing level can go a long way. A product whose longest dimension is 7 inches will cost more to ship than a product whose longest dimension is 5 inches. Some people even design products around the size of USPS flat rate mailer boxes. That’s how big of a factor physical size is when shipping.

#4. Book cost-efficient transportation.

One of the biggest trade-offs in supply chain management is time vs. cost. You can air ship goods from anywhere in the world far faster than sea shipping, but it costs a lot more. Likewise, sea shipping can take two months or more, but the cost is very low compared to everything else.

Why does this matter when manufacturing goods? It’s simple: where you manufacture goods determines transportation cost. Many businesses like to use landed cost to evaluate different manufacturing and shipment solutions. The landed cost includes the original price of the product, transportation fees (both inland and ocean), customs, duties, taxes, new 2025 tariffs, insurance, currency conversion, crating, handling, and payment fees.

Tariffs, especially those recently expanded in 2025 on key imports from China, can drastically raise landed costs. Be sure to research whether your product category—such as electronics, EV-related parts, or metal components—is affected. If it is, consider sourcing from alternative countries or reshoring production when feasible.

Or, put more plainly, it may be cheaper to have goods manufactured near you. The labor costs may be higher, but you avoid excessive transportation fees and customs.

The ways to transport goods are as follows, from cheapest and slowest to the most expensive and fastest:

  • Sea shipping
  • Rail shipping
  • Truck shipping (less-than-truckload or full truckload)
  • Air shipping

Which transportation method or methods you choose for your business depends on how long you can wait, how far your goods have to go, and what you’re willing to spend. Imagining the entire process of shipping from start to finish may decide where manufacturing takes place.

#5. Comply with all regulations.

Nothing can break an otherwise efficient supply chain quite like exports and imports. Let’s be completely clear about this: if you are not following all laws and regulations for your industry, your shipments will be delayed. At the manufacturing stage, the single best thing you can do from a logistics standpoint is to obey the law.

It sounds unbelievably obvious when stated like that, but the implications are more complicated. If you’re not sure where to start, find out the tariff code for your product. Then figure out applicable regulations from there.

Another piece of the puzzle that can derail an otherwise cost-efficient supply chain would be customs fees. Based on your tariff code, customs fees or taxes may be levied upon your inventory. You have to pay those fees one way or another. Sometimes your supplier will pick up the tab and then bill you for it later. Other times, you have to pay a freight forwarder or a customs broker. It depends on the specifics of your situation.

In 2025, tariff rates on goods from some countries—especially China—have increased significantly in certain categories. Reviewing updated Harmonized System (HS) codes and cross-checking against current tariff schedules is critical before choosing a supplier.

The point is that customs fees need to be baked into your cost estimates. It may even make it more sensible to commence manufacturing within the borders of your own country. As tariff structures shift, manufacturers in countries like Vietnam, Mexico, and India have become more attractive for U.S. importers. Consider whether diversifying suppliers could reduce your customs burden.

#6. Label your products for warehouse use.

Scannable bar codes are the backbone of order fulfillment. There’s a reason why nearly every product you purchase has one of these labels on them. Items must be uniquely identified, and bar codes – which are nothing more than a series of numbers represented by bars and spaces – help all sorts of companies do this. These companies range from distributors to retailers to order fulfillment services like Fulfillrite.

Each individual item must have a scannable bar code. That means you need to buy a bar code from either the GS1 or a reputable bar code reseller. Your packaging or, in some cases, the item itself needs to include the bar code. The bar code must also be large enough to be useable, which is at least 1.175 inches wide and 0.816 inches tall (for the commonly used UPC-A codes).

Why is this relevant during manufacturing? The reason is simple: it’s far easier to get this right early than to pay a company to apply labels later. At Fulfillrite, for example, we charge $0.39 per item to affix labels. This can be a lifesaver if you’ve made a critical mistake, but it can add up quickly. It’s an expense most business owners would rather avoid.

#7. Outsource fulfillment to a third party.

Fulfillrite is an order fulfillment company. We warehouse your inventory, fill orders, and generally make your day better. In fact, we had a whole post recently that explains how we and our peers can make running your business a lot easier.

If you decide to take the plunge and use Fulfillrite or a similar company’s fulfillment services, you naturally want to get the best bang for your buck. How can you do that? Turns out there are a lot of ways, many of which happen at the manufacturing level.

As we had mentioned above, you want to make your items as small and lightweight as possible. Naturally, you’ll also want to apply bar codes correctly. Avoid using hazardous materials, if at all possible.

This last point is especially valuable: if items are sold as a set, manufacture them as a set in a single box. It is possible for a fulfillment company to bundle common items into a single package to send to a customer. This is called kitting and the process is labor-intensive. If you manufacture sets of items to be stored in a single box, you’re basically kitting items without having a fulfillment company do the kitting for you. It’s not always feasible, but when it is, it’s a big money saver.

Final Thoughts on Manufacturing & Logistics

Even at the earliest stages of making a product, you need to be thinking about logistics. All products which are created must be stored, transported, and sent to customers. A little bit of forethought can make this process smooth and cost-effective.

This won’t just save you money on the margins. An effective supply chain, especially one backed up by companies like Fulfillrite, can become a major competitive advantage for your business. Keep your items light, compact, legal, labeled, and ready to ship. You’ll be glad you did!

Shipping your own orders gets old fast. But finding the right eCommerce fulfillment partner to take care of it is a tough decision and one you want to make properly.

Picking the right eCommerce order fulfillment partner (3PL) can save you time, money, and energy. That way, you can focus on growing your business because you’re not the one putting every box in the mail.

But if you pick the wrong one, shipments might get lost and customers might get angry. You might end up paying bills and not entirely understanding why.

It’s complicated. So to help you pick the right eCommerce fulfillment partner – and tell when it’s the right time to be thinking about this in the first place – we’ve put together this guide.

Step 1: Make sure you need eCommerce order fulfillment.

Before hunting for an eCommerce fulfillment partner, make sure your business genuinely needs one. Hiring help with fulfillment can streamline your operations by cutting down on the time spent shipping orders. But it’s also one of the most important business decisions you will make, and it’s not something you want to do lightly or at the wrong time.

Here are six surefire signs you need help. Even a single yes means it’s time to consider hiring an order fulfillment center.

#1: Your customer base is growing faster than you can keep up.

A rapidly growing customer base is a fantastic problem, but it’s still a problem! Having too many customers can overwhelm your ability to fulfill orders.

To scale your business effectively, you must manage increased demand without sacrificing quality. Third-party logistics (3PL) companies can help by taking over the fulfillment process. This will allow you to focus on other growth areas.

According to Chris Matthews from Zatu Fulfilment in the UK, “as your orders start to increase, you may find more and more of the time that should be spent on growing your business is taken up with shipping out orders. You may be finding that your inbox is swamped with shipping queries and return requests. These are signs it is time to speak with a 3PL.”

#2: Order fulfillment is becoming slow or inaccurate.

When order volumes spike unexpectedly, delays and mistakes often follow. Slow or inaccurate fulfillment frustrates customers and tarnishes your reputation.

Partnering with a 3PL can ensure orders go out on-time, intact, and to the right addresses. That helps cut down on customer complaints and boosts repeat business.

#3: Your employees are working too much.

Overworking employees to meet order fulfillment demands is unsustainable, increasing labor costs and leading to burnout, which negatively affects productivity and morale. Outsourcing to a 3PL can relieve this pressure, providing additional resources to handle peak times without overburdening your team.

#4: Your business is becoming really complex.

As your business grows, so does its complexity. Managing multiple sales channels, inventory locations, and shipping options can become overwhelming. A 3PL partner can streamline these operations, offering integrated solutions to keep everything running smoothly.

#5: Shipping is chipping away at your profits.

High shipping costs can eat into your profits and deter customers. A 3PL can leverage its network and negotiating power to secure better shipping rates, reducing costs and improving your bottom line.

Be mindful that tariffs and customs duties can drive up landed costs. Fulfillment partners who can assist with customs paperwork or who are located near major ports of entry may help reduce these costs.

#6: You have run out of space.

Running out of storage space can limit your growth potential. Partnering with a 3PL provides access to their warehousing facilities, allowing you to scale without investing in additional infrastructure.

That means you don’t have to spend money paying for a storage unit!

Step 2: Decide how many warehouses you need.

Deciding you need a 3PL in the first place is an important step. The next important step before even making calls is to decide how much help you need.

If your store barely exceeds 100 orders per month, one warehouse might suffice for a lean, straightforward operation. No need to overcomplicate things by building a much larger network.

Centralizing inventory in one location simplifies bulk shipping and reduces costs. When issues come up with order fulfillment, that also means you have a single point of contact.

However, if you’re handling a high volume of orders, you might need multiple warehouses. That could mean having several within a country or even warehouses spread across the globe. The key is to make sure you have enough order volume at each location to justify the cost.

Having too few warehouses can slow shipping and hike costs, especially for long-distance or international deliveries. But the opposite is true as well. Too many warehouses can lead to soaring freight, storage, and overhead expenses.

You need to do a meticulous cost-benefit analysis before you sign any papers. If multiple warehouses are necessary, you have two options: either find a fulfillment partner with multiple suitable locations or partner with several fulfillment centers. In the latter case, managing all warehouses and inventory efficiently requires robust inventory management software like NetSuite, ChannelApe, Skubana, or QuickBooks Commerce.

“Look at where your target audience is and cater to their needs,” says Chris Matthews with Zatu Fulfillment. “If you are finding you have a high cart abandonment rate for one region compared to another, chances are they are looking for region friendly shipping options. In an age of next day shipping, customers don’t want to have to wait for orders to be processed and sent across the Atlantic.”

Step 3: Review service offerings.

Before reaching out to warehouses, you need to figure out what services you need. Sure, there are plenty of fulfillment partners for small, lightweight, eCommerce items.

However, if your inventory includes hazardous materials, fragile goods, perishables, or items needing refrigeration, you’ll need to dig deeper. For stores with a high SKU-to-order ratio, such as apparel companies with diverse sizes and colors, a specialized partner can make a world of difference.

Look for fulfillment partners adept in handling your particular type of products.

Also, think about value-added services. Many fulfillment partners offer extras like kitting and assembly, customization and personalization, and even refurbishment services. If these are crucial to your business model, be sure your chosen partner can meet these needs.

Some fulfillment partners even specialize in simplifying international returns, which can help reduce costs and friction if you sell heavily into the EU, UK, or Australia.

Step 4: Carefully narrow down your choices.

Please Note: The information in this section comes directly from Will Schneider at Warehousing & Fulfillment. He runs a company that specializes in matching fulfillment centers, like ours, with sellers who need help shipping.

What you read in this section was previously part of a guest post, which we’ve bundled into this post for your convenience.

Make no mistake about it – your choice of order fulfillment provider is a make-or-break decision.

Unfortunately, most companies make a huge mistake when vetting fulfillment providers: they put the emphasis on product and service specialization, technology integrations, and location rather than some of the more important selection criteria.

This is an understandable first instinct, as it’s certainly important to make sure a fulfillment company will be able to perform the required tasks in a suitable location.

However, not only do most fulfillment companies in the current landscape perform a comprehensive set of services and integrate with numerous technology platforms, but there are also some more critical things that need to be investigated to make the right choice. Simply put, these more common selection criteria are not always reliable indicators of the order fulfillment provider that best fits your business needs.

Of course, investigating compatibility in terms of product and service specialization, technology capabilities, and location are not without value. But more pertinent factors foretell whether a fulfillment company is worth the cost. Here is a comprehensive list of things to look for in a 3PL provider.

Key Factor #1: The Right Quality of Service

A high-performing fulfillment provider is easy to identify if you know a few things to look for. The following key concepts will point you in the right direction and help you eliminate the wrong companies from your shortlist.

Guaranteed Performance with Accountability

A 3PL company must be able to operate at a high level, and when they do make mistakes, they must take accountability for errors. Unfortunately, many companies will tell you anything you want to hear – assuring you that they will perform high-quality work and rarely ever drop the ball.

But how do you know if their promises will be kept?

The easiest way to gauge whether a fulfillment provider is trustworthy is to go straight to their contract or agreement. Reliable companies have SLAs (service level agreements) and are willing to include performance guarantees in their contractual agreements with customers. Unreliable companies who don’t take ownership of mistakes will have agreements that “pass the buck” and avoid any penalties for lack of performance.

3PLs that provide performance guarantees will include the following in their contracts:

  • Specific performance guarantees that they will meet, including the timeframe to receive goods into their warehouse, inventory accuracy, order accuracy, and sometimes even shipping accuracy.
  • Remedies for lack of performance, such as reimbursement for mis-shipments and lost inventory over an acceptable level, will be noted as well.

Performance is the foundation of a healthy 3PL relationship, and the right 3PL will have a pathway to measuring and being accountable for performance. Any service you consider should guarantee performance rates through a contractual agreement.

Key Factor #2: Regular and Consistent KPI Measurement

The fulfillment provider should measure Key Performance Indicators (KPIs) – and this is non-negotiable. KPIs track progress against specific targets set by your contract. KPIs often concern quality, costs, speed, efficiency, resource utilization, or personnel compliance.

It’s one thing to list KPIs in the agreement, but it’s altogether different to have codified processes and technologies that enable the measurement of them. A reliable fulfillment company will have documented processes and procedures for every task performed in the warehouse, and online reports will be available to view results on a daily, weekly, monthly, and yearly basis.

Take inventory management, for example. Operating with a low percentage of inventory loss (lost or damaged product) requires:

  • Having a thorough receiving process to ensure products are counted correctly, entered in the system correctly, and placed in the proper area within the warehouse
  • Performing routine inventory counts, whether cycle counts or yearly counts, to ensure no mistakes are uncovered
  • Executing a near flawless order picking strategy, so that incorrect items or quantities aren’t picked
  • Providing a robust set of reports for staff, management, and customers to view in real-time

All these things combined will result in a low level of errors. It won’t guarantee perfection, as no fulfillment company is perfect, but it will ensure proper levels of performance.

So how do you know if a provider meets the mark in this area? Simple…ask for the processes and procedures manual and/or ask for a demo of their technology system and reporting. If a company doesn’t have these key components, you may want to drop them from your short list of options.

One other important note about KPIs – the best order fulfillment providers hold regular meetings with your business about KPIs. A reliable line of communication ensures that fulfillment companies are accountable for results and that they are being proactive instead of reactive. High-performing fulfillment providers will have monthly meetings or at least quarterly meetings to discuss performance.

Key Factor #3: Positive and Truthful Customer Reviews

The hallmark of quality service is positive feedback. Search for reviews and ratings of the fulfillment provider on the internet – this will give you a glimpse into their performance.

The overall quality of the reviews is more telling than the number. Pay attention to what clients say about the order fulfillment company. Then pretend you’re the client. Would you be satisfied with its performance? Do its practices encourage customers to shop for your product again? Or do its practices deter customers?

Key Factor #4: A Culture of Honesty and Integrity

A quality 3PL provider emphasizes its honest business practices. You can gain tremendous insights into an operation by the types of deals they strike and the transparency of their overall operations and relationships.

Be Wary of Back-Door Deals and Middlemen

The fulfillment provider should dissuade back-door deals that negatively impact your pricing – and they should champion your best interest. Without these measures, the relationship is built on a foundation of secrecy and lack of transparency, and you may pay more for your fulfillment services than needed.

Sometimes, providers strike deals with brokers or middlemen to increase their earnings. It’s not to say that every brokered deal is inherently bad, but they are extremely challenging and oftentimes harmful to you, the client. Unfortunately, by inserting another party, these providers most likely add an additional layer of costs to your business.

There are a few matchmaking services that are legit, matching you to the best fulfillment companies and only charging a small fee for the connection that does not in any way impact your pricing. But unfortunately, most lead generation companies, ‘top list’ websites, brokers, or fulfillment marketplaces take a cut of the deal anytime they refer your business to the fulfillment company. When commissions are involved, it’s far too easy to “play favorites” and pass deals to the companies that pay the highest dollar for referrals. This leads to extremely biased matches and should be avoided.

At the end of the day – be careful who you trust. Your fulfillment provider should be completely open with you about the structure of your deal. After all, if they can’t be honest with you about this important component, can you trust them fully with your inventory?

Key Factor #5: Best Match for Size of Operations

Another relevant factor is the size of the order fulfillment service. In many cases: small 3PL providers best match with smaller businesses, and larger 3PL providers best align with larger companies. A single provider usually cannot serve all business sizes equally.

The search engines make this type of analysis extremely difficult, because most of the top results are filled with larger 3PL providers. If you find yourself in the boat of startup operations and/or lower order volumes, keep searching past the first few pages of results and keep an open mind for single-location and smaller fulfillment providers, as they will likely offer the best overall pricing and terms.

Other Factors That are Important to You

Based on personal preferences, other factors may rank high to you. These factors are not the same for every business.

Perhaps it’s important to you that the fulfillment provider is close in physical proximity to your business. In that case, make it a priority to evaluate fulfillment companies on their locations. It might make economic sense to choose the fulfillment provider nearest to you.

In another example, you could prioritize the “personal fit” of the staff at the fulfillment facility. If you want to feel at ease around the personnel, choose the facility with that in mind.

Other businesses prefer a facility that matches their company style. Perhaps an eco-friendly business seeks facilities that reduce their carbon footprint or use recycled material.

Therefore, prioritize any important “other” factors that are most important to you before conducting your search.

Step 5: Request quotes.

Once you’ve shortlisted a few promising fulfillment partners, it’s time to request quotes. This part is simple.

But how these companies handle pricing? Not so much.

There are four main fee types:

  1. Pick-and-pack
  2. Postage
  3. Account and storage
  4. Value-added services

Pick-and-pack covers warehouse labor, while postage depends on package weight, destination, and speed. Both are applied on a per-order basis.

Then there’s account fees and storage fees. Account fees vary widely by company but are usually low. Storage fees depend on your inventory volume.

Value-added services like kitting, assembly, and refurbishment are typically priced on a per-project basis. This is because there is a lot of manual labor involved.

When reviewing quotes, forecast your sales volume and potential need for value-added services.

Use the quotes to estimate your total cost. The cheapest option isn’t always best, but the overall cost should be competitive.

Final Thoughts

Choosing an eCommerce fulfillment partner is a strategic move. If you pick the right one, you can more efficiently fill orders and keep customers happy. You’ll save a ton of time and possibly some money too.

It’s not an easy decision to make and it’s one you need to be careful about. You need to consider service quality, reviews, communication, transparency, and a number of other factors. But if you do your due diligence, you can find the right partner.

Having a good relationship with a 3PL makes it much easier to run an order-based business. That’s why so many companies call their 3PLs an “eCommerce fulfillment partner.” Because that’s what they are – key partners in keeping the business running!

FAQ

How much does 3PL fulfillment typically cost?

Costs vary widely based on order volume, product size, and services needed. Expect to pay $2-3 per order for pick-and-pack, plus actual shipping costs and monthly storage fees (typically $0.50-2.00 per cubic foot). Account setup fees range from $0-500. Always request detailed quotes from multiple providers to compare total costs.

How long does it take to switch to a 3PL?

Implementation typically takes 4-8 weeks. This includes contract negotiations, system integrations, inventory transfers, and testing. Complex businesses with multiple sales channels or special requirements may take longer. Plan ahead and avoid switching during peak seasons.

What happens if my 3PL makes mistakes?

Reputable 3PLs include performance guarantees in their contracts, covering mis-shipments, inventory losses, and accuracy rates. They should provide service level agreements (SLAs) with specific remedies for errors, such as reimbursement for lost items or expedited replacement shipments.

Can I use multiple 3PLs simultaneously?

Yes, many businesses use different 3PLs for different regions or product types. However, this requires robust inventory management software and adds complexity to operations. Start with one provider and expand strategically as your business grows.

How do I handle returns with a 3PL?

Most 3PLs offer returns processing services, including inspection, restocking, and refurbishment. Discuss return policies upfront and ensure your 3PL can handle your specific return requirements. Some specialize in international returns processing, which can be valuable for global businesses.

What if I outgrow my 3PL?

Choose 3PLs that can scale with your business. Ask about their capacity limits, expansion capabilities, and what happens if you exceed their capacity. Many 3PLs have multiple facilities or partnerships that allow for growth without switching providers.

Scaling your eCommerce store is no small feat—and who better to guide the way than those who’ve done it themselves? We reached out to a variety of experienced eCommerce experts to find the strategies that work in the real world.

In this article, we share their insights, drawn from real-world experience. Then we turn their thoughts into clear steps you can follow so you can scale efficiently and sustainably.

This guide covers everything from streamlining operations to fostering long-term customer loyalty. Along the way, we’ll also talk about important metrics you can watch so you can make smarter decisions.

Whether you’re trying to optimize a successful business or grow your brand into something much bigger, this advice can help you as you grow.

How do I make eCommerce scalable?

Scaling an eCommerce store means you have to think like a civil engineer. Let’s say you’re building a skyscraper. You know that if the foundation isn’t rock-solid, everything is going to end up being unstable under the weight of every extra pound of girders and beams.

That means your goal is to create systems that grow with your business. That means streamlined operations, efficient logistics, and scalable technology.

Try to scale without these, and you’ll find that scaling just means multiplying problems. Efficiency is the name of the game.

Below are specific steps to make eCommerce scalable, broken down into actionable tips.

1. Tighten your backend systems.

Matthew Engelage, founder of Chin Mounts, emphasizes that “scaling a broken system just increases frustration.” Your inventory management, shipping processes, and customer support need to operate seamlessly. Without these foundations, every new order risks becoming a headache. He also warns to “keep an eye on your margins. Growing quickly doesn’t mean much if you’re not profitable.”

Tip: Either use software or make better use of existing software to manage your inventory and order fulfillment. The less manual work involved, the more room you have to grow.

2. Find your bottlenecks.

“Scaling effectively is all about efficiency,” says David Taylor, founder of Academized.com. Take time to analyze where your business slows down. Is your team underperforming? Is your customer acquisition cost (CAC) unsustainable?

Put another way, you need to focus on “solving the right problem in the right way,” to borrow words from Olivia Tapper, Co-founder & COO of PetPortraits.com.

Or if you prefer this put even more starkly, Michael Alexander, Managing Director of Tangible Digital says that “I have noticed that the largest mistake made by companies when scaling is to get lost between momentum and a real progress. Growth is very exciting initially, but when the processes involved in it might not be able to maintain the pace, the situation collapses. Not scaled is not growth, but merely a weakness preparing to manifest itself. Authentic success must be anchored on the ground that will be in a position to handle the existing wins, not to mention the battles of tomorrow.”

“Excessive growth and scaling on a thin margin regularly ruins the cash flow,” warns Paul Ferrara, Senior Wealth Counselor at Avenue Investment. “The increase in stock of 1,000 to 10,000 units a month may hold $250,000 in stock yet the revenue will be stuck in receivables. These liquidity crunches are prevented through the linking of inventory growth to the available working capital and credit terms of suppliers.”

Tip: Review your figures, not just your feelings. Taking a hard look at your key business data will help you find the actual underlying issues that are holding you back the most, whether they’re in your marketing, pricing strategy, or operations.

3. Build the right team.

At the heart of operations is people. “If they’re not performing, their role and contribution might be unclear,” says Tapper.

Keeping underperformers for too long can drag down growth. Instead, invest in talent aligned with your values and goals.

Tip: With any new hires you make, follow a checklist that you develop before interviewing begins. That way you have a better chance of making sure every role contributes directly to scalability.

4. Automate and optimize.

“Focus on automating like a pro,” advises Kumar Vaibhav Tanwar, Founder of Clickworthy Digital Marketing. Automation is your best friend when scaling. Tools for inventory, customer relationship management, and order processing will help you cut down on manual errors and free up time.

Muhammad Imran Khan of Brand Ignite highlights platforms like Shopify Plus for their scalability, stating that “improving website performance and user experience ensures that increased traffic can be managed without hiccups.”

Tip: Use platforms that grow with you. Automate repetitive tasks to handle higher volumes without sacrificing quality.

5. Strengthen supplier relationships.

Strong supplier relationships are critical, says Brandon Hartman of BeyWarehouse. “Ensuring that you have a great working and professional relationship with the suppliers you work with means that you can expect consistent high-quality items and timely delivery.”

The opposite is also true: a rocky supply chain can derail growth.

Tip: Treat suppliers like partners. Clear communication and reliability build the trust needed for scaling.

6. Master financial planning.

Andy Gartland of Fitstraps UK stresses the importance of managing overhead costs during growth. “Think new employees, expanded warehousing, and fulfillment costs. Always make double sure that these costs are factored into your scaling plan to avoid unsustainable growth.”

Tip: Track media spend efficiency holistically, not just through platform metrics. Make sure every dollar works toward sustainable revenue growth.

7. Scale marketing effectively.

Before you spend a lot of time and money building systems to scale, you need to have compelling reasons to believe your marketing systems can help you bring in leads. Otherwise, you risk ballooning operating costs and not having the revenues to make up for it.

Tapper highlights the importance of understanding your customer acquisition costs and lifetime value (LTV). “What’s your ratio between LTV and CAC? Understand if you can scale the current ads or need to improve the marketing.”

Tip: Benchmark your CAC against industry standards. Test higher price points or adjust marketing strategies to maximize ROI.

8. Optimize customer experience.

Brian Lim of iHeartRaves points out that “maintaining proper coordination between inventory, order service, and online customer service” is key to managing larger volumes without sacrificing satisfaction.

His logic makes perfect intuitive sense, too. If you win a bunch of new business and you find yourself unable to fill orders, process returns, or answer questions in a timely manner, that new business is not likely to stick around for long.

Tip: Streamline logistics and focus on a seamless customer journey. Use scalable tech to ensure consistency across every touchpoint.

What’s the formula for eCommerce business success?

The formula for success in eCommerce isn’t a one-size-fits-all recipe. Rather, it’s more useful to think of it like a balance of strategies tailored to your brand, customers, and goals.

At its core, success hinges on attracting the right audience, converting them into customers, and nurturing those relationships for the long term.

Combining sustainable channels like SEO and content marketing with high-intent strategies like paid ads and email campaigns will help you create a growth engine that’s both effective in the short run and adaptable in the long run.

Here’s how to build your formula for success.

1. Prioritize high-intent traffic.

“Focus on what brings in real customers, not just traffic,” says Matthew Engelage of Chin Mounts. He highlights the value of search ads, organic SEO, and email marketing. Social media might generate awareness, but higher intent platforms drive conversions. “Retargeting is also a must—remind people why they clicked in the first place.”

Tip: Focus ad spend on platforms where users actively search for products, like Google Ads, and combine it with retargeting campaigns to recapture interest.

2. Leverage the long-term power of SEO.

SEO is often overlooked by eCommerce businesses, but Olivia Tapper calls it the “[backbone traffic]” for sustainable growth. “When your potential customers are searching for your product or service, they find you]” SEO’s ROI grows over time as consistent investments lead to compounding results.

Tip: Conduct keyword research to target what customers are actively searching for. Optimize your site to rank higher, and let SEO reduce reliance on paid traffic.

3. Use content marketing to engage and educate.

“Creating engaging and educational content is a great way to bring in organic traffic,” says Brandon Hartman of BeyWarehouse. “Organic traffic is high-value traffic since these people [are likely searching] with intent to buy.”

Tip: Publish blog posts, tutorials, and product guides that answer customer questions and establish your brand as an authority in your niche.

4. Blend digital channels for sustainable growth.

David Taylor stresses the importance of combining “content your readers will like, SEO to boost your visibility, personalized targeted ads, and automated email campaigns.”

Muhammad Imran Khan echoes this sentiment, suggesting a mix of SEO, content, and paid campaigns, complemented by “retargeting ads and personalized product recommendations.”

Tip: Use SEO for organic visibility, email campaigns for retention, and paid ads for instant results. Layer retargeting ads and product recommendations to boost ROI.

5. Build trust with user-generated content and influencers.

For brands in beauty and personal care, Khan has seen “influencer partnerships and UGC” build trust and engagement. “It’s been a game-changer for the brands I’ve worked with.”

Tip: Encourage customers to share reviews and photos of your products on social media. Partner with influencers who resonate with your target audience for added credibility.

6. Diversify your acquisition strategies.

Andy Gartland recommends a “balanced mix between many channels” to scale effectively. “Google Ads provides high-intent traffic, SEO reduces reliance on paid channels, and email marketing helps retain customers longer.” Social media ads on Meta and TikTok drive retargeting and keep the brand top-of-mind.

Tip: Avoid over-reliance on any single channel. Use a combination of Google Ads, SEO, email, and social media for a more resilient growth strategy.

7. Balance acquisition and retention.

Brian Lim reminds us to “balance acquisition efforts with nurturing existing customers for steady growth.” Retaining loyal customers is often more cost-effective than constantly finding new ones.

Tip: Use automated email flows to keep customers engaged post-purchase. Personalized campaigns can upsell, cross-sell, or simply remind them of their next purchase.

8. Test, measure, and refine.

No formula is perfect out of the gate. “Think holistically,” says Gartland, “[because] in-platform metrics tend to be inflated.” Reviewing data from all campaigns will help you make sure your approach stays efficient.

Tip: Regularly audit your marketing efforts to identify what works best. Adjust ad spend, refine content strategies, and experiment with new tools to improve results.

What’s a good eCommerce conversion rate? And what other KPIs should I be tracking?

Scaling your eCommerce store is not just about growth—it’s about sustainable growth. To make smart decisions, you need to rely on certain specific key metrics that provide meaningful information about the health of your business.

Metrics like customer acquisition cost (CAC), lifetime value (LTV), and conversion rates reveal whether you’re attracting the right customers and converting them profitably. These metrics, paired with insights like cart abandonment rates and average order value (AOV), form the foundation of a data-driven approach to scaling.

1. Lifetime value (LTV) vs. customer acquisition cost (CAC).

The relationship between LTV and CAC is a cornerstone of scaling decisions. “If LTV is at least 3x your CAC, you’re on the right path to sustainable scaling,” says Oun Art, Founder & Chief Link Strategist at LinkEmpire.io.

“If CAC is creeping up and LTV isn’t keeping pace, you’ve got a problem,” warns Matthew Engelage. Increasing LTV ensures long-term profitability, even as you grow.

Tip: To increase LTV, focus on upselling, cross-selling, and building loyalty programs. Reduce CAC by targeting high-intent customers through optimized marketing strategies like retargeting and SEO.

2. Conversion rate optimization.

Your conversion rate indicates how effectively you’re turning visitors into customers. “Conversion rates ensure decisions are backed by actionable insights,” explains Muhammad Imran Khan. A low conversion rate can highlight issues in your product pages, checkout process, or pricing.

Tip: Use A/B testing to refine page designs and calls to action. Review your checkout process to make sure it’s easy to use, has minimal steps, and no surprise fees.

3. Cart abandonment.

A high cart abandonment rate signals potential friction in your checkout process. “Cart abandonment signals that something’s off with your checkout process or pricing,” says Engelage. Customers abandoning carts means you’re losing sales at the final step.

Tip: Simplify the checkout experience, offer incentives like free shipping, and send automated cart recovery emails to recapture lost sales.

4. Average order value (AOV).

A higher AOV allows you to generate more revenue without acquiring more customers. “I prioritize AOV and [LTV]” says Brandon Hartman. By encouraging customers to spend more per purchase, you boost profitability without increasing CAC.

Tip: Offer product bundles, volume discounts, or recommendations for complementary items at checkout to increase AOV.

5. Return on ad spend (ROAS) and marketing efficiency ratio (MER).

ROAS and MER help you measure the effectiveness of your ad spend. Return on ad spend can be calculated by sales made through ad by spending on ads. Marketing efficiency ratio, on the other hand, is calculated by dividing total revenue by spending on ads.

“MER gives a much clearer, more objective view of your growth potential,” explains Andy Gartland, especially when platform-reported metrics inflate results.

Tip: Evaluate MER to assess your total ad efficiency relative to revenue, and use ROAS to fine-tune individual campaigns.

6. SEO metrics, various.

Search Engine Optimization (SEO) metrics guide decisions on organic growth potential. “[Keyword volume, competitiveness, clickthrough rates, and conversion rates] show whether SEO is a good investment,” says Olivia Tapper.

Tip: Analyze keyword data to understand market demand and prioritize ranking for terms with high intent. A well-optimized site will help reduce your reliance on paid ads.

What is the key to customer retention?

Customer loyalty is earned, not given. It’s built on a foundation of trust, consistency, and meaningful engagement.

To foster loyalty, you need to prioritize delivering value—through high-quality products, exceptional customer service, and personalized experiences.

Loyalty programs, thoughtful gestures, and consistent follow-ups go a long way in keeping your customers happy and engaged.

Ultimately, the secret to loyalty is making your customers feel valued at every touchpoint. Here is how you do that.

1. Prioritize product quality.

“All you really have to do is consistently provide great, high-quality products]” says Brandon Hartman. Customers are discerning and won’t hesitate to seek alternatives. “If you’re able to consistently release and sell high-quality products, it builds trust.”

Tip: Invest in product development to guarantee quality. Regularly survey your customers for feedback and act on it to meet their expectations.

2. Deliver exceptional customer service.

Matthew Engelage advises making returns “hassle-free” and answering questions quickly. Olivia Tapper highlights the importance of “a customer support team that really cares.” She further clarifies, saying that “our own brands have an amazing person who constantly gets praise in feedback from customers.”

Tip: Train support teams to handle issues empathetically and efficiently. Offer multiple channels for support, like live chat, email, and phone, and ensure quick response times.

3. Create personalized experiences.

“Treat customers like VIPs,” suggests Kumar Vaibhav Tanwar. “Remember their names (and their cart items), and send discounts before they wander to competitors.” Personalized interactions show customers that you see them as individuals, not just transactions.

Tip: Use CRM tools to track customer behavior and preferences. Send tailored product recommendations and exclusive offers based on their purchase history.

4. Leverage loyalty programs.

Loyalty thrives on appreciation. “[Loyalty programs, personalized email campaigns, and exclusive offers for repeat customers] work well,” says Muhammad Imran Khan. “Gamified points systems and unannounced rewards” can add a fun, engaging layer to loyalty-building, suggests Brian Lim.

Tip: Implement tiered rewards programs with benefits like discounts, early access to products, and special gifts. Use gamification elements like point challenges or badges to encourage engagement.

5. Use small gestures to build trust.

Oun Art stresses the power of “small surprises—like a thank-you note or bonus gift.” These gestures may seem minor, but they create positive emotional connections with your brand.

Dan Korte of Riseabove Apparel suggests “using as many value channels as possible [because] as customers engage with your brand after the purchase, (personalized experiences, points, and rewards, and brand loyalty via follow up engagements) will be your highest return channels.”

Tip: Include personalized thank-you notes in orders. Occasionally surprise loyal customers with bonus gifts or exclusive perks.

6. Engage through social media.

“We build loyalty through active social engagement,” says Andy Gartland. Staying visible and interactive on platforms like TikTok, Meta, and YouTube nurtures a sense of community and keeps your brand top of mind.

Tip: Respond to comments and messages promptly. Share user-generated content and highlight loyal customers in your posts to foster a stronger bond.

7. Optimize email marketing.

Targeted email campaigns are another powerful tool. “Segment your emails based on customer click rates and tailor them to each subscriber’s engagement level,” suggests Gartland. “Automated follow-ups and exclusive offers keep customers engaged.”

Tip: Use email automation tools to send personalized messages at key moments—welcome emails, post-purchase follow-ups, and re-engagement campaigns.

8. Deliver consistently.

“Consistency is key—both in product quality and communication,” emphasizes Khan. Customers stay loyal to brands that meet their expectations time and again.

Tip: Maintain reliable shipping times, and ensure your messaging aligns across channels. Consistency builds trust and reinforces your brand’s credibility.

9. Build a community.

Brian Lim highlights how “social sharing tools and gamified engagement foster stronger emotional ties to the brand.” Communities provide customers with a sense of belonging, making them more likely to return.

Tip: Create forums, Facebook groups, or branded hashtags where customers can interact with each other and your team. Foster an inclusive and supportive environment.

Final Thoughts

Success in eCommerce isn’t about doing one thing perfectly—it’s about combining the right strategies consistently. You need to try certain strategies and observe how they work, ideally with empirical metrics like CAC, LTV, and conversion rates. This test-and-observe approach will help guide you toward smart and battle-tested decisions.

You need a strong foundation of your business and a plan for fostering long-term relationships with your customers. You must focus your attention on the essentials like streamlined systems, high-quality products, and personalized customer experiences. That is how you set yourself on the path to create a business built for growth.

There’s a version of this story that plays out every day in eCommerce.

Let’s say you launch a store. At first, the orders trickle in. You pack them yourself—maybe at the kitchen table, maybe in the garage after the kids go to bed. It’s manageable, and it’s even fun. You’re building something.

Then it works. That trickle of orders becomes a mighty cascade, and before long, a flood. Your garage looks like a warehouse, your evenings are consumed by packing boxes, and more than 50% of your socks have little pieces of packing tape attached to them. You’ve touched at least five dozen shipping labels today. So you wonder: “is this what success is supposed to feel like?”

One Shopify store owner described this arc in a post on r/ecommerce: “When I launched my Shopify store I was doing maybe 10 orders a week and it was totally manageable, just pack everything up after dinner and drop it at the post office the next morning. Now I’m at like 150 orders a week and I’m drowning. My garage is basically a warehouse now with inventory everywhere, I’m spending 4 or 5 hours every single day just on packing and shipping, and I’ve started making mistakes because I’m rushing. Wrong items, wrong addresses, forgot to include inserts, you name it.”

That post touched on nearly every sign we’re about to cover. Space, volume, and time are all limited resources. And when you don’t have enough of them, errors start to stack up just like boxes do.

The transition from DIY fulfillment to working with a third-party logistics (3PL) partner is one of the most important inflection points in a growing eCommerce business. But it’s not always obvious when you’ve reached it. The signs tend to creep in gradually, and by the time they’re undeniable, they’ve usually been costing you money for months.

The tricky part is that each of these problems, taken individually, feels manageable. You can work a little later. You can hire one more person. You can apologize to the customer and reship the order. But when three or four of these problems are happening simultaneously, they stop being individual issues and start being a system that’s breaking down.

We recently analyzed hundreds of Reddit conversations from eCommerce business owners. Then we cross-checked what they said with advice from consultants and operators who see these patterns across dozens of brands. What follows are the seven most reliable signals that you’ve outgrown in-house fulfillment, and advice on what to do about it.

For a broader look at the decision to outsource, including how to calculate whether it makes financial sense, check out our post on when to outsource fulfillment and how to choose the right partner if you do.

Sign 1: You’re Running Out of Space

This is the most visible sign, and usually the first one owners notice. Inventory creeps from a spare closet to a spare bedroom to a garage to a rented storage unit. The physical footprint of your operation keeps expanding. And it starts to get in the way of other aspects of your life or business.

One small business owner on r/smallbusiness wrote a long reflection on closing their 18-year fabrication business. Warehouse space and overhead were major factors in the decision. It’s an extreme case, to be fair, and most eCommerce businesses aren’t going to close over space issues. But it illustrates neatly what happens when physical space becomes untenable and you don’t address it early enough.

Space constraints don’t just mean clutter. They turn into all manner of downstream problems. When inventory is crammed into an area that wasn’t designed for it, picking errors go up, products get damaged, and organizing by SKU becomes impossible. You end up spending more time looking for things than packing them.

Another r/smallbusiness poster described a different version of the space problem: a manufacturing business owner whose landlord started raising rent aggressively just months after they’d signed a lease and moved in. When your business depends on physical space you don’t own, you’re exposed to forces outside your control. That means rent increases, lease disputes, and zoning changes could all hit you like a truck. That’s a risk that many growing eCommerce brands don’t price in until it hits them.

Chris Parsons, Founder of Retail Rewired and a RETHINK Retail Top Retail Expert, notes that brands with retail stores or wholesale operations feel this especially hard: “As eCommerce grows, packing online orders can start interfering with store operations or warehouse flow. Teams end up prioritizing one channel over another, and sometimes store shipments get delayed because eCommerce orders are consuming operational capacity.”

A fulfillment partner eliminates the space problem entirely. Your inventory lives in their warehouse, not your garage. And as your business grows, their capacity scales with you. No leases or storage units required.

Sign 2: You Can’t Keep Up With Order Volume

What used to take an hour after dinner now eats your entire day. The backlog keeps growing. And you’re starting to feel like your primary job is no longer running a business, but a large shipping operation.

This showed up more often than any other theme in the Reddit data we analyzed. The pattern is consistent: an owner hits a volume threshold where fulfillment stops being a task on a to-do list and starts being the to-do list.

James Coccaro, an operations and eCommerce leader who specializes in scaling DTC brands from early-stage to $50M+, lists a few common trigger points that lead to this problem: “Multiple SKUs with variants, bundling or kitting, growing wholesale/retail alongside DTC, international shipping, founder spending more time shipping than selling.”

That last one is arguably the worst.

Desiree Shank, an early Shopify hire who now works in TikTok live shopping and social commerce, describes it as a strategic trap: “You’re holding back marketing because you’re afraid fulfillment will break. You can’t add SKUs because you don’t have storage space. The CEO is managing carrier pickups instead of partnerships and revenue.”

The big idea here is that order volume isn’t just an operational problem. It’s a strategic one. Every hour the founder or leadership team spends packing boxes is an hour not spent on product development, marketing, or customer relationships. The opportunity cost compounds over time, and it’s often larger than the cost of working with a fulfillment partner.

The math gets worse as you grow. At 10 orders a day, spending an hour on fulfillment is a minor annoyance. At 50 orders a day, it’s a full-time job. At 150 orders a day, you need a team. And once you reach that point, you’re running a warehouse operation alongside an eCommerce brand. Those are two businesses with very different skill sets, and most founders did not start their company because they wanted to run a warehouse.

One of the things we see regularly at Fulfillrite is brands that come to us after spending months (sometimes years) trying to scale their fulfillment internally. They’ve hired help, bought shelving, maybe rented additional space. And what they’ve built works, sort of, until the next growth spurt reveals all the same problems again, just bigger.

Sign 3: Staffing Is Becoming a Problem

Hiring warehouse help sounds like a solution, and for a while, it is. But managing warehouse staff adds a lot of logistics of its own kind. It means recruiting, training, turnover, payroll, and the constant juggling act of matching labor to demand.

One r/smallbusiness post told a story about a warehouse manager catching a newer employee stealing a packing blanket who turned out to be homeless. The owner’s response was compassionate (they let him keep it and offered to let him use the washer and dryer), but the broader point is that managing warehouse personnel puts you in situations that have nothing to do with selling products online.

Faheem Khalid, COO and Head of Growth at Accelero, identifies this as one of the non-obvious indicators: “Operational responsibilities consume the founder’s/team’s time, undermining product and marketing efforts.”

Jaime Hill, an eCommerce and digital director with over two decades of experience across brands like Monsoon and Oak Furnitureland, also says something similar. “Your unit economics cease improving and you need to hire more warehouse staff for each sales spike, leading to temporary labour cost increases and your scaling becomes inefficient.”

Coccaro points to the strategic cost: “You’re designing packaging around ‘what fits our shelf’ instead of ‘what protects and optimizes freight.'” When fulfillment staffing dictates business decisions, the tail is wagging the dog.

When you work with a 3PL, the staffing problem becomes their staffing problem. They’ve built systems, training programs, and labor pools designed to handle fluctuating demand. You don’t have to scramble for temp workers during a surge or carry excess payroll during a lull.

There’s a subtler version of this problem, too. Even when staffing seems fine day-to-day, the management overhead is real. Training new hires on your specific packing process. Making sure they know which items are fragile, which orders need inserts, which SKUs look similar but aren’t interchangeable. Every new employee is a risk to your accuracy rate until they’re up to speed.

Fulfillment centers deal with this by building standardized processes that don’t depend on any one person’s institutional knowledge. But that’s a tricky thing to come up with on your own if you never intended to work in fulfillment.

Sign 4: Shipping Errors Are Climbing

Wrong items. Wrong addresses. Mislabeled packages. Missing inserts. When volume increases and you or your team are rushing to keep up, the error rate creeps up in ways that are easy to miss at first.

The Shopify owner from the lede of this article captured it precisely: “I’ve started making mistakes because I’m rushing. Wrong items, wrong addresses, forgot to include inserts, you name it.”

Another eCommerce owner on r/ecommerce described going through two 3PLs and still dealing with lost packages—which speaks to the importance of choosing the right partner, not just any partner. But the underlying pattern is the same: when accuracy slips, every other problem gets worse.

Coccaro quantifies the tipping point: “Shipping errors creeping past 1–2%” is one of his non-obvious signals. He also separately identifies “inventory accuracy below 98%” as a red flag.

Errors are expensive in ways that go beyond the cost of reshipping. Each wrong order turns into a customer service ticket, a potential refund, a possible negative review, and—if it happens more than once—a lost customer. The compounding cost of a rising error rate is one of the most underestimated expenses in eCommerce fulfillment.

Professional fulfillment centers address this with barcode scanning, systematic picking processes, and quality checks. At Fulfillrite, for example, every order is double-checked and barcodes are scanned at each stage. This isn’t a proprietary advantage of ours either. It’s industry standard. It’s how fulfillment works when it’s designed for accuracy at scale, not just speed.

Sign 5: Seasonal Spikes Break You

Black Friday. Holiday rush. A product going viral on TikTok. Your own promotional surges. If your fulfillment operation can’t absorb a sudden spike in orders, those growth moments turn into crises instead of celebrations.

Seasonal stress showed up repeatedly in the Reddit data. One eCommerce owner on r/ecommerce described the specific catch-22 that seasonal businesses face: “My products are a bit seasonal, and for one quarter out of the year I don’t bring in many sales at all. A lot of the fulfillment companies I’ve seen have a required minimum number of orders per month.” That’s a legitimate concern, and it’s worth noting that not every 3PL handles seasonality well.

Another owner on r/ecommerce running a business in Ireland described a knotty network of challenges that come with seasonal demand. Among them: staffing up for spikes, dealing with hidden costs, and trying to manage both B2B and B2C fulfillment simultaneously.

Deepankar Singh, an eCommerce growth advisor specializing in Amazon strategy across global markets, puts it simply, saying “the biggest mistake is operational stress during peak periods. Errors increase, delivery slows down, and the team ends up firefighting logistics instead of focusing on scaling the business.”

That’s the core problem with seasonal spikes. The operational failure isn’t just the spike itself. Rather, it’s the panic migration that follows, when you’re forced to onboard a fulfillment partner under the worst possible conditions.

Hill describes the downstream effects: “Poor fulfilment quietly caps your revenue growth with poor delivery experiences reducing repeat purchases, slow shipping times reduce conversion, and your international expansion ends up being delayed.”

Those aren’t temporary problems. They compound.

The smart move is to onboard with a 3PL during a relatively quiet period, when you have time to test the integration, work out any kinks in the packing process, and build confidence in the relationship before the high-stakes months arrive. That way, when Black Friday or your big product launch hits, the fulfillment side is already dialed in and ready to scale with you.

Sign 6: Inventory Management Is a Mess

When your inventory system is a spreadsheet, a whiteboard, or (as we’ve seen more than once) someone’s memory, accuracy degrades as volume increases. Counts drift. Overselling becomes common. Stockouts surprise you. And at some point, you stop trusting your own numbers.

One small business owner on r/smallbusiness described doing a hand count and discovering significantly more inventory missing than expected—even with 4K security cameras already in place. The gap between what the system says and what’s on the shelf is one of the most disorienting experiences in running a product business.

Another owner on r/ecommerce described their 3PL quietly adjusting their inventory count down after a cycle count. They had a bright orange product measuring 17″ x 14″ x 4″ that somehow vanished without explanation. That’s a story about a bad 3PL, but it underscores the broader point: inventory accuracy matters enormously, and it has to be somebody’s core competency.

Khalid flags this as a key non-obvious indicator: “Mistakes in inventory counts are more common at peak season or during promos.”

Hill describes the progression: “Inventory visibility problems, with increasing stock inaccuracies, overselling certain SKUs, or poor integrations with ERP systems.”

A good fulfillment partner provides real-time inventory tracking integrated directly with your eCommerce platform. Items are scanned in and out, counts update automatically, and you can see exactly what’s on the shelf at any moment.

It’s not a perfect system. No system is. But it’s a significant improvement over manual tracking, and it scales in ways that spreadsheets never will.

The inventory problem is also one that gets worse the more SKUs you carry. A business with 10 products can keep things straight with a simple system. A business with 200 products, in multiple variants, with incoming shipments arriving on different schedules? That requires warehouse management software, disciplined receiving processes, and cycle counting. In other words, it requires infrastructure that most growing eCommerce brands haven’t built yet and that a good 3PL already has in place.

Sign 7: Customers Are Starting to Feel It

This is the sign you want to catch before it becomes visible. Late deliveries, damaged packages, wrong items. When your fulfillment problems start showing up in customer reviews, refund requests, and support tickets, the damage is already being done to your brand.

Customer experience damage was the least frequently discussed theme in the Reddit data, which makes sense: by the time owners are posting about CX problems caused by fulfillment, they’ve usually been dealing with the upstream issues (volume, errors, inventory) for a long time. The CX damage is the symptom, not the root cause.

But the experts are emphatic about the stakes. Roy Steves, Co-Founder at Poolaroo and StatBid, frames it in terms of reputation: “Reputation is everything, and slow time to ship and damage in transit tank that from customers you’ve already paid to attract. If your fulfillment isn’t supporting your reputation, that’s a sign that you should have considered fixes earlier.”

Hill quantifies the downstream effects: “Poor delivery experiences [reduce] repeat purchases, slow shipping times reduce conversion, and your international expansion ends up being delayed.”

This is the sign where the math gets ugly. Every customer lost to a fulfillment error is a customer you already spent money to acquire. If your customer acquisition cost is $30 and a shipping error causes them to leave a one-star review and never come back, you haven’t just lost one sale. Instead, you’ve lost their lifetime value and potentially deterred future customers who read that review.

The fix isn’t just “ship faster.” It’s building a fulfillment operation (or partnering with one) that has the systems to prevent errors before they reach the customer. That means barcode scanning, quality checks, real-time tracking updates, and a team whose sole job is getting orders right. When fulfillment is someone’s core business—not a side project squeezed in between product development and marketing—the accuracy rate reflects that.

How Many Signs Before You Act?

If you’ve read this far, you probably recognized your business in at least a couple of these.

Here’s the thing that matters most: these signs don’t appear one at a time in a tidy sequence. They pile up. The space problem makes the error problem worse. The staffing problem makes the seasonal spike problem worse. And eventually, the customer experience problem makes everything else more expensive, because now you’re paying to acquire customers that your fulfillment operation is driving away.

Coccaro captures this dynamic well: “They normalize chaos. What feels ‘scrappy’ is actually margin erosion.” When you’ve been dealing with fulfillment pain for months, it starts to feel like a normal cost of doing business. It isn’t.

The best time to evaluate a fulfillment partner is when you’re growing steadily and can make the transition on your own timeline. The worst time is during a crisis like a holiday rush you can’t handle, a viral product launch that spills out of your garage, or a string of bad reviews that finally makes the problem impossible to ignore. As several of the experts we spoke with emphasized, reactive 3PL selection almost always goes worse than strategic evaluation.

If three or more of these signs sound familiar, it might be time to have the conversation. We’re happy to talk it through with no pressure or obligation. We’ll help you think through whether outsourcing makes sense for your business at this stage.

For more on how to evaluate whether a 3PL is the right move and how to calculate the true cost, check out our expert analysis on when to outsource fulfillment.

People don’t spend long on web pages. A 2021 report by Contentsquare says the average time users spend on a web page is 54 seconds. That means if you want to succeed in eCommerce, you need to make every element on every page count. In this guide, we’ll give you eCommerce website tips and tricks to help you do exactly that.

Setting up an eCommerce shop looks easy because of tools like Shopify and WooCommerce, as well as sales channels like Amazon. In many ways, it is easier than before. But then again, so is getting lost in the crowd.

To really stand out, you need to be able to develop an excellent eCommerce strategy. Then you need to make sure your site is set up for optimum performance at every step of the way.

In this guide, we’ll focus on three areas: strategic excellence, website optimization, and apps to help you grow your store.

You don’t need to do everything in this guide. Just pick a few tips and really focus on doing them well!

Tips to Start Selling Online Now

Starting an online store is a multi-step process. In order to succeed, you need to define a clear target audience. Then you need to choose the right products and set up a seamless supply chain to get them shipped. Along the way, you’ll also need to configure all the bells and whistles in your chosen eCommerce software.

These tips will help you lay a strong foundation for your online business.

#1: Figure out who to sell to and what to sell

You can’t just sell anything you want. To make sales, you need to identify a target audience and research their online behavior. Every product you sell needs to meet some existing need that your target audience wants.

Ecommerce success starts with having a solid understanding of what your market wants. Not all products that sell well offline will perform equally well online.

You need to be able to understand your target audience so well that you can describe their wants and needs in your sleep. To get started, consider making a buyer persona. (Hubspot has a free tool to help with this.)

Once you do that, conduct thorough market research to determine what your target audience needs and wants. Make sure your product fills an existing demand and stands out from competitors.

#2: Validate the market

It’s tempting to design a product, order tons of units, and then start selling afterward. But this can be a huge mistake if you don’t go about it the right way.

Think about your ideal customers. Every product you sell needs to meet one of their needs. But you shouldn’t just take it on faith that what you want to sell will do that.

Before you commit to ordering a lot of inventory, try selling a small amount first. You want to see if there is a market for what you want to sell. If you can’t sell a small amount first, try collecting information with surveys or small-dollar advertising campaigns.

If you do this, it will help you avoid the mistake of ordering a lot of products that no one wants to buy.

You can apply a similar principle to your store’s branding as well. Make sure that the way your website is presented lines up with customer expectations. Show it to members of your target audience and ask them for their feedback. Then you implement that feedback as often as you can.

#3: Figure out the supply chain

According to a recent study with Voxware, of 500 surveyed consumers, almost 70% say they are “much less likely to shop with a retailer in the future if an item they purchased is not delivered within two days of the date promised.”

Translation: ship on-time or else.

To succeed in eCommerce, you need to be able to:

This is more complicated than we can cover in this article. But suffice it to say, if you plan on making it big in eCommerce, you also have to have a clear plan to ship orders to customers.

#4: Build your brand

Customer retention is incredibly important to long-term eCommerce success. According to Bain & Company, a 5% increase in customer retention can lead to a 25-95% increase in profitability.

A big part of customer retention is being memorable. For that, you need to build up a brand. It’s not just about having a good-looking logo, though that is valuable. You want to have clear brand values that line up with what your target audience cares about. Then you need to have all your brand elements—from logo and colors to brand voice—reinforce those values.

This is a far more complicated subject than we cover in this guide, so here is an additional resource to help you define your company’s brand identity.

#5: Choose your eCommerce software

When it comes to setting up an eCommerce site, you have a lot of different software options. Shopify, BigCommerce, and WooCommerce are some of the most common ones in use today.

Shopify is known for its ease of use and wide range of features. It’s a great all-purpose tool and ideal for small to medium-sized businesses. 

BigCommerce focuses on scalability and has a variety of built-in features suitable for growing businesses.

WooCommerce is an open-source solution that can be installed right on top of WordPress, a powerful advantage, given that WordPress is the most common website management software in use today.

Choosing eCommerce software is one of the most consequential decisions you’ll make in your business. It’s not easy to switch once you start with one. Think about which of these platforms—or others not listed—is going to be the best fit for your needs.

#6: Configure your eCommerce store

Don’t launch your eCommerce store until it is set up correctly. You want to make sure you’re providing a smooth shopping experience.

You need to make sure all the backend details are handled. That means setting up payment gateways, shipping options, and tax calculations, among other things.

Make several test orders. Add different things to your cart. Try inputting different addresses to see how it affects shipping prices and availability.

Do this until you feel completely comfortable in saying that your store is in working order. The last thing you want to do is spend a ton of money driving traffic to your store, only to have errors stop people from making purchases.

#7: Drive traffic to your eCommerce store

Think about how you want to get people to find your eCommerce store. Then develop a plan accordingly. There are a lot of ways you can do this, such as:

  • Search engine optimization. That includes optimizing your website for keywords to pull in organic traffic.
  • Advertising. This might include using Facebook, Pinterest, Instagram, Google, YouTube, or TikTok to put your products in front of people and entice them to buy.
  • Content marketing. That will mean creating blog posts, videos, or other forms of content that people will want to see and that will refer people to your store (such as gift guides).
  • Email marketing. This can be used to keep in touch with potential customers as well as repeat ones. You can also use it to educate potential customers about your products or send coupon codes.

“Use Google Search Console to see how your site performs in search results and identify issues that need to be fixed,” says SEO Consultant, Jase Rodley. “BuzzSumo is another underutilized tool that allows you to see what content performs well in your niche and create more engaging marketing materials.”

Paul DeMott at Helium SEO also mentions that “one tool I think deserves more attention is AnswerThePublic. It’s fantastic for finding questions that real people are asking, which you can then turn into content.”

Creating a marketing and promotion plan for your store is incredibly nuanced. There are so many ways that you can do this. But the most important thing is to figure out what you want to try and come up with a plan.

#8: Focus on improving user experience

You want to make sure your store is pleasant to use. Start by installing Google Analytics so you can gather data on user behavior. This will help you see where they are from, how long they spend on the site, and which pages they are interested in.

You can use data that you gather to run retargeting ads and send follow-up emails to users that abandon their shopping carts. This will encourage them to return and complete their purchases.

Beyond that, there are some aspects of user experience that are common sense and can be implemented almost immediately. For example, make sure your checkout process is easy. Eliminate surprise shipping fees and make sure you don’t have to create an account to make a purchase. These two things alone can make a huge difference!

#9: Use advanced personalization tools

Modern eCommerce success increasingly depends on personalized experiences. Use customer data to show relevant product recommendations, customize email campaigns, and display targeted content based on browsing history.

Tools like Dynamic Yield or Optimizely can automate personalization at scale. Start simple with “recently viewed” and “customers who bought this also bought” sections, then expand to behavioral triggers like exit-intent offers or cart abandonment emails.

Personalization extends beyond product recommendations, though. You can also customize your homepage for returning visitors, show location-based shipping information, and adapt your messaging based on traffic source. A visitor from a social media ad might need different information than someone who found you through Google search.

Tips to Optimize Your eCommerce Website

Slow websites don’t make sales. Neither do difficult to use ones.

Time spent optimizing your eCommerce site for speed and usability is time well spent. Here are some specific tips on how you can do that well.

#10: Remove unused apps

It’s been years since most tech users have had to seriously think about deleting files and programs to clear up space on their devices. But this is still an issue you need to pay attention to when it comes to website management.

Unused apps can slow down your site, affecting load times and user experience. Regularly review the apps installed on your eCommerce platform and delete those that are not essential.

This simple step can significantly improve your site’s load times. You would be shocked!

#11: Optimize images

Using high-quality images is really important in eCommerce. Showing people what they are going to be buying is a great way to build trust.

But at the same time, large images can slow down your site, leading to a poor user experience. So you need to find the right balance.

To do this, use the smallest images you can without compromising quality. When in doubt, favor WEBP and JPG formats over others for faster loading times.

Compress images to reduce their file size and ensure they are optimized for the web. This will help your pages load faster, improve overall site performance, and enhance user satisfaction.

You can always use tools like Pingdom and GTMetrix to see how long it takes your web pages to load.

#12: Optimize fonts

Using fancy fonts is a great way to improve your store’s branding. But you need to make sure you use them correctly.

This point is a bit technical, but it’s important—incorrectly installed fonts can block other parts of web pages from rendering. This can slow down your overall website time, despite it seeming like a small detail.

When in doubt, use GTMetrix or PageSpeed Insights and make sure you’re not running into font-related errors.

#13: Install a lazy loader

Lazy loading helps load images and assets only when they are needed. This helps improve perceived loading times. Lazy loading helps your site appear to load faster, even if all elements are not fully loaded immediately.

Implementing a lazy loader is an easy way to create a smoother, more efficient user experience. As a result, you can more easily keep visitors engaged and cut down on bounce rates.

#14: Make sure your theme isn’t slowing you down

Most eCommerce platforms like Shopify and WooCommerce are, by their nature, pretty fast. But all of them use themes in order to give sellers the opportunity to customize their sites. This is where things can start to go wrong.

Not every theme is made well. Before you commit to using one, you need to make sure that your theme loads quickly. Otherwise, you might end up spending a lot of time configuring one that’s going to ultimately slow down your site in a way that you cannot easily fix.

If you’re already committed to a theme that slows down your site, you should consider swapping to another one. It’s a pain to switch, but this is one of the most valuable things you can do to speed up your site and likely increase sales.

#15: Eliminate pop-ups and lightboxes

Overuse of pop-ups and lightboxes can slow down your site and annoy users. Use these features sparingly to balance user experience and performance.

Focus on essential pop-ups that provide real value to your visitors. Eliminate those that are unnecessary. This will help you maintain a fast, smooth browsing experience.

When in doubt, keep it as simple as possible.

#16: Find a good CDN

A CDN (Content Delivery Network) distributes content delivery load across multiple servers, speeding up your site. Or, more simply, files don’t have to travel as far to get to your users. That makes your site faster.

This is an easy way to speed up your site and increase the odds of making sales. If you’re a Shopify user, Shopify has a built-in CDN as long as you are on Shopify Plus. Otherwise, look for a good CDN for your eCommerce software solution. It’s worth it to help keep your loading times in check.

#17: Use schema markup for increased search visibility

“Make use of schema markups to provide additional information to search engines,” suggests Nikola Baldikov, Founder of Inbound Blogging. “This will improve your chances of being featured in rich snippets. You can do it by using structured data tools like Google’s Structured Data Markup Helper or by adding it manually to your website’s HTML. Platforms like Shopify, WooCommerce, and Magento also offer plugins that simplify this process.”

#18: Use A/B testing to improve conversion rates

“Testing different versions of landing pages, product descriptions, or promotional offers is underused by many eCommerce stores,” states Michelle Symonds, Founder & CEO of Ditto Digital. “A/B testing tools…help improve conversion rates by optimizing the user experience based on data.”

Prior to its sunset in 2023, Google Optimize was a go-to choice for many store owners to run A/B tests. Now, VWO seems to be winning the hearts of conversion optimization professionals.

#19: Submit coupons through Google Merchant Center

Google Shopping is known for its ability to drive traffic to stores, particularly smaller ones. To that end, Lana Phillips from Planet of the Vapes recommends “Google Merchant Center’s coupon submission feature, which is a powerful way to showcase deals directly in search results.”

She goes on to say that many eCommerce sites overlook it. There’s no reason for you to make the same mistake!

#20: Optimize for voice and visual search

Voice search and visual search are growing rapidly, especially on mobile devices. Optimize product descriptions for natural language queries people might speak aloud. Instead of just “blue running shoes,” include phrases like “comfortable blue running shoes for women” or “best blue athletic shoes.”

For visual search, ensure your product images have detailed alt text and are high quality with clean backgrounds. Pinterest Lens and Google Lens are becoming significant traffic sources for eCommerce sites. Products with optimized images and descriptions perform better in these visual search platforms, creating additional discovery channels for your store.

Apps to Add to Your Store

Adding the right apps to your eCommerce store can help you enhance functionality and improve customer experience.

Now to clarify—no amount of apps can replace smart strategic planning or basic website optimization. But they can make it a lot easier to handle certain aspects of marketing, customer retention, and store management.

Here is a list of some of our favorites.

#21: Smile

One way to retain customers is to implement a loyalty program. After all, giving one-time customers an incentive to return is a pretty good way of getting them back onto your website. The trick is finding a system that will let you do that with minimal hassle.

That’s where Smile comes in. This app lets customers earn points for actions like creating accounts, placing orders, and leaving reviews. It also features a referral program and provides analytics to monitor performance.

#22: Printful

Printful enables you to create custom products and connect directly to Shopify. This app is suitable for dropshippers and custom product creators, allowing you to design and sell items like t-shirts, posters, and more. Printful handles manufacturing and shipping, making it easier to manage your eCommerce store.

#23: ReferralCandy

If you’re looking for a way to make customer referrals easier to manage, start with ReferralCandy. This app allows you to create email and pop-up campaigns to encourage customers to refer their friends. You can reward customers with cash, coupon codes, or gifts for successful referrals.

#24: Plug in SEO

Plug In SEO makes it easier to improve your search engine rankings. This app includes tools for structured data, keyword optimization, and fixing broken links. It’s also pretty easy to use overall.

SEO is complicated. This often scares people away from focusing on it. But this tool makes it a lot easier to manage.

#25: Yotpo

Yotpo calls itself a customer retention platform, which is a pretty good summary of what it does. Describing it succinctly is tough because it simply does a lot!

Among its many features, you can collect reviews, ratings, and user-generated content. This app helps improve conversion rates by showcasing customer feedback prominently.

In short, if you’re thinking about “social proof” but don’t have a process for gathering it yet, look into Yotpo. It might make your life easier!

#26: Growave

Growave does a little bit of everything. You can use it to set up loyalty programs, incentivize referrals and reviews, and also manage social media.

If you’re looking to keep it simple with an all-in-one tool, Growave is a great option. You won’t have to juggle a whole lot of different apps. That will make it easier to handle the administrative responsibilities that would otherwise be frustratingly hard to manage.

After all, you know how important it is to encourage customer retention, gather reviews, encourage referrals, and show off user-generated content. As always, though, the real obstacle is finding a way to do this that doesn’t take up too much time!

#27: Glew.io

For data-driven insights, Brandon Schroth at Reporter Outreach recommends Glew.io, a powerful analytics tool designed for eCommerce.

About the tool, Schroth states that it is “built especially for eCommerce merchants, providing detailed reports on customer activities including how much they buy, how often they shop, and the items they buy. Thus, by centralizing information from different sources, it allows companies to develop better SEO tactics and improve marketing campaigns.”

Final Thoughts

Running a successful eCommerce store is not easy. But if you get the foundational parts right, including overall business strategy and technical website optimization, it’s a lot easier. Then, once you get the basics right, you can use the right apps to help you turbocharge your marketing efforts.

Over time, you can build up a loyal customer base and boost your sales. Just remember: eCommerce success comes down to three basic principles. Know who you’re selling to, sell something they want, and make it easy to buy.

Follow these three rules and you’ll be well on your way to lasting success.

If you followed the news in the post-pandemic season, you probably noticed that a lot of goods were in short supply. Everything from semiconductors to sausage, rental cars to lumber had been hard to come by. You could blame the pandemic for many of these shortages, sure, but the underlying issues were more complex. And one of those issues? Inventory management practices.

The 2010s were defined by lean supply chains. Everything was shipped just-in-time with little buffer for disruptions. This was really good for efficiency and profits, but really bad for handling unexpected events.

So with that in mind, we’re going to talk about what inventory management is and how you can do it well. By following these tips, you can reduce your risk of running out of stock when you need it. That means more money in your pocket, more happy customers, and a generally less stressful life as a business owner.

What is inventory management and why does it matter?

When you boil it down to the basics, inventory management is the process of tracking where products are, where they’re going, and when to order more. That’s really it!

Simple as the concept may seem, though, the practice is hard. You have to monitor a lot of moving parts while simultaneously predicting the future a la demand estimation. It looks easy until you have to do it.

But it’s worth building your skill set, because mastering inventory management best practices has many benefits for your business. We can think of four right here:

  1. You’ll be less likely to run out of stock. That means your customers can keep shopping anytime they please.
  2. You’ll be less likely to have too much stock. Holding onto excess inventory costs money in storage, not to mention the sunk cost of ordering too much in the first place. Good inventory management will keep you from over-ordering in the first place.
  3. You’ll have higher profits. Good inventory management helps you know what to sell, which increases revenue, while also helping you keep costs in check.
  4. You’ll benefit from better cash flow. If you get a sense of how much to spend and when to spend it, you won’t find yourself overcommitting large sums of money to buying more products when the timing is not good.

In short, inventory management helps you find a balance between two extremes. You don’t want to run out of items and you don’t want to hoard them, and this is the process by which you find the happy medium.

Inventory Management 101: 9 Tips to Avoid Running out of Stock

What are common inventory challenges that sellers run into?

To answer this question, I reached out to John Heberling, Senior Partnerships Manager at Kickfurther, an inventory financing firm. In response, he first mentioned the risk of ordering too much at once, stating that “direct-to-consumer (DTC) brands often struggle to balance stock when entering retail. A big purchase order sounds exciting, but without the capital to produce inventory for both retail and DTC channels, businesses risk losing revenue and growth opportunities.”

Heberling followed up by saying that “ordering too much of the wrong SKU leads to dead stock, tying up cash and adding storage costs.” To state another way, you simply don’t want to buy items – or variants of items – that won’t sell.

Other common and devastating issues mentioned by Heberling include “waiting too long to place an inventory order. [This] can destroy your bottom line—forcing you to pay for costly air freight or, even worse, leading to stockouts that cause missed sales.” He stresses that it’s particularly important to place timely orders in advance of busy seasons like the holidays.

There’s another new pressure too: unpredictable tariff costs. Chris Grippo, owner at The Shop Tinkerers, adds: “Costs are up across the board, especially for anything coming out of China. It’s forcing our clients to reevaluate sourcing, pricing, and margin strategy faster than we’d like.”

Paul Ferrara, Senior Wealth Counselor at Avenue Investment, points out another common issue. “Intuitive inventory systems tend to oscillate between excess inventory and stock outages.”

He advises using instead “a 90 day rolling average of sales, with the safety stock as [20% of monthly sales].” He says this will “provide a smoother reorder point that allows margins to be preserved and minimizes losses in clearance.”

Between the negative impacts of bad inventory processes, the ease of making common mistakes, and difficulty making inventory intuitive, it’s clear that smart inventory management has never been more critical to success.

8 main types of inventory

The whole idea of inventory management is to keep track of where products and other materials are so that you have visibility into the day-to-day operations of your business. Yet not all inventory is the same, and in order to have meaningful conversations about it, you must categorize inventory into different types.

  1. Raw materials. These are the materials that you use to create your products. Even if you are not the manufacturer of your products, it’s important to pay attention to the availability of raw materials.
  2. Unfinished products. These are the products that you or your manufacturer are currently working on making, but that are not ready to sell.
  3. Finished products. These are products that are ready to sell right now. They are often stored in a warehouse or fulfillment center such as our own.
  4. In-transit goods. These are goods that are being transported somewhere else, such as finished goods en route to the warehouse or to the customer.
  5. Cycle inventory. This is inventory which is bought from a manufacturer or other supplier and shipped directly to your customer. (This is the only kind of inventory present in dropshipping businesses.)
  6. Buffer inventory. Also known as safety stock, this is the inventory that you keep around in case something bad happens that prevents you from getting the inventory you need.
  7. Packing inventory. This is the inventory you keep for your packing supplies, such as finished packaging or even bubble wrap and mailers.
  8. MRO inventory. This is inventory needed for maintenance, repair, and operations. This supports the production process, and is not what goes out to your customers.

Inventory Management 101: 9 Tips to Avoid Running out of Stock

9 tips for inventory management

1. Find good inventory management software

You can manage inventory by hand or in a spreadsheet, and that’s fine for a little while. It doesn’t scale well, though.

If you want to keep track of inventory while minimizing upkeep, look into inventory management software. Some good options include Orderhive, Zoho, and even Quickbooks.

2. Categorize your inventory by priority

Not all inventory is the same. It helps to categorize your inventory so that you can understand which inventory is moving and which inventory is making you money.

Experts typically suggest segregating your inventory into A, B and C groups. Items in the A group are higher-ticket items that you need fewer of. Items in the C category are lower-cost items that turn over quickly. The B group is what’s in between: items that are moderately priced and move out the door more slowly than C items but more quickly than A items. – 10 Essential Tips for Effective Inventory Management, Business News Daily

By prioritizing inventory using an A, B, C system, you’ll come to find that most of your profits will come from a relatively small amount of your stock. This is the Pareto principle (or 80/20 rule) at work. If you need to narrow down your focus in order to effectively manage your inventory, consider focusing on just the 20% of your inventory that brings the most money.

3. Keep track of all relevant data

Inventory management requires keeping track of a lot of different types of data. That includes SKUs, bar codes, countries of origin, product values, lot numbers, HS codes, and a lot more. Using your inventory software of choice, make sure that you are rigorous about tracking all the relevant data for each kind of item you carry.

It may also be a good idea to track information like the cost of the item, its seasonal sales patterns, and whether or not there are hard-to-come-by supplies that go into its manufacturing. Having data organized like this will help you find answers to unpredictable questions that may arise as your day-to-day business operations take place.

4. Monitor sales

Ultimately, every company wants and needs to make money. The best way to keep doing this is to observe which items are bringing in the most revenue.

But what do you look for when you monitor sales? A few things come to mind:

  • How much is each type of item making?
  • Are there seasonal patterns to sales?
  • Do the sales for one item increase the sales for other items?
  • Do you tend to sell more on specific days of the week or times of the day?

5. Get a feel for sales cycles

After enough sales monitoring, you will start to see how sales cycles work. You can then use this information to sell to customers when they are most likely to be buying. You can also use this information to make sure you have new stock ready to go for whenever the next round of sales is going to come in.

6. Be proactive about quality control

Customers expect your products to be good ones. If someone’s first experience with your brand involves a dud product, then they probably aren’t going to come back. If a regular customer has a bad experience, they might be a little too lenient, but only if it doesn’t happen again.

For every new batch of inventory you receive, it’s worth your time to test the merchandise. This is doubly true if something has changed recently that may affect the quality of the product. Better safe than sorry!

7. Make sure you have a good returns process

Returns are a part of life in retail. This is especially true in eCommerce where return rates can be 30% or higher. You need to make sure you have a good returns process.

Part of that returns process will involve figuring out what to do with the inventory when it is received once more. Some returns can be put back into inventory and resold, others need to be thrown away, and still others may need repair or refurbishment. No matter what the case is, make sure you have well-defined processes for inventory management when the returns inevitably come in.

8. Order your own restocks (at least at first)

Once you have a feel for your inventory cycles, you will also have a feel for when to restock. At first, order restocks on your own. Even the best software or account managers cannot always see all the variables that are necessary to know when to order more inventory. Once you determine the pattern in your decision to restock, then it’s time to delegate to someone else!

9. Conduct regular audits

No matter how good you are at tracking inventory, you will occasionally make mistakes. Sometimes, an item isn’t scanned on the way out. Other times, it’s stolen from your store or your warehouse. These things happen.

Every once in a while, be it annually or weekly, it’s worthwhile to audit your inventory and find out how much you truly have. Nothing is quite as uncomfortable as thinking you have 100 items in stock when you actually have none!

Final Thoughts

Good inventory management can keep your customers happy and your profits healthy. The basic idea is simple, to be sure, but when you apply these simple principles around forecasting, flexibility, and quality control, you can gain a major competitive advantage.

And in a world where tariff hikes and supply chain disruptions are more common, keeping tight control over your inventory isn’t just smart. It’s required.

Manufacturing products — that’s just the beginning. You also need to fulfill orders, and that’s a whole other challenge. And in between, you probably need to book freight.

But how do you do that?

Believe it or not, freight today is more accessible than ever thanks to digital marketplaces. But it has also become more unpredictable since the COVID-19 pandemic. Geopolitical tensions, labor disputes, climate-related disruptions like droughts at the Panama Canal, and changes in U.S. tariff policies can and have all quickly impacted freight routes, rates, and timelines.

But even with all that said, the main reason why many business owners find freight shipping particularly scary is because it’s so unfamiliar. Thankfully, once you get past the headlines and complicated terms, booking freight is more straightforward than you would think.

Ultimately, booking freight for your eCommerce store or Kickstarter campaign comes down to four key decisions.

Here’s what you need to know.

1. Choose a freight broker or freight marketplace

There are two main ways to book freight: through a broker or a marketplace.

A freight brokerage firm will ask you a few questions and handle the rest, similar to how travel agents used to book vacations before online booking became common.

Similarly, freight marketplaces help you book shipments just like Expedia helps you book hotels. We recommend checking out Freightos.

No matter which marketplace you choose, the process is similar. You will need to provide details about your shipment, pickup and delivery locations, and customs information. Then, you’ll select a shipping option based on the quotes provided.

Note: When in doubt, we recommend using freight marketplaces to see freight quotes and working with freight brokers for the actual booking of freight. This is especially true considering the current pace of change around tariffs that is relevant as of the date on this post.

2. Determine the right shipping terms

When dealing with freight shipments, you’ll encounter incoterms. These are rules that define the responsibilities of the buyer and seller in freight shipping.

The four most common incoterms are EXW, FOB, DDU, and DDP. Here’s what they mean for you:

  • EXW (Ex Works): The seller (your manufacturer) hands over responsibility for the goods once they’re manufactured. You need to arrange for someone to pick them up.
  • FOB (Free On Board): The seller is responsible for getting goods onto a shipping vessel. You take over responsibility from there, including handling the import process and arranging local transportation once the goods leave the vessel.
  • DDU (Delivery Duty Unpaid): The seller handles the entire freight process, except for customs, which you will pay.
  • DDP (Delivery Duty Paid): The seller handles the entire process, so you have nothing to worry about.

If your manufacturer insists on EXW or FOB terms, it will affect when you need to book freight. Both brokers and marketplaces can handle any incoterms. Just confirm with your manufacturer which ones apply to you.

It’s also worth noting that more manufacturers now prefer DDP (Delivery Duty Paid) these days. This is because it serves to simplify logistics for their buyers, but often does so at a premium. Always ask for a full landed cost quote before agreeing to DDP terms.

3. Calculate customs costs

When importing goods from another country, you’ll likely need to pay customs fees, which fall into two main categories:

  • Duties and tariffs.
  • Safety exams.

For duties and tariffs, you’ll be charged a percentage based on the HS Code of the goods, the country of origin, and the destination country.

As the events of 2025 have shown, though, duties and tariffs can change quickly. Section 301 tariffs on Chinese goods, retaliatory tariffs, and shifts in free trade agreements can all impact costs. It’s critical to check updated tariff schedules before you book freight.

To estimate your costs, look up your HS Code using the GlobalPost HS Classification Tool. Then, use that code along with other relevant information to calculate your import duties and taxes.

Additionally, your goods might be randomly selected for customs inspection. This can involve X-rays, container openings, or direct inspections of the goods. If this happens, you’ll need to cover the exam costs, which vary based on the inspection method. (For example, I had a shipment of board games X-rayed in 2020, which cost around $600 USD.)

It’s worth thinking about how this is going to affect your cash flows too. “Businesses venturing overseas tend to overestimate the time of cash flow and tax rate,” says Paul Ferrara, Senior Wealth Counselor at Avenue Investment. “Entering markets with custom duties of 20 percent on imports and 15 days in transit transport costs can strand capital as it is being shipped and reduce margins.”

Where possible, he advises “conducting small test production runs of 500 to 1000 products and establishing local payment processing facilities. [Doing this] can help reveal the bottlenecks before a large quantity of stock is shipped abroad.”

4. Choose transportation mode

Freight shipping can be done via four transportation modes: air, sea, rail, and road. Your shipment will likely use a combination of these, but the main leg will typically be by air or sea.

Sea shipping is much cheaper but significantly slower, often taking weeks or even months, especially from China to the US. Recent supply chain disruptions — such as those seen during the COVID-19 pandemic — have occasionally further extended these times.

Air shipping is much faster, with deliveries often made within a few days or weeks, but it is considerably more expensive.

If your items are perishable, air shipping is the only viable option. On the flip side, if environmental sustainability is your priority, sea shipping is likely the best choice.

Consult with your freight broker or compare multiple quotes on a freight marketplace to determine if the faster delivery is worth the extra cost.

Bearing all this in mind, freight booking is still very complex. Below, we’ve included some tips from a freight shipping expert to help you all the latest best practices.

5 Tips for Better International Freight Shipping

Please Note: The information in this section comes directly from Corinne Berzon at Freightos. Freightos is a freight marketplace, meaning it helps businesses book their own freight shipping.

What you read in this section was previously part of a guest post, which we’ve bundled into this post for your convenience.

Unpredictable freight rates, port congestion, and fluctuating demand have made freight rates less reliable.

This means that for any shipper, the flexibility to compare quotes and choose the right rate for each shipment can be a huge advantage. Here are 5 tips for getting better freight rates for your international shipments – even when the market is unpredictable:

1. Get multiple quotes

Getting rates from multiple freight forwarders lets you compare price, routing, and estimated transit time so that you can find the best quote for every shipment.

But make sure when you compare quotes that you are getting a detailed breakdown of what’s included in the price. Look out for these details when checking freight quotes from various freight forwarders to avoid surprises:

  • Correct origin and destination details
  • Main freight charges
  • Custom clearance charges
  • Warehouse and ground transportation charges
  • Port charges and equipment fees
  • Additional service fees

2. Try different shipping modes and lanes

Closures and congestion on the shipping lane you usually use can be costly and frustrating. One way to overcome volatility is to look at alternate routes and modes. Here are some examples of how flexibility can help you ship smoother:

  • If you typically ship air, consider whether shipping a higher volume of goods by ocean might be more cost efficient.
  • If you are shipping FCL but are struggling with long transit times, consider splitting shipments up. Switching to LCL or air cargo could help keep your inventory moving.
  • If your regular shipping lane is bogged down by delays, consider shipping to alternate ports and use inland transport for delivery.

3. Double check your shipping details

International freight involves a lot of documentation and forms. Making sure these are accurate can prevent shipment delays and extra charges.

  • Accurate measurements and labeling can make or break your profitability – about 20% of charges added after booking result from incorrect measurements.
  • Proper licensing can prevent your shipments from being held up at customs, which costs both time and money in avoidable penalties.
  • Communicate about requirements like special product handling, extra packaging, additional equipment support, or any non-standard service before shipping to avoid service disruptions, expensive accessorials, or extra charges.

4. Keep seasonality in mind

When you are getting freight quotes for your international shipments, keep in mind that freight costs fluctuate by season.

  • Peak season for ocean shipping is usually August-October when businesses stock up on back-to-school and holiday inventory. During this time, prices can climb as capacity decreases.
  • Lunar New Year in late January or early February shuts down most east Asian factories and manufacturers which can lead to a short period of congestion and elevated prices.

5. Use a freight marketplace

Getting multiple quotes from different forwarders can be time-consuming – and until fairly recently could only be done by reaching out to providers one by one. But freight is going digital, and now shippers can get quotes instantly from dozens of freight forwarders.

The power to compare multiple quotes can help save you time and money, plus by using an online freight marketplace, you also gain the flexibility to switch modes, lanes, or providers depending on specific shipping needs.

Marketplaces provide a number of additional benefits:

Market visibility

Marketplaces collect pricing and transit time data from lots of service providers so you can compare delivery times, prices, and service standards – and choose the best option for every shipment.

Transparency

By using a freight marketplace, you’ll get full transparency into what each quote includes. Since quotes are standardized, you won’t have to guess what services are included.

User reviews

Picking the right freight forwarder can be confusing, but hearing from other importers and exporters can make the decision easier. Marketplaces let you assess the performance of different logistics providers before committing.

Final Thoughts

Booking freight for your eCommerce store or Kickstarter campaign might seem overwhelming at first. But once you understand it, it’s a lot more manageable.

Freight is no longer just about moving products. It’s about managing uncertainty and the risks that come alongside it. Smart freight management gives your business the ability to adapt to delays, rising costs, and unexpected global events without missing a beat.

Remember, the goal is to ensure your products reach your customers efficiently and cost-effectively. Smart freight management is one more lever of power you have to make that happen.

Is the economy in a recession right now? It depends on who you ask and has proven to be a surprisingly contentious question.

And, of course, recent tariff changes and shifts in U.S. trade policy have started up a whole new wave of speculation. It’s really tough to know what they economic impacts will be. Recession? Inflation? Both at the same time? It’s anyone’s guess.

But no matter what, you can prepare for the maybe-happening, maybe-not-happening recession by focusing on recession-proof products. Weirdly, some items just seem to sell more when the economy is bad. It’s a good idea to keep some of them stocked in your eCommerce store.

This might sound too good to be true, but it’s not.  Some products just happen to sell well, or even better, when the economy is bad. And we can prove that statement with real data from the recessions of 2001, 2008, and 2020.

We all know the economy swings up and down wildly. No one knows why the market does what it does. What we do know is that recessions will happen from time to time. It’s inevitable.

Trying to guess when a recession is going to happen is a fool’s errand. A much better idea? Always have room in your inventory for products that sell well in a recession. That way, when one comes, you’re ready!

So with that in mind, we’re going to talk about 16 recession-proof products that will keep money rolling in even when the economy isn’t doing so hot.

What makes a product recession-proof according to economists?

Scroll down a bit more if you are in a hurry to get to the list.

Otherwise, pay attention, because when you understand why certain products do better when the economy sours, you’ll be able to improvise. And that’s much more useful than following a list!

Think about the kind of companies that perform well in recessions. Utility companies do well. Tobacco, alcohol, fast food, and soft drinks do well. Consumer staple companies like Kimberly-Clark, Colgate-Palmolive, Procter & Gamble, and Johnson & Johnson do well.

In short, necessities and vices don’t suffer when recessions come. This may sound like bad news since many consumer products sold online are luxuries purchased with discretionary income. But it’s not: and there’s a simple principle at work behind the changes in consumer behavior during a recession.

Cheaper products perform better in a recession.

I know. I know. But it’s worth saying because it helps us understand some important second-order effects.

Think about it: if you sell something inexpensive, such as Hershey’s Kiss chocolates, you might benefit from the economic downturn. A Big Mac is a lot cheaper than dinner night at a fancy sit-down restaurant. Camping is cheaper than a lavish vacation. Repairing a car is cheaper than buying a new one.

And I think it’s important that note that this is even more critical now. Recent tariffs will probably raise the price floor on many imported goods, making inexpensive domestic or substitute products more attractive.

In a Harvard Business Review article from 2023, M. Berk Talay, professor at University of Massachusetts Lowell, made the following statement. “A recession might be the ideal time to launch your product no matter what it is.”

Keep that in mind if you feel overwhelmed by the risks of running a business with the DOW is down.

What makes a product recession-proof according to business owners?

Of course, what we described above is a bit academic. It may also help to consider the anecdotes of founders who have been previously impacted by recessions as well.

“Essentially, recession-proof products can be any item that people need to survive in its most literal sense,” says Nate Banks, Founder of Crazy Compression, which sells compression socks. “No, this does not include streaming services or food delivery apps. Recession-proof products are consumer staples like food, hygiene, household, and personal care products. Pet necessities like pet food and cat litter are also considered recession-proof. These are things that people quite literally can’t live without. They are not luxury or entertainment items that people can easily forego during economic downturns.”

Brandon Hartman, Founder of Beyblades enthusiast website, BeyWarehouse, has a different take. “I classify recession-proof products into two broad categories. The first one is more obvious; it’s composed of non-negotiables that will always find a market no matter the state of the economy.” The examples he goes on to cite are strikingly similar to Banks’ prior statement.

Hartman goes on to state that “the second category is composed of highly-niched products whose success depends on dedicated fanbases and curated communities. These consumers tend to continue patronizing these products regardless of the state of the economy.”

As you read this article, you’ll also notice that many of the recommended items are the sort you buy more than once. This is because, according to Paul Ferrara, Senior Wealth Counselor at Avenue Investment, “the best way to increase lifetime value is to base acquisition expenditure on retention models.”

These professionals’ statements seem to also suggest again that recessions open up new opportunities. You just have to know where to look.

16 Recession-Proof Products You Can Sell Online

We’d now like to share some ideas for recession-proof products that you might consider investing in during, or before, a recession. Here are sixteen ideas to get your wheels turning.

1. Consumer staples

There are some items that you need no matter what the stock market is doing. Your customers will always need detergent, toothpaste, napkins, tissues, bottled water, and canned goods no matter what.

That’s why these items are called consumer staples and they come in six categories: beverages, food and staples retailing, food products, household products, personal products, and tobacco.

Because consumers’ need for these products doesn’t fluctuate, businesses that sell them will continue to see stable revenue, and perhaps even some steady growth.

2. Camping gear

Lavish vacations to distant lands are not as attractive during recessions. Yet the need to “get away from it all” doesn’t go away when the economy is bad. If anything, that escapist urge grows!

The data backs me up here too. In an article written by US News in 2009, Coleman posted higher sales of tents, coolers, stoves, sleeping bags, and fishing gear. The same article notes that fishing and camping permits went up by 10% between 2008 and 2009 and that canning jars and Rawlings sporting goods posted 12% higher revenue in 2009 than 2007.

In the 2020 recession, we saw something similar happening as well. People Googled “camping” more in 2020 than at any point in the last five years. Makes sense, too, with all the travel restrictions put in place for the COVID-19 pandemic!

3. Automotive parts

No matter what the S&P 500 says, people still need to go to work, the store, and the doctor. And for many people in the US, that requires a working vehicle. When times are good, people are more likely to buy new cars. But what about when times are bad?

People keep their used cars for longer. When your 401(k) gets clobbered and your pay gets cut, the idea of buying a brand new Lexus is off the table. But repairing your 2006 Honda Civic becomes much more attractive!

During recessions, people are a lot less likely to treat their beloved cars and trucks as disposable, which is good news for mechanics and part manufacturers. And if imported cars become more expensive with the new tariff policies implemented by the U.S., this will likely prove even more true.

And sure, it may not be realistic for you to sell alternators, batteries, and transmissions. But you can always sell the little air freshening trees that hang on rearview mirrors, or in-car trash bags to hold crushed soda cans and discarded snack bags.

4. Coffee and tea

I probably consumed a quart of coffee writing this post and another while editing the video up at the top. I am, after all, one of the 64% of American adults who currently consume coffee every day.

People love caffeine, and that’s why, much like tobacco and alcohol, caffeinated beverages do not suffer as much from the economic pressures of a recession!

Fortunately, with coffee and tea, there is a lot of room to differentiate your product from others. Just take a look at Amazon or Etsy and appreciate for a moment all the different coffee and tea flavors that creative people have been able to come up with over the years!

5. Tupperware

People don’t eat out as much during recessions. They prefer to make food at home instead. But you still need a way to store leftovers! That’s where tupperware comes in.

Tupperware was one of the big winners during the global financial crisis in 2008 and 2009. And of course, during the pandemic recession when eating out was considered to be dangerous for your health, tupperware sold like hotcakes.

6. Candy

When the economy tanks, it’s really stressful. Job prospects are grim and hours are long. Many workers in high-stress situations find themselves reaching for the candy bowl, filled to the brim with sugary sweets and cheap chocolates.

It’s for this reason that candy is a juggernaut of recession survival. Cadbury’s profits went up by 30% in 2008 and Nestle’s went up by 11% at the same time. This is not just some freak incident either. Chocolate sales grew by 12% in 2020 as well as people turned to comfort foods.

7. Cosmetics

The desire to look good doesn’t go away when the economy takes a dive. However, instead of extreme makeovers, expensive haircuts, and new wardrobes, women look to cheaper options. For that reason, cosmetics companies have a surprisingly easy time surviving recessions. Even nail salons did pretty well in 2009 (though not 2020 for obvious reasons).

It may seem paradoxical that people still buy luxury goods such as cosmetics in a crisis, but the tendency has been studied over the course of several recessions. There’s even a name for it: lipstick effect. “Instead of buying expensive fur coats, people will buy expensive lipstick.”

8. Pet care products

People love their pets! And when the S&P 500 decides to aim for the zero mark, people spend more time at home with them. So naturally, to relieve some of their stress, people want to pamper their pets!

The demand for pet products continued to grow through both the 2001 and 2008-2009 recessions according to MarketWatch. Then according to another article by Supermarket News, the pet industry broke $100 billion in 2020, posting a 6.7% increase over 2019.

So what can you sell? Shopify recommends you sell pet bowls, toys, and beds, pet treats, grooming supplies, and even adorable pet apparel! Even rising costs due to trade policy changes aren’t likely to dent this trend. Pet owners continue to prioritize spending on their companions.

9. Movies, TV, and video games

A night on the town is expensive. A night indoors is not! People still need entertainment when the economy is bad, perhaps even more so than when the economy is good.  During recessions, cheap entertainment – movies, TV, video games, and other similar products – see a jump in demand.

This was the case during the 2001 and 2008-2009 recessions. It was especially the case during the 2020 recession since stay-at-home orders naturally pushed people to movies, TV, and video games.

10. Clothing

People still wear clothes during recessions. Shirts will be undone by stray fabrics and all shoes eventually have their soles ground down to dust if used enough. If you sell clothing during an economic downturn, you are likely to be insulated from the worst impacts.

On the cheap end, clothes function like a consumer staple. People need them, so they’ll buy them. On the more expensive end, nicer clothes are one of the more affordable luxuries. As such, nice clothes benefit from the lipstick effect, just like candy and cosmetics.

11. Baby products

When you’re a parent, you have to take care of your child no matter what. For that reason, baby products – clothing, diapers, formula, and so on – continue to outperform the market as a whole. This is also true for daycare/childcare services, whose work increases when the economy turns sour and parents return to the workplace. (With the exception of the pandemic-driven 2020 recession, of course!)

If I could sum up the economic outlook of kid products in one statistic, it would be this: spending on children’s nonfiction books grew 66% in 2020.

12. Food and drink

Food and drink continue to be essentials during economic downturns. You may think that consumers turn to rice, potatoes, and tap water when money is tight, but this isn’t always this case! Many times, luxury food and drink products perform well for a few reasons:

  • People need comfort (like with candy).
  • Luxury goods still have some demand (like cosmetics).
  • Fancy food and drink products are still cheaper than dining out.

That’s surprisingly good news for business owners who specialize in trendy products like organic flaxseed, hemp, and chia kombucha.

13. Kitchenware

You know how people don’t eat out as much during recessions. Well, even cooking from home isn’t a free activity. You have to buy the food, of course, but you will need supplies too. That’s why kitchenware tends to perform pretty well during recessions.

In particular, mason jars, silicone molds and spatulas, spiralizers, skillets, flatware, and oven mitts all sell well online and do well in recessions.

14. Sports and fitness products

Gym memberships are expensive. That’s why it’s hard to justify maintaining one during a recession like 2001 or 2008-2009, let alone a pandemic-driven one like 2020.

But people still want to stay fit, so they end up keeping their routines going at home. When recessions strike, that opens up lots of market opportunities in the fitness sector. You can sell resistance bands, exercise balls, yoga mats, sports apparel, and more online. That way people can maintain their active lifestyle while still pinching pennies!

15. Home renovation and repair supplies

During the 2008 financial meltdown, a lot of people did not want to buy houses for obvious reasons. But people still wanted to improve their surroundings, which led many people to remodel their homes even during 2008 according to industry experts.

And, of course, during the 2020 recession, many people started renovating their homes since they were stuck there all the time!

Today, rising material costs from tariffs and supply chain issues also encourage smaller, DIY-friendly projects over major renovations. This is to say nothing of upper middle class homeowners who may prefer to invest in their own home rather than a volatile market.

Now bear in mind that not every renovation involves adding a new roof, breaking down walls, or adding granite countertops to the kitchen. A lot of home renovation is cheap and involves products that can be easily sold online.

To name a few: artwork, pillows, lamps, small furniture, bedding, curtains, and general home decor. This is a fairly easy sector to break into, and you can even dropship some of these items.

16. Highly niche products

It’s enormously difficult to get a hardcore fan of something to leave their money in their wallet, even if their wallet is a bit lighter than usual.

Brandon Hartman, Founder of BeyWarehouse, says that “our main offering [of Beyblade toys] is one such example. During the pandemic, we experienced slight but nonetheless unexpected growth in sales even as the economy ground to a halt and eCommerce reeled from the supply chain crisis.”

This is consistent with his overall belief that highly-niched products tend to do well even during recessions because of their large fanbases and communities.

Final Thoughts

Even if the economy is terrible, you can still launch products and succeed. If the economy tanks tomorrow and you’re selling a lot of different items, you might even find some doing better than you’d expect.

It’s important to understand the dynamic behind all this. Necessities are still necessities even if the unemployment rate is high. “Little luxuries” will still be in demand when “big luxuries” are not affordable. And hardcore fans will keep buying niche products, even when they have less cash to spare.

We hope this list inspires you to make your business a little more resilient against recessions!

Launching a Kickstarter campaign takes a lot of planning, especially with shipping. Many creators get excited about their product and forget about the tricky and pricey shipping process. This can cause big problems.

Estimating and managing shipping costs is mission critical for your project’s success. This guide breaks down the four main factors affecting your Kickstarter shipping costs. We also share strategies to keep these costs low. That way, you can keep your campaign successful from start to finish.

The 4 Main Factors In Kickstarter Shipping Costs

You can’t ship a Kickstarter if you don’t understand the costs that go into fulfilling one. There are four primary costs every creator needs to consider: freight, customs, postage, and fulfillment.

  1. Freight Costs: These are the costs of moving your product from the manufacturing facility to your location or a fulfillment center. Factors like size, weight, and location affect these costs.
  2. Customs Costs: These costs come from importing goods from overseas. They depend on your product’s HS code, its value, and the import regulations of the destination country.
  3. Postage Costs: This is the cost of mailing rewards to your backers. These costs vary based on the size, weight, and destination of the product.
  4. Fulfillment Costs: These include expenses for packaging, handling, and managing logistics. The complexity of your rewards, the number of backers, and your fulfillment process all impact these costs.

Once you understand these four factors, you can better estimate your total shipping costs and plan accordingly to avoid surprises.

Calculating Kickstarter Shipping Costs in 4 Steps

#1: Calculating freight costs.

Calculating freight costs means figuring out how much it will cost to ship your items. This depends on how much your shipment weighs, its size, how far it has to go, and the type of transport you choose.

Bigger and heavier shipments cost more. So does shipping longer distances or using air freight. To get an accurate estimate, contact different freight companies with details about your shipment’s weight, size, and destination.

Collecting multiple quotes helps you find the best deal. Online tools like Freightos let you enter shipment details to compare costs quickly.

Accurate info and careful planning are key to getting reliable freight cost estimates. This helps you manage your budget and avoid surprise expenses.

#2: Calculating customs costs.

Calculating customs costs involves a few steps. First, find your product’s harmonized system (HS) code, which is an international standard that categorizes goods for customs. This code helps you find the duty rates for the countries you’re shipping to.

Next, research the duty rates based on your HS code and the destination country. Keep in mind that 2025 tariff increases may impact your estimates.

To estimate customs costs, multiply the shipment’s value (including manufacturing and freight costs) by the duty rate.

Customs costs can also include extra fees like taxes and handling charges. Decide if your backers will pay these fees directly or if you’ll cover them, which might be more customer-friendly but more expensive for you.

Accurate calculations help you avoid unexpected costs and ensure smoother shipping.

#3: Calculating postage costs.

Postage costs depend on your product’s weight, dimensions, packaging, and destination. Start by weighing and measuring your product, including its packaging.

Shipping zones are important since postal services use them to set postage rates. Use online postage calculators like EasyShip by entering your product’s weight, dimensions, and destinations to get cost estimates.

Since backers may be from different regions, create a weighted average based on estimated locations for a more accurate overall postage cost.

Regularly update these estimates as you get more backer info. This helps you manage your campaign’s budget better.

#4: Calculating fulfillment costs.

Calculating fulfillment costs depends on whether you handle it yourself or use a fulfillment center. If you self-ship, make sure you order enough packaging materials like boxes, labels, and supplies. It’s also smart to buy in bulk from suppliers like ULINE to save money.

If you use a fulfillment center, ask for detailed quotes that include setup fees, storage fees, pick-and-pack fees, and postage rates. Provide detailed info to get accurate quotes and compare multiple centers to find the best rates and services.

When you understand how these costs work, it’s a lot easier to set a budget and avoid surprises. Then once you can make sensible calculations around fulfillment costs, your odds of smoothly shipping your Kickstarter campaign go way up.

Keeping Kickstarter Shipping Costs Low

#1: Lowering freight costs.

Keeping freight costs low requires smart decisions and strategic planning. Start with product design—make your product as lightweight and compact as possible.

Every gram and inch matters! Reducing the size and weight of your product can drastically lower freight costs. For instance, using lightweight materials or rethinking the packaging design can save on shipping expenses.

Next, consider bulk shipping. Sending larger quantities at once often lowers the per-unit cost because of economies of scale. Ordering and shipping in bulk can reduce the cost per item, as shipping companies often offer discounts for larger shipments.

Also, explore different shipping options. Sea, road, and rail are generally cheaper than air freight, though slower. If speed isn’t crucial, go for these options to save money. Sea freight, in particular, can be significantly less expensive than air, though it takes longer.

For bigger shipments, think about hiring a freight broker. They can negotiate the best rates for you. Brokers have the expertise and industry connections to get better deals than you might find on your own.

For smaller campaigns, use a freight marketplace like Freightos to book shipments directly and avoid broker fees. Freightos allows you to compare quotes from different carriers and choose the best option for your needs.

Quick Tips:

  • Design Smart: Make products lightweight and compact. For example, use materials like aluminum instead of steel, or design your packaging to be collapsible.
  • Ship in Bulk: Send larger quantities at once to reduce costs. Consider ordering larger quantities from your manufacturer to save on per-unit costs.
  • Use Cheaper Transport: Ship by sea, road, or rail instead of air. If time is not a critical factor, these options can save you a lot of money.
  • Hire a Freight Broker: They can get you the best rates. Brokers can often find discounts and special rates that aren’t available to the general public.

#2: Lowering customs costs.

Reducing customs costs starts with understanding the customs regulations for each destination country. This goes hand in hand with tariffs, where costs are expected to rise.

As Jonathan Solis, Owner of Whisker Bark, explains, “Small businesses like mine will probably adjust prices once we have to import under the new tariffs… at least 15% increases are expected. It’s critical to plan for these shifts when estimating shipping and fulfillment costs.” This is true in both crowdfunding and traditional eCommerce.

To that end, proper documentation is key. Make sure all customs forms are correctly filled out and comply with the regulations. Incorrect or incomplete paperwork can lead to delays and extra charges.

Hiring a customs broker can be very helpful, especially for larger shipments. Brokers are experts at navigating customs regulations and can help minimize costs by ensuring compliance and avoiding unnecessary fees.

Researching and choosing the correct HS code for your product can sometimes result in lower duty rates. The HS code classifies your goods and determines the duty rate.

Compliance with safety and other regulatory standards in the destination country is also essential to avoid fines and legal issues. Make sure your product meets all necessary standards to prevent costly delays and fines.

Quick Tips:

  • Know the Rules: Understand customs regulations for each destination. Research the specific requirements for each country you’re shipping to, as they can vary widely.
  • Fill Out Forms Correctly: Proper documentation prevents delays and extra charges. Double-check all forms for accuracy before submitting them.
  • Hire a Customs Broker: They can help minimize costs. Brokers can provide valuable guidance on navigating complex customs requirements.
  • Choose the Right HS Code: This can lower duty rates. Use online tools or consult with a broker to ensure you’re using the correct code.
  • Meet Standards: Comply with all safety and regulatory standards to avoid fines. Research the standards for your product in each destination country. Don’t assume your product is good to go—you need to absolutely sure it’s safe and legal where you plan to ship.

#3: Lowering postage costs.

To keep postage costs low, start by thinking about your packaging. You will want to reduce the weight and size of your packages as much as you can without compromising product safety. As with freight, every gram and inch matters for postage costs. Consider using lightweight materials for your packaging and designing it to be as compact as possible.

Compare rates from different carriers like USPS, UPS, and FedEx. Rates can vary for different package sizes and weights, so shop around for the best deal. Many carriers offer online tools to help you compare rates and choose the most cost-effective option.

Hiring a fulfillment center can also reduce costs since they often have access to deeply discounted postage rates. Fulfillment centers handle large volumes of shipments, allowing them to negotiate better rates with carriers.

For international campaigns, consider using overseas fulfillment centers closer to your backers. This can lower postage costs but be sure to balance these savings against higher freight rates for bulk shipping to multiple centers.

Quick Tips:

  • Optimize Packaging: Make packages lighter and smaller. Use bubble wrap or air pillows instead of heavier packing materials.
  • Compare Carrier Rates: Shop around for the best deal. Use online rate calculators to compare costs from different carriers.
  • Use Fulfillment Centers: They can access discounted postage rates. Fulfillment centers can also streamline your shipping process and handle logistics for you.
  • Consider Overseas Fulfillment: This can lower postage costs for international backers. Research fulfillment centers in regions where you have many backers to see if this option makes sense for your campaign.

#4: Lowering fulfillment costs.

To lower fulfillment costs, follow a few key strategies. If you’re self-fulfilling, buy packing materials in bulk to take advantage of discounts. This includes boxes, labels, and packing supplies.

Efficient packaging processes can also reduce labor costs and improve efficiency. Try packing a few boxes and make sure you get your process right before you pack all of them. Once you get into a rhythm, then you can train your team, if you have one. This is a great way to save time and money!

If you’re using a fulfillment center, compare quotes from several providers. Each has its pricing structure and services. You need to read every line item of each quote. Make sure you look for fulfillment centers that specialize in crowdfunding—it’s a less common service than you might think!

Choose your partners with care. A poor fulfillment experience can cause a lot of issues. To quote Paul Ferrara, Senior Wealth Counselor at Avenue Investment, “most companies choose fulfillment services on a low price offered without considering the impact of the service quality on profit. A partner that wrongly handles 3 percent of orders can wipe out profit when each mistake costs a $40 refund on a $15 margin product.”

In short, do your due diligence before you trust a company with your inventory.

Quick Tips:

  • Buy in Bulk: Get packing materials in large quantities to save money. This includes everything from boxes to tape to packing peanuts.
  • Streamline Packing: Make your packing process efficient. Practice first, then train your team on the best practices to save time and reduce labor costs.
  • Compare Fulfillment Centers: Get quotes from multiple providers. Look for centers with crowdfunding experience.

Final Thoughts

Keeping your shipping costs low is incredibly important for the success of your Kickstarter campaign. From freight and customs to postage and fulfillment, each part of the process needs to be accounted for in your overall budget.

Good planning can help you avoid unexpected expenses and provide a smooth delivery process. Follow the tips outlined in this article, you and keep your Kickstarter shipping costs in check and keep your backers happy!

How do you know when you need help with order fulfillment? It’s not an easy call. But deciding when to outsource order fulfillment is absolutely critical if you want to grow your business and keep it running efficiently.

As your business scales, shipping physical products becomes increasingly difficult. So does handling the logistics in-house. This can quickly become overwhelming and expensive.

Order fulfillment partners can help streamline operations, reduce costs, and improve customer satisfaction. Knowing the signs that indicate the need for outsourced order fulfillment will help you make an informed decision when the time comes.

6 Signs Your Business Needs to Outsource Fulfillment

Outsourcing fulfillment can significantly benefit your business. But knowing when it’s time to do this isn’t easy.

Below, you will find a list of signs that your business needs to outsource fulfillment. If you say “yes” to any of these, it’s probably time.

#1: Your customer base is growing faster than you can keep up.

As your order volume increases, it becomes harder and harder to keep up with demand. But once you are set up with an order fulfillment partner, a surge in the size of your customer base doesn’t have to mean hours spent packing boxes in your home office.

Order fulfillment companies can easily handle large volumes of orders. That way, they all go out in the mail on time and to the right address, keeping your customers happy and loyal.

#2: You are unable to quickly and accurately ship orders to customers.

If you can’t ship orders out on-time or to the right address, then you need help. If you even suspect that your order fulfillment process is becoming slow or inaccurate, it’s time to consider outsourcing.

Delays and mistakes can frustrate customers and damage your reputation. Fulfillment companies specialize in quick and precise order processing, helping you maintain high service standards and customer satisfaction.

#3: Your staff are overworked.

When your employees are overwhelmed with fulfillment tasks, their productivity in other areas can suffer. This overload can lead to burnout and decreased morale.

Outsourcing fulfillment can free up your team to focus on core business activities, improving overall efficiency and job satisfaction.

#4: Your business feels overly complicated.

As your business grows, it becomes more complex. This increased complexity can weigh heavily on your mind and you may feel like you can never reach the end of your to-do list!

There are a lot of aspects of in-house fulfillment that can be hard to manage. If you have a lot of SKUs, ship internationally, or have special packaging requirements, this can all add to the complexity.

A dedicated fulfillment partner can handle these complexities for you. That way, you can concentrate once again on strategic growth and business development.

#5: Shipping costs are adding up.

Postage and supplies are expensive. Shipping costs can eat into your profits, especially in eCommerce.

Fulfillment companies almost always get bulk shipping discounts because of the sheer order volume they handle. The same is true of supplies like boxes and other packing materials.

But fulfillment companies are also very competitive, and cannot simply pocket the savings for themselves. They often split the difference with their clients.

By outsourcing, you can take advantage of these cost savings, improving your bottom line and offering competitive shipping rates to your customers.

#6: You are running out of storage space.

If you run out of space to store your own items, you need help. Storing products in-house can clutter your workspace and limit your operational capacity. When you outsource to an order fulfillment center, they handle the inventory management for you and that can free up a lot of space.

How Order Fulfillment Services Are Priced

Order fulfillment pricing can seem complicated. That’s because order fulfillment services are priced based on several factors.

These factors include account or storage fees, the number of packages shipped, postage, supplies, and pick and pack fees. Understanding how fulfillment pricing works will help you estimate fulfillment costs and decide whether or not outsourcing fulfillment is financially sensible.

Order fulfillment pricing can generally be understood by using the following formula:

Fulfillment Cost = Account/Storage Fees + (Packages Shipped * (Postage + Supplies + Pick and Pack Fee))

In the following sections, we break this down further.

#1: Account/Storage Fees

Account and storage fees are the baseline costs for holding your inventory. These fees cover the space your products occupy in the fulfillment center. They vary based primarily on the amount of space required. However, for some special cases like hazardous or refrigerated materials, there may be additional upcharges.

#2: Packages Shipped

When it comes to calculating order fulfillment costs, the number of packages shipped is the most important factor. The more you ship, the more postage and supplies you need. Plus, fulfillment centers charge a fee for each package they handle. So as they handle more packages, you pay more of these fees as well.

In short, the more you ship, the more you pay.

#3: Postage

Postage costs are the fees associated with shipping your items to customers. Fulfillment centers often negotiate bulk postage rates, which can be significantly lower than standard retail rates.

Like with retail postage, the most important factors here are the size and weight of the package to be shipped, as well as the destination.

Heavy and large items shipped long distances cost more. Smaller, lighter items shipped short distances cost less.

#4: Supplies

Supplies costs cover the materials needed for packing and shipping, such as boxes, bubble wrap, and tape. Basic materials are typically included in the pick and pack fee (discussed below), but special packaging requirements may incur additional charges.

#5: Pick and Pack Fee

The pick and pack fee is the cost of retrieving items from storage, packing them, and preparing them for shipment. This fee covers labor and basic materials for each order processed. Think of this as the cost to have a human being put your items into a box and get them in the mail on your behalf.

How Outsourcing Fulfillment Can Save You Money

Saving time and running your business more efficiently are good enough reasons to outsource fulfillment on their own. However, outsourcing fulfillment can – in some scenarios – save your business a lot of money.

These cost savings come from bulk postage rates, reduced supply costs, and better labor allocation. Understanding where these cost savings come from is worth it, since they can help you see whether or not outsourcing fulfillment will be financially beneficial rather than merely an operational necessity.

#1: Fulfillment centers get bulk discounts on postage and supplies.

Fulfillment centers usually have lower postage rates because they ship so many packages. Carriers are more willing to cut them a price break. The same principle applies to supplies, which are purchased in massive bulk quantities.

Because the fulfillment industry is competitive, these savings are passed on to you, which can reduce your shipping and material expenses. Over time, these savings can really add up!

#2: Order fulfillment companies have staff that dedicate 100% of their time to shipping.

Outsourcing fulfillment allows you to reallocate labor to more valuable tasks. Employees can focus on revenue-generating activities instead of packing and shipping orders. This improved labor efficiency can lead to higher productivity and profitability.

#3: You can cut down on training and overtime costs related to shipping.

Fulfillment centers handle all aspects of order processing, reducing the need for overtime and extensive training. That means if you or your staff are doing overtime shipping packages, you can stop!

Cutting down on overtime, or even time spent training employees on how to ship, can save a lot of money. This isn’t just because it helps keep wages in check, but it also helps smooth out your workflows.

#4: You no longer have to purchase your own supplies.

Outsourcing eliminates the need for purchasing packing supplies like bubble wrap, boxes, and tape. These costs are largely covered by the fulfillment center and included in the pick and pack fee. This reduces your overall expenses and simplifies budgeting.

#5: You may be able to reduce storage costs.

Storing inventory in a fulfillment center can be more cost-effective than renting additional space. You avoid the expense of storage units and the hassle of managing inventory on-site. This can free up valuable workspace and reduce overall costs.

#6: Order fulfillment partners are generally more efficient.

Outsourcing streamlines your operations, making them more efficient. With professionals handling fulfillment, you reduce errors and improve workflow. This allows you to focus on core business activities instead of shipping.

#7: More consistent shipping experiences can reduce customer turnover.

According to eCommerce delivery platform, FarEye, 85% of customers will not shop again with retailers after negative shipping experiences. This is really bad, since acquiring new customers is far more expensive than retaining them.

Fulfillment centers ensure faster, more reliable shipping, improving customer satisfaction and retention. This reduces refund requests and increases repeat business.

#8: More consistent shipping experiences can improve customer retention.

Reliable fulfillment improves customer satisfaction, leading to higher retention rates. Happy customers are more likely to make repeat purchases and recommend your store to others, boosting your revenue and growing your customer base.

How to Choose an Order Fulfillment Company

Deciding to outsource fulfillment is one thing. Choosing the right company is another.

In order to pick the right one, you will need to consider a number of factors. Among them, include your average item weight and size, shipping volume, number of SKUs, and the location of your customer base. You will also need to make sure that any fulfillment company you choose to work with provides good quality service.

Note: if you import goods internationally, rising tariffs in 2025 could also impact your landed costs before goods even reach the warehouse. It’s smart to factor in total landed costs when budgeting for fulfillment.

Here is a quick guide to help you make the right choice.

#1: Consider the weight and size of your items.

The weight and size of your products significantly impact shipping costs and handling requirements. Select a fulfillment company with experience in your industry.

For example, if you sell small, lightweight items, choose a provider experienced in handling such products. Likewise, if your items are large and heavy, find a partner experienced in managing big and bulky shipments. That way, you can choose a fulfillment partner that provides cost-effective shipping tailored to your needs.

#2: Estimate shipping volume.

Understanding your shipping volume helps in selecting a fulfillment partner that can scale with your business. If you have a low order volume, choose a company with no minimum requirements, allowing you to pay only for the services you need.

For businesses with high order volumes, select a provider capable of managing huge quantities of orders. That way, you can rest easy knowing they can handle your peak times and have capacity for future growth.

#3: Count the number of SKUs you plan to ship.

The number of SKUs you have affects the complexity of inventory management. Choose a fulfillment company capable of handling your SKU count efficiently. If you have a high number of SKUs, find a provider with a flexible system that can manage diverse inventory without additional costs.

This ensures accurate order fulfillment and streamlined operations, preventing issues such as stockouts or mispicks.

#4: Consider where your customers are located.

Customer location is very important when choosing a fulfillment company. Make sure you choose a fulfillment company that has a location which can cost-efficiently ship to most of your customers within a short period of time. This will have a dramatic impact on postage costs, which is almost certainly going to make up the largest percentage of overall shipping costs.

#5: Carefully vet fulfillment centers for service quality and fit.

Vetting fulfillment centers ensures you choose the right partner. Start by researching online reviews on platforms like Google and Trustpilot to make sure their client base is happy.

Request quotes to understand their pricing structure. Make sure they are good communicators and that you feel like you can trust them. Check for hidden fees or long-term contracts that may not suit your business.

But be careful not to just default to the lowest priced option. William Forshaw, CEO of Maxwell Scott Bags says, “I chose a partner based on their warehouse tour and the cheap fees without testing the peak season capacity. Last Christmas, they fell apart and my leather goods clients were getting the damaged packages 3 weeks late because the partner was jamming 10,000 daily orders into a facility that was built for 3,000.”

That’s not a situation you want to find yourself in, so go into the quote process with a “value-for-money” mindset rather than a “bargain hunter” mindset. Cheaper upfront is not always cheaper in the long run!

Finally, test their software for ease of use and functionality. Software is going to be the primary way you interact with the company, so make sure you like what you see.

Final Thoughts

Deciding to work with an order fulfillment partner for the first time can be scary. But once you start shipping a lot of orders on a regular basis, it’s something you will want to think about.

The right order fulfillment company can really help you streamline operations and save money. That can put your company on the path to long-term growth for years to come.

Frequently Asked Questions

Why is order fulfillment important?

Well-managed order fulfillment means that customers will receive their products on time and in good condition. This directly impacts customer satisfaction and brand reputation, not to mention customer retention. Efficient order fulfillment can reduce operational costs, minimize errors, and improve inventory management, leading to better overall business performance and profitability.

Should I use a fulfillment company?

Using a fulfillment company can streamline operations, reduce shipping costs, and improve delivery times. Outsourcing fulfillment allows businesses to focus on core activities like marketing and product development.