Understanding the Factors That Affect Bulk Shipping Costs
With the rising costs of shipping goods, it’s more important than ever to understand what affects bulk shipping costs. Here’s an overview.
Bulk shipping has become a popular option for many businesses looking to move large quantities of goods across the country or overseas. However, the cost of bulk shipping can vary significantly depending on several factors. In this article, we will discuss the key factors that affect bulk shipping costs and how they can impact your business.
Size and Weight
The size and weight of your shipment are two of the most important factors that determine your bulk shipping cost. This is because larger and heavier shipments require more space on trucks, planes, or ships, and this translates into higher shipping costs. As a general rule, the bigger and heavier your shipment, the more you’ll pay for shipping.
Shipping or Freight Class
Another important factor that affects bulk shipping costs is the shipping or freight class of your goods. This is a standardized system that categorizes shipments based on their fragility, density, handling requirements, and other factors. Shipping classes range from class 50 to class 500, and the higher the class, the more expensive the shipping cost.
Shipping Inventory Distance
The distance between your shipping location and the destination is another crucial factor that affects your bulk shipping cost. The farther your shipment needs to travel, the more expensive it will be. This is because longer distances require more fuel, labor, and time, all of which contribute to higher shipping costs.
Dimensional weight is a calculation that takes into account the size of your shipment rather than its actual weight. This is because large, lightweight shipments can take up as much space as smaller, heavier shipments. To calculate dimensional weight, multiply the length, width, and height of your shipment and divide by a specific divisor. If the dimensional weight is greater than the actual weight, you will be charged based on the dimensional weight, which can increase your shipping costs.
In conclusion, several factors affect bulk shipping costs, and it’s crucial to understand how they can impact your business’s bottom line. By considering the size and weight of your shipment, shipping or freight class, shipping inventory distance, and dimensional weight, you can estimate your bulk shipping costs and make informed decisions about how to optimize your logistics and supply chain. With careful planning and consideration of these factors, you can minimize your shipping costs and maximize your profits.
Through our member companies, the ShipNorthAmerica Network provides a broad range of services in specialized freight movement. Visit our blog for more articles, news, and updates on the transportation industry.