which shipping company do i use

[muna.sh]

HI there

I am really new to this. I would like to open a fashion store (clothes, shoes, bags and accessories).

Is Aus post the best option for this?
How can i minimize the shipping costs?
Do shipping companies charge businesses less?

Also, i was told in other forums that if an item is 500g or less i can send it as a big letter (cheaer to ship), would that work for clothes?

Any advice is highly apprecited. i love the amazing help i am getting here from this community.

So thanks in advance 🙂

[muna.sh]

Thank you so much.

but i am confused on how come companies like Boohoo charge only $5 for delivery, they are in SA and i am in sydney (i ordered clothes from them). They use Australia post and i get the item only within 3 days.

From Boohoo.com

[digital*ghost]

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@muna.sh wrote:

but i am confused on how come companies like Boohoo charge only $5 for delivery, they are in SA and i am in sydney (i ordered clothes from them). They use Australia post and i get the item only within 3 days.

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What they charge and what they pay will be two very different things, as you can see by the fact that they charge $0 for orders over $40 (they would obviously still be paying to send out orders).

Some companies will load item prices with a portion of postage costs and charge a lower P&H amount purely for the sake of impression. Cheap or free postage has the illusion of a good deal, and having a min. spend threshold for free post encourages people to spend more, so if as an (arbitrary) example, $5 of every item price is actually accounting for postage costs, someone buying two $20 items to get free post has actually paid $10 post. (That is not to say that there is no such thing as free - to the customer - postage, but most, if not all, businesses will account for that cost one way or another). 

[digital*ghost]

Dang it... I ran out of time to edit my post... 

I was going to amend the "paid $10 for postage" bit, because it's not strictly true or accurate.

What I should have said is that when a customer purchases multiple items, it reduces some of the fixed expenses a business has, so it's easier to accomodate postage costs without charging extra for it. That's actually how my business model works, in part. I have a relatively low flat rate that doesn't change no matter how many items a customer buys. My item prices don't actually contain an amount specifically for postage, but there are fixed fees that only apply once to an order, so I pay the extra postage for larger orders because I've saved expenses in other areas.

[muna.sh]

thanks thats what i actually thought that they incorporate with some of the postage pricing within the item cost

[muna.sh]

thank you, yes i get that 🙂
I appreciate your help!