Delivery exceptions are an unavoidable part of e-commerce order fulfillment. They occur when a shipment faces an unexpected delay or interruption during transit, potentially impacting its estimated arrival time. Understanding what causes delivery exceptions, how long they typically last, and what merchants and customers can each do about them can make the process less frustrating for everyone involved.

What Are Shipment Delivery Exceptions?

A delivery exception is when a shipment encounters an unexpected or unavoidable issue or event that disrupts its journey to the final destination (delivery address). The problems can result in late delivery, rerouting, or even the return of a shipment to the sender. The duration of a delivery exception varies depending on the cause. For instance:

• Weather-related exceptions might delay deliveries for a day or two until conditions improve.
• Customs inspections for international shipments can last from hours to weeks, depending on the documentation, regulations, origin, and destination countries.
• Address issues usually take 1-3 days to resolve once the corrected information is provided to the carrier.

While delivery exceptions can be inconvenient, they are most often temporary disruptions that carriers work to resolve as quickly as possible. However, packages are sometimes lost or damaged in transit and never arrive at their intended destination.

Common Types of Shipment Delivery Exceptions

The main categories of delivery exceptions, along with an explanation of each:

1. Address and Label Issues
   Damaged, illegible, or incorrect labels can prevent packages from reaching their destination. If the correct information is provided promptly, these issues are often resolved within a day or two. If not resolved, these shipments may become “lost” (see #7 below for more information).
2. Weather and Natural Events
   Severe weather like hurricanes, snowstorms, or floods can disrupt carrier operations. Delays often persist until the affected routes are cleared and safe for travel.
3. Customs Delays
   International shipments frequently encounter delays due to incomplete or missing paperwork or regulatory requirements. Depending on the issue, this may take a few hours to several weeks to resolve. Often, these packages are returned to the sender to be fixed and re-shipped at the shipper’s expense.
4. Recipient Unavailability
   When a package requires delivery confirmation service such as a signature or in-person delivery and no one is available, carriers usually attempt redelivery the next business day. Another form of unavailability is a driver who arrives at a commercial address after the building has been closed for the day. If delivery is repeatedly unsuccessful, the package may be held at a local facility for pickup, but it will eventually be returned to the sender or destroyed.
5. Security and Compliance Issues
   Hazardous materials and restricted goods require additional identification or paperwork and, thus, scrutiny. Incorrect or missing stickers and shipping labels can cause delays that vary widely, depending on the situation.
6. Operational Disruptions
   Holidays, equipment malfunctions, or facility closures can temporarily impact processing times. These exceptions usually resolve within a few days as operations return to normal.
7. Lost Package
   Damaged or incorrect shipping labels can lead to misrouting. Particularly small parcels may be overlooked or accidentally mixed with other shipments. Excessive handling (too many touches) as packages move through various facilities can lead to loss. And though less common, theft during transit can be the source of the “lost” package.
8. Damaged in Transit
   Inadequate packaging (poor-quality materials) or insufficient cushioning to protect the contents can cause damage in transit. Oversized boxes (too much air) allow items to move around and potentially break. Rough treatment or improper stacking/storage by carrier staff or automated processing equipment during sorting, loading, or delivery can also result in damages.

Why Delivery Exceptions Matter

From late birthday gifts to cocktail dresses that didn’t arrive by New Year’s Eve, delivery exceptions can create grief for both merchants and customers.

• Customers: Delays are frustrating, particularly for time-sensitive shipments. Clear communication about exceptions can help reduce frustration and maintain trust.
  
• Merchants: Exceptions can lead to increased costs and/or loss of revenue from refunds, reshipments, or additional customer service demands. Poor customer service, and by extension, poor handling of exceptions or repeated, frequent exceptions, may damage a brand’s reputation and/or lead to losing future business from a customer.
  
  Technologies that provide timely visibility of delivery exceptions can help merchants avoid the issues by providing proactive customer service, demonstrating to customers that they value the business and relationship.

I really like the [Cahoot] Shipment Insights feature that lets me see any problems before the customer knows. We’ve saved thousands of dollars over the last 6 months, and my customers are delighted I can offer the same nationwide shipping as Amazon. Cahoot definitely under-promises and over-delivers. Call these guys!

~ Sam Krausz, Fastest Handling Time

How Carriers Handle Exceptions

Carriers each have their unique processes for managing exceptions. Here’s a quick overview:

• FedEx: Uses real-time tracking updates and typically attempts redelivery on the next business day. For major disruptions, packages may be redirected to a local pickup point.
  • Tracking Page: FedEx Tracking
  • Contact Page: FedEx Contact Information
• UPS: Provides detailed exception codes that explain the issue, such as “Action Required” for shipper intervention. Redelivery attempts are common.
  • Tracking Page: UPS Tracking
  • Contact Page: UPS Customer Support
• DHL: Focuses more on international shipments than domestic and provides specific updates for customs delays or other issues. DHL works closely with customs to expedite resolution.
  • Tracking Page: DHL Tracking
  • Contact Page: DHL Contact Information
• USPS: Handles exceptions like “Held at Post Office” or “Processing Exception” by allowing customers to schedule redelivery or pick up packages from a local facility.
  • Tracking Page: USPS Tracking
  • Contact Page: USPS Customer Service

20 Common Delivery Exceptions and How to Address Them

Summary

While delivery exceptions will remain an inherent challenge in e-commerce logistics, understanding their causes and employing proactive strategies can mitigate their impact. Merchants who develop comprehensive exception management protocols, maintain strong carrier relationships, and prioritize customer communication are better positioned to maintain customer satisfaction despite shipping disruptions. Customers who are careful to clearly and accurately enter shipping addresses, articulate address access concerns, and upgrade shipping speed for time-sensitive orders will reduce the likelihood of delivery exceptions that lead to delays. And as carrier technology evolves, exception handling will continue being refined, enhancing the delivery experience for merchants and customers alike.

Frequently Asked Questions

1. What is a shipment delivery exception, and does it always mean my package will be late?

A delivery exception occurs when something unexpected interrupts a package’s normal transit, such as weather issues, customs delays, or address problems. However, this doesn’t always mean your package will be late. Sometimes, carriers can resolve the issue quickly and still deliver on time.

2. What should I do if my package is delayed due to weather?

Unfortunately, weather delays are out of everyone’s control. Monitor the tracking updates and be patient, as carriers prioritize the safety of their employees. If the delay seems unusually long, contact the carrier for an update or alternate options, such as intercepting the shipment and upgrading the delivery service.

3. Why did my package get held at customs, and how long could it stay there?

Customs holds usually happen because of incomplete documentation, incorrect tariff codes, incomplete descriptions, or a need for inspection. How long it stays depends on the issue; sometimes a few hours, sometimes weeks. To avoid this delivery exception, ensure all paperwork is complete and accurate when shipping internationally.

4. What does ‘address not found’ mean, and how can I fix it?

It means the carrier couldn’t find the delivery location due to an error in the address provided, such as a missing apartment number or incorrect postal code (make sure the tools used to create shipping labels aren’t trimming leading zeros from zip codes). You can resolve it by contacting the carrier or sender to provide the correct details.

5. What happens if I miss a delivery that requires a signature?

When no one is available to sign, the carrier typically leaves a notice and may try delivering the package again the next business day. Alternatively, you might need to pick it up from a nearby facility or arrange for redelivery through the carrier’s website. Don’t delay contacting the carrier about your package…most carriers will only hold a package for several days before destroying it.

6. Why has my package been ‘in transit’ for so long?

“In transit” means your package is on the move but hasn’t reached its final destination. Tracking updates often provides clues about the delay. But if it stays in transit for an extended period, it could be due to carrier processing or equipment malfunctions, inclement weather or natural disasters, route changes, or loss or damage. The carrier will assess the situation before updating the last tracking event.

7. What should I do if my package is marked ‘undeliverable’ or ‘returned to sender’?

This usually happens due to an incomplete address, a refusal by the recipient, or failed delivery attempt(s). Contact the sender or carrier to understand why the package was undeliverable and arrange for it to be re-shipped.

8. How do I address exceptions caused by incorrect labels or damaged barcodes?

Damaged labels or barcodes can delay delivery since carriers rely on these for routing. Merchants should use high-quality labels and double-check accuracy and quality before shipping. If this happens to your package, contact the carrier to help route it with a fresh label or contact the merchant to reship it.

9. What does ‘processing exception’ mean on my tracking updates?

A processing exception indicates that the carrier encountered an issue while handling the package, such as equipment malfunctions or unexpected sorting delays. Typically, carriers resolve these issues automatically within a few days but contacting them may speed things up.

10. Can I avoid shipment exceptions during peak holiday seasons?

While shipment exceptions during holidays can’t be entirely avoided, you can reduce the likelihood by ordering early, providing accurate shipping details, and choosing carriers known for reliable service during peak times. Merchants can also distribute inventory to strategically located regions to shorten delivery routes by eliminating transit days.

Recently, tariffs have become a big topic in conversations about trade worldwide. A post by Manish Chowdhary on LinkedIn got many people talking about how tariffs affect goods from China and change how companies get their products. As governments change trade rules to help their businesses, companies face higher costs and issues getting supplies. This new situation means that businesses must think carefully about where they get their products and how to manage risks.

The Rising Impact of Tariffs

Tariffs are designed to level the playing field for domestic producers and counteract perceived unfair trade practices. However, their real-world impact is far more complex. As Chowdhary’s post highlights, the imposition of tariffs on Chinese goods has resulted in a noticeable slowdown in Chinese import activity. This deceleration is not just a matter of shifting numbers on a balance sheet—it signals a significant transformation in the global trade ecosystem.

Rethinking Global Supply Chains

China has been the go-to place for manufacturing for many years because it provides cheaper products and many options. Companies relied heavily on Chinese factories to keep prices low. But now, with tariffs raising the cost of imports, businesses have to rethink their dependence on China. These changes affect prices, increasing operating costs and lengthening lead times, creating challenges in markets where every penny counts.

Diversification as a Strategic Imperative

Because of these tariffs, companies are looking for new ways to get their products. This means finding different suppliers to avoid being too dependent on one country. By spreading out their production, businesses can protect themselves from sudden changes in trade rules. This new strategy could also lead to exciting innovations as companies use technology and data to be more flexible. This shift towards a more diversified yet efficient supply chain model could foster a new era of innovation as businesses invest in technology and data analytics to enhance flexibility and responsiveness.

Leveraging Technology and Data Analytics

Looking for suppliers in different countries forces businesses to examine their supply chain management closely. Tariffs drive this change, so companies invest in technology that helps them predict problems and handle their inventory better. A strong, data-driven approach to supply chain management is becoming essential in a world where trade rules can change quickly. Advanced technology can help spot potential issues and provide helpful information so businesses can stay agile.

Global Trade Implications

These changes due to tariffs can also affect how countries collaborate in trade. While tariffs aim to protect local markets, they can also create tension between countries. Fewer imports from China might lead to retaliations or more trade barriers, making international trade more complicated. Therefore, business leaders and policymakers must balance helping local industries and maintaining good trade relations with other countries.

Building Resilience in a Shifting Landscape

The need for businesses to be strong and adaptable has never been more critical. Companies willing to change and find new solutions can turn challenges into advantages. By rethinking how they source products and using new technologies, businesses can handle the challenges brought on by tariffs and set themselves up for future growth. This situation teaches us the importance of being flexible, ready, and open to change.

Conclusion: Adapting for Future Success

Manish Chowdhary’s post highlights a crucial moment in global trade. Tariffs have changed the amount of goods from China, forcing businesses to think critically about their supply strategies. As companies face these challenges, finding new suppliers, using advanced technology, and being flexible are essential. The future of trade will belong to those who can notice changes, adapt quickly, and turn challenges into chances for success. In a world where trade rules constantly evolve, the ability to innovate and rethink supply chains isn’t just an advantage—it’s a must.

“Expedited shipping meaning” refers to delivery faster than standard shipping, usually within one to three business days. The expedited shipping option is essential for online shoppers needing quick delivery, often provided by services like USPS’s Priority Mail Express with guaranteed delivery times. It’s used for urgent or time-sensitive deliveries. In this article, we’ll explain how expedited shipping works, its benefits, and how it compares to other shipping options.

Key Takeaways

• Expedited shipping ensures faster delivery, typically within 1-3 business days, enhancing customer satisfaction for urgent needs.
• Differentiated from standard shipping, expedited services come at a higher cost but offer advantages like reduced risk of damage and prioritization in handling.
• Ground shipping is a slower yet cost-effective alternative to expedited shipping, benefiting from distributed inventory across multiple fulfillment centers to reduce delivery times and lower shipping costs.
• Businesses can manage expedited shipping costs through strategies like inventory distribution, minimum spend thresholds, and partnerships with third-party logistics providers.
• Eco-friendly, hyperlocal expedited shipping options are more abundant than ever, and technology solutions such as drone delivery and “anticipatory shipping” will be here before you know it.

What is Expedited Shipping?

Expedited shipping is a method of delivery that guarantees faster transit than standard options. It includes any shipping option that exceeds the typical delivery timeframe offered by a retailer. What qualifies as expedited can differ between carriers, leading to variable expectations regarding arrival times based on which one is providing the service. Cahoot offers many expedited shipping options.

Expedited shipping commonly promises that items will arrive within one to three business days, with services ranging from overnight to two-day delivery for most shipments within the continental US. For online retailers, this swift processing time and delivery plays a pivotal role in boosting consumer satisfaction and lifetime value.

An increased desire exists nowadays for faster dispatch solutions. Customers opt for expedited delivery when they need their purchases quickly fulfilled—whether it’s crucial for their business operations or due to personal last-minute demands. Depending on merchant and customer locations, situation specifics such as the time of day and the day of the week the order is placed, carrier and service selected, the actual delivery timeframe may vary somewhat across different regions and conditions.

How Expedited Shipping Works

As soon as an order with expedited shipping is received, it gets flagged for immediate attention and takes precedence over regular orders in the warehouse processing queue. This prioritization is essential to adhere to stringent delivery timeframes.

The success of expedited delivery hinges on precise timing. To be eligible for this speedy service, orders have to be placed before designated cutoff times. Companies choose their carriers judiciously, focusing on those that guarantee the most rapid transport solutions and favor those that commit to later pickup times and same-day sortation.

Expedited shipments are then given special treatment by the carrier, including optimal transportation routes to facilitate fast arrival at their destinations. The process is augmented by continuous tracking updates which offer customers visibility into the progress of their shipment throughout its transit.

Expedited vs. Standard Shipping

Standard and expedited shipping vary greatly in terms of delivery speeds and associated costs. The expedited shipping option is essential for customers who need faster delivery compared to standard shipping. Expedited shipping typically promises a swift delivery within one to three business days, whereas standard shipping often requires approximately three to seven business days for packages to arrive. The quicker turnaround with expedited service is particularly appealing when orders are time-sensitive or when fast receipt of high-value items is essential.

Despite its advantages, the faster delivery that comes with expedited shipping incurs higher fees compared to the more cost-effective standard option, which usually represents the slowest yet most economical method for delivering goods. Opting for expedited services can mitigate transit damage risk due to reduced touchpoints along the journey.

For those customers who prioritize promptness in receiving their purchases, offering an option for expedited shipment markedly improves their contentment and experience with a company’s service. It’s important that businesses comprehend these distinctions as they tailor offerings geared toward meeting various customer preferences and hopes regarding order fulfillment timescales.

Types of Expedited Shipping Services

Different carriers offer different expedited shipping services to meet diverse customer needs. Here are the main types of expedited shipping services by USPS, UPS, and FedEx, focusing on their features and benefits.

USPS Priority Mail Express

USPS offers Priority Mail Express, their fastest domestic shipping service. This service guarantees next-day delivery by 10:30 am, ensuring prompt package receipt. Priority Mail Express starts at $27.20 for commercial pricing and $31.40 at the post office. The cost depends on the package’s weight, destination, and size, and can cost as much as $67.50 for a large flat rate box.

Priority Mail Express includes several additional features such as free package pickup, USPS Tracking, $100 insurance, and optional Sunday delivery for an additional fee. These features make it reliable and cost-effective for urgent deliveries.

UPS Expedited Shipping Options

UPS provides a range of expedited shipping options tailored to meet different urgency needs, including same-day, next-day, two-day and three-day delivery services. These shipping services include the cost of UPS-branded packaging at no additional charge, and they also include free pickup service and insure your package up to a declared value of $100.

With UPS’s expedited shipping options, you can send packages weighing as much as 150 lbs., which is more than twice the weight allowed by USPS, and is ideal for heavier shipments. The UPS 2nd Day Air option ensures that your shipment will arrive by the end of the second business day. If you require Saturday delivery, this service is available for an extra fee (expedited services only).

FedEx Express Saver and Same-Day Delivery

FedEx provides a range of expedited shipping options, among which are FedEx Express Saver and services for same-day delivery. Opting for FedEx Express Saver ensures cost-effective two-day shipping across the contiguous U.S., offering an efficient compromise between speed and affordability.

For those requiring immediate dispatch, same-day delivery is an available option. With FedEx 2Day shipping, there is the option of Saturday deliveries in certain locations at an extra charge, and there is also a service that guarantees parcels will reach businesses by 10:30 AM and residential addresses by noon.

FedEx One Rate is a flat rate program that offers next-day through 3rd day delivery services. Packaging is complementary and can be ordered for free residential delivery or picked up for free at a FedEx Office Retail location. Weight and dimensions are ignored; if it fits, it ships. Services include insurance up to $100 declared value; additional insurance is not available.

Hyperlocal Delivery

Expedited delivery is becoming faster, smarter, and greener, with tech-driven solutions making same-day and even sub-hour deliveries the new norm. Companies that adapt to automation, sustainability, and consumer convenience will dominate the future of ecommerce logistics.

Besides the national carriers, there are many hyperlocal fulfillment options available in many regions. Retail giants and startups are expanding same-day and 1-hour delivery services, especially in urban areas. Walmart is in its fourth year of expanding Walmart GoLocal, which will deliver your orders from a local pickup facility.

Additionally, the rise of dark stores and micro-fulfillment centers in residential areas is enabling faster, more localized, and eco-friendly deliveries. Examples are Walmart’s local fulfillment centers, Amazon’s Prime hubs, and Gopuff, among others.

Companies like Instacart, Uber Eats, and DoorDash are extending beyond food delivery into retail and pharmacy pickup and deliveries. More companies are relying on gig workers (e.g., Uber, Lyft, Roadie) for flexible, on-demand deliveries. Walmart Ship-from-Store can deliver within hours to 90% of the US population. Crowd-shipping models, where local commuters deliver packages, are also being explored.

Benefits of Offering Expedited Shipping

Offering expedited shipping can yield several advantages for companies. Most importantly, it demonstrates a dedication to meeting customer needs, which in turn fosters customer relationships and loyalty. Quick and punctual shipments are crucial elements that contribute to the enhancement of consumer satisfaction that drives customer lifetime value.

The implementation of an expedited shipping program has been shown to considerably diminish the rate of abandoned shopping carts. Research indicates that unsatisfactory delivery choices lead 45% of consumers to ditch their purchases midway through checkout. Introducing two-day shipping can lower cart abandonment by 18%!

When faced with time-sensitive situations such as needing last-minute presents or essential supplies, customers frequently choose expedited shipping services. This includes scenarios like eleventh-hour event preparations or obtaining vital medical items on short notice. By offering this swift dispatch alternative, enterprises meet critical demands effectively and thereby elevate their brand’s image.

How Much Does Expedited Shipping Cost?

Several factors influence the cost of expedited shipping, including travel distance, size and weight, and transit days (how quickly the shipment needs to be delivered). Longer transportation routes incur more fuel and labor costs, escalating the overall price. Expedited shipping rates often include extra fees for residential delivery or specialized handling.

Cargo size and weight affect shipping fees significantly. Larger and heavier shipments typically lead to higher costs as bulkier items occupy space that several smaller items could fit into. Premium pricing for expedited services varies by carrier, as well as whether a flat rate service was used, which businesses must consider when choosing the most cost-effective option.

Strategies to Manage Expedited Shipping Costs

It’s essential to control the costs associated with expedited shipping in order to preserve profit margins while still satisfying customer demands for quicker delivery. To achieve a balance between delivery speed expectations and managing expenses, consider strategically positioning your inventory, enforcing a minimum expenditure threshold for customers, and collaborating with a third-party logistics provider (3PL).

Distribute Inventory Strategically

Spreading inventory across multiple fulfillment centers shortens shipping distances and diminishes expenses. By placing inventory in closer proximity to customers, the result is cost-effective shipping owing to decreased travel. Employing this strategy reduces expenditures and improves the effectiveness of the overall shipping process.

Implement a Minimum Spend Requirement

A minimum spend requirement can also help manage expedited shipping costs. Setting a minimum order value allows businesses to offer free expedited shipping, encouraging larger purchases for cheaper, faster delivery. This strategy drives higher sales volumes while offsetting shipping costs.

Partner with a 3PL

Collaborating with a third-party logistics provider (3PL) enhances the efficiency of shipping and reduces expenses. 3PLs manage multiple aspects of ecommerce order fulfillment, enabling companies to concentrate on their primary merchandising and selling activities. Leveraging the services offered by 3PL providers improves the effectiveness of dispatching goods while preserving competitive rates in the market. Leveraging their volume to achieve economies of scale is a strong recommendation.

International Expedited Shipping

International shipments requiring expedited shipping come with their own unique challenges, such as navigating customs protocols and dealing with inconsistent delivery schedules. UPS enhances the effectiveness and cost-efficiency of global shipping through its Worldwide Express and Worldwide Expedited services. The latter is slower but also cheaper. FedEx’s International offerings typically guarantee international delivery within a one to three-day timeframe.

Renowned for its dependable international express shipping services, particularly across Europe and Asia, DHL Global offers a range of swift international transportation solutions. Nevertheless, the speed and overall costs associated with these shipments can be heavily influenced by customs processes which fluctuate based on both the type of product being shipped and its destination country’s regulations regarding duties.

When preparing packages for overseas transport that require expeditious handling, it is critical to use sturdy packaging materials designed to withstand lengthy journeys and multiple instances of loading, unloading, and sortation (processing). For businesses providing international expedited shipping options, factoring in these elements is essential to ensure deliveries are not only punctual but also arrive undamaged at their destinations.

Expedited Shipping and Customer Expectations

Expedited shipping has become a crucial aspect of customer expectations in the e-commerce industry. With the rise of online shopping, customers now expect fast and reliable shipping options that cater to their needs. Meeting these expectations is essential for businesses to stay competitive and build customer loyalty. Offering expedited shipping services not only enhances the shopping experience but also demonstrates a commitment to customer satisfaction.

Meeting Increased Customer Expectations

Customers increasingly expect expedited shipping options to be available, especially for time-sensitive or urgent orders. Businesses can meet these expectations by offering a range of expedited shipping services, including overnight delivery, 2-day shipping, and same-day delivery. By providing these options, businesses can significantly increase customer satisfaction and loyalty. When customers know they can rely on a company to deliver their purchases quickly, they are more likely to choose that company over competitors. This not only helps in retaining existing customers but also attracts new ones who prioritize fast delivery.

Enhancing Tracking Performance and Customer Service

Expedited shipping services often come with enhanced tracking performance, allowing customers to monitor the status of their orders in real-time. This feature can significantly improve customer service, as customers can stay informed about their orders and plan accordingly. Businesses can also use this feature to provide proactive updates and notifications, further enhancing the customer experience. By keeping customers informed at every step of the delivery process, businesses can build trust and reduce the anxiety associated with waiting for a package. Enhanced tracking performance is a key component of modern expedited shipping services, making it a valuable tool for improving overall customer satisfaction.

Expedited Shipping in Ecommerce

Expedited shipping plays a vital role in ecommerce, enabling businesses to provide fast and reliable shipping options to their customers. By offering expedited shipping services, businesses can drive revenue, improve customer satisfaction, and stay competitive in the market. In the fast-paced world of online shopping, the ability to deliver products quickly can be a significant differentiator. Customers are more likely to shop with businesses that offer expedited shipping options, knowing they can receive their orders promptly.

Driving Revenue and Improving Customer Satisfaction

Expedited shipping options can drive revenue by increasing customer satisfaction and loyalty. When customers receive their orders quickly and efficiently, they are more likely to return to the business and make repeat purchases. Additionally, expedited shipping options can also increase average order value, as customers are more likely to add items to their cart when they know they can receive them quickly. Offering expedited shipping can also reduce cart abandonment rates, as customers are less likely to abandon their purchases if they know they can receive their items in a timely manner. By providing a range of expedited shipping options, businesses can cater to different customer needs and preferences, ultimately driving growth and success in the competitive e-commerce landscape.

Is Expedited Shipping Worth It?

Determining the value of expedited shipping depends on several considerations. Without the option for faster delivery, businesses might experience a decrease in conversion rates because consumers could look elsewhere for quicker options (or an increase in conversion rates upon adding faster delivery). Expedited services are warranted when there’s an absolute necessity for a package to reach its destination promptly when there is an unusually short timing requirement.

Expedited delivery can also elevate a company’s perceived worth. Businesses should consider both the advantages and cost implications, along with the solutions for mitigating the additional expenses,, to assess whether providing expedited shipping is congruent with their objectives and what their clientele needs.

Making Expedited Shipping Sustainable

UPS and FedEx are committed to reducing their carbon footprint and making shipping operations more sustainable. This includes using alternative fuels, optimizing delivery routes, and investing in renewable electricity. 

UPS has invested in alternative fuels for more than 20 years. Its fleet includes all-electric, hybrid electric, hydraulic hybrid, ethanol, compressed natural gas, liquefied natural gas, and propane vehicles. And UPS has added winglets to many of its jets to reduce drag and improve takeoff performance. 

UPS is on a mission to achieve carbon-neutrality, having invested heavily in delivery route optimization, neighborhood drop-off locations to reduce door-to-door drop-off emissions, and efforts to deliver more packages in fewer stops. 

Similarly, FedEx has announced an ambitious goal to achieve carbon-neutral operations. It is designating more than $2 billion of initial investment in three key areas: vehicle electrification, sustainable energy, and carbon sequestration, through an initiative called Priority Earth.

FedEx aims to achieve its sustainability goals by reducing emissions and waste, replacing older technologies and vehicles, and revolutionizing facilities and packaging. To help advance world-class research, FedEx pledged $100 million in 2021 to help establish the Yale Center for Natural Carbon Capture, where researchers are finding new and scalable solutions to remove and store Earth’s excess carbon and invest in helping start-ups scale solutions through RMI’s climate tech accelerator, Third Derivative, and the TPG Rise Climate fund.

The Future of Expedited Shipping

In addition to companies like Rivian (partnered with Amazon), Ford (partnered with DHL), and UPS rolling out electric fleets to reduce emissions, the following solutions are maturing and growing at at exceptional speed:

1. Faster Delivery with AI-driven Logistics & Automated Warehouses

• Companies are using artificial intelligence to optimize delivery routes, predict demand, and improve inventory management by distributing inventory and shipping orders before they are even placed (Amazon has a patent for “anticipatory shipping”).
  
• Robotics and automation in fulfillment centers are speeding up order processing.

2. Drones & Autonomous Vehicles

• Companies like Amazon, Walmart, and Zipline are piloting drone deliveries for ultra-fast shipping (within 30 minutes).
  
• Self-driving vehicles and sidewalk robots (e.g., Starship Technologies) are emerging for unmanned last-mile delivery.

3. Hyper-Personalized Delivery

• Consumers will get more control over time slots, preferred carriers, and delivery methods.
  
• Expansion of Amazon Lockers, FedEx Drop Boxes, and 24/7 pickup locations for secure, contactless delivery.
  
• Apartment & office buildings integrating smart package rooms to handle high delivery volumes.

Summary

In summary, expedited shipping is a valuable service that meets the growing demand for faster delivery times. By understanding the different types of expedited shipping services, including the more eco-friendly hyperlocal options, businesses can better cater to their customers’ needs and expectations. Strategies to manage costs effectively ensure that businesses can offer expedited shipping without sacrificing profit margins. By carefully weighing the benefits and costs, businesses can make informed decisions that enhance customer satisfaction and drive growth.

Frequently Asked Questions

What is expedited shipping?

Expedited shipping guarantees faster delivery than standard options, usually within one to three business days. This method is ideal for those who need items quickly.

How does expedited shipping work?

Expedited shipping prioritizes your order for faster processing and delivery, often including real-time tracking to keep you informed throughout the process. This service ensures that your items arrive more quickly than standard shipping options.

What are the benefits of offering expedited shipping?

By providing expedited shipping, businesses can improve customer satisfaction, reduce shopping cart abandonment, and gain an advantage over the competition.

How much does expedited shipping cost?

Expedited shipping costs can vary significantly depending on factors such as distance, size, weight, and carrier, so it’s best to check with specific shipping providers for accurate pricing.

Is expedited shipping worth it?

If meeting deadlines is essential and timely delivery is of the utmost importance, opting for expedited shipping can greatly improve customer satisfaction and add considerable revenue to a business.

In today’s world, consumers place a premium on privacy. For many, the need for discreet packaging stems from a desire to maintain confidentiality about the products they purchase. Discreet packaging for shipping can help businesses cater to this need, fostering customer trust and loyalty. This guide covers which items benefit from discreet packaging, the types of discreet packaging available, and best practices for packing items securely and privately.

What is Discreet Shipping?

Discreet shipping is a method designed to ensure that the contents of a package remain confidential and unidentifiable. This approach is particularly important for sensitive, valuable, or confidential items such as medical devices, luxury items, or adult products. By using plain packaging materials like unmarked brown or white boxes, businesses can effectively conceal the contents of the package. This not only helps in maintaining customer anonymity but also builds customer trust and satisfaction. Discreet shipping is a key strategy for businesses aiming to respect their customers’ privacy and enhance their overall shopping experience.

Why Discreet Packaging Matters for Customer Privacy

Fifty-eight percent (58%) of consumers are concerned about the amount of personal information visible on product packaging, especially concerning returns and delivery details, according to a 2021 study by the Institute of Packaging Professionals (IoPP). This increasing demand for secure, private packaging that prevents the unintended exposure of personal or sensitive information during shipping and handling highlights the importance of thoughtful design in ecommerce packaging.

Requiring an adult signature for sensitive deliveries can further enhance discretion and security, ensuring that packages are handed directly to an adult at the recipient’s home.

Discreet packaging serves several purposes:

• Privacy: Protects the buyer’s confidentiality by concealing the contents of the package.
• Security: Reduces theft risk by not advertising valuable or sensitive items.
• Customer Experience: Enhances satisfaction by addressing concerns about privacy and security.

By offering discreet packaging, businesses can differentiate themselves and build stronger customer relationships.

Sensitive Items That Require Discreet Packaging

While any product can be shipped discreetly, certain categories typically necessitate it:

• Personal Care and Health Products:
  • Examples: Birth control, medications, hygiene products, and wellness items.
  • Reason: Customers value privacy for sensitive or potentially embarrassing items.
• Adult Products:
  • Examples: Intimacy aids, lingerie, and other adult-related goods.
  • Reason: Customers expect confidentiality to avoid awkward situations with family members or neighbors.
• High-Value Items:
  • Examples: Electronics, jewelry, and luxury goods.
  • Reason: High-value items are more prone to theft and porch piracy.
• Specialty Products:
  • Examples: Medical devices, religious items, or niche-interest goods.
  • Reason: Customers may wish to avoid judgment or maintain personal privacy.
• Subscription Boxes:
  • Examples: Personal hygiene kits, curated collections, or food delivery.
  • Reason: Neutral packaging ensures privacy while protecting brand reputation.

Types of Discreet Packaging Materials

The choice of discreet packaging depends on the product, shipping method, and budget. Here are some common options:

• Plain Boxes:
  • Features: Unmarked, logo-free, neutral colors (brown or white).
  • Best For: Bulkier items, electronics, and subscription boxes.
  • Tips: Ensure the box size closely matches the product to avoid shifting during transit.
• Opaque Poly Mailers:
  • Features: Lightweight, durable, and non-transparent.
  • Best For: Soft goods like clothing or small items.
  • Tips: Use bubble-lined mailers to protect more fragile items.
• Blackout or Double-Layered Packaging:
  • Features: Enhanced opacity for ultimate privacy.
  • Best For: High-sensitivity items such as adult products or medical devices.
  • Tips: Seal securely to prevent tampering.
• Tamper-Evident Packaging:
  • Features: Seals that indicate if the package has been opened.
  • Best For: High-value goods and confidential documents.
  • Tips: Include clear instructions for opening without damaging the product.
• Custom Packaging:
  • Features: Unique designs that are discreet but still align with branding.
  • Best For: Businesses wanting to combine privacy with subtle marketing.
  • Tips: Avoid overt branding that could hint at the contents.

How to Pack Discreetly: Step-by-Step Guide

Ensuring items are both secure and private requires attention to detail. Here are the steps:

1. Select the Right Packaging Material:
   • Choose a box or mailer that fits the product snugly to minimize movement during shipping.
   • Use opaque materials to prevent the visibility of package contents.
2. Wrap the Product:
   • Use protective materials like bubble wrap, tissue paper, or packing peanuts to cushion the item.
   • Wrap sensitive products in a layer of plain paper or a blackout bag.
3. Seal the Package Securely:
   • Use strong adhesive tape to seal all openings.
   • Consider tamper-evident seals for added security.
4. Label Discreetly:
   • Avoid using company logos or names that hint at the contents.
   • Use a generic sender name and return address.
5. Test the Package:
   • Shake the package gently to ensure there is no movement inside.
   • Inspect the outer layer for any gaps or weak spots.

Customizing Your Shipping Label

Customizing your shipping label is a crucial step in maintaining discretion during shipping. A shipping label can inadvertently reveal a lot about the package, including the sender’s and recipient’s details, as well as the package’s weight and dimensions. To ensure discretion, ecommerce businesses should consider using plain labels that only include the necessary information, such as the recipient’s name and address. Additionally, using a generic sender name and a return address that is not directly associated with the company can further enhance privacy. This careful customization of shipping labels helps in preserving the discreet nature of the package, ensuring that customers feel secure and confident in their purchases.

Choosing the Right Carrier for Discreet Shipping

Selecting the right carrier is essential for effective discreet shipping. Different carriers have varying shipping requirements and policies, and some may be better suited for maintaining discretion than others. For instance, certain carriers might require delivery signatures, which could compromise the discreet nature of the package. Others may have specific packaging and labeling requirements that could impact privacy. Ecommerce businesses should thoroughly research and compare carriers to find one that aligns with their discreet shipping needs. By choosing a carrier that supports discreet shipping practices, businesses can ensure that their customers’ privacy is upheld throughout the delivery process.

International Discreet Shipping Considerations

When it comes to international discreet shipping, additional considerations come into play. Ecommerce businesses must navigate customs and import regulations, which can sometimes affect the discretion of the package. For example, some countries may mandate specific labeling or packaging for certain products, potentially compromising privacy. Moreover, international shipping often involves multiple carriers and handlers, increasing the risk of packages being opened or inspected. To mitigate these risks, businesses should research and comply with international shipping regulations and consider partnering with carriers that specialize in discreet international shipping. This ensures that even when shipping across borders, customer privacy and confidentiality are maintained.

Additional Tips for Discreet Packaging and Shipping

• Communicate with Customers:
  • Clearly offer discreet packaging and shipping options on your website or during the checkout process.
  • Provide tracking numbers so customers know when to expect delivery.
• Eco-Friendly Options:
  • Opt for recyclable or biodegradable materials to appeal to environmentally conscious customers.
  • Use water-based adhesives and compostable materials.
• Double-Boxing for Extra Privacy:
  • Place the product in a branded inner box and an unmarked outer box.
  • This ensures branding is maintained while providing full discretion.
• Avoid Over-Packaging:
  • Minimize waste by using the smallest possible box or mailer that fits the item securely.
  • Too much (or too large) packaging can be off-putting for eco-conscious customers.
  • Excess packaging will increase the dimensional (DIM) weight, leading to higher shipping costs.
• Train Your Staff:
  • Educate your packing team on the importance of privacy and proper techniques for discreet packaging.

Benefits of Discreet Packaging and Shipping

Discreet packaging and shipping offer several key benefits for businesses looking to enhance customer experience and stand out in the market. One of the most significant advantages is enhanced customer loyalty. By respecting customer privacy, businesses build trust, which encourages repeat purchases and long-term relationships with their audience. When customers feel secure in their transactions, they are more likely to return.

Another advantage is a reduction in returns and complaints. Discreet packaging helps minimize potential embarrassment or dissatisfaction that may arise from receiving an easily identifiable package. This, in turn, leads to fewer ecommerce returns, saving businesses time and resources while improving overall customer satisfaction.

Additionally, improved security is a crucial benefit of discreet shipping. Unmarked packages are less likely to attract attention during transit or after delivery, reducing the risk of theft. This is particularly important for high-value or sensitive products that could otherwise be targeted.

Finally, discreet packaging can serve as a powerful differentiator in competitive industries. In markets where many businesses offer similar products, taking extra steps to ensure customer privacy can set a brand apart, strengthening its reputation and attracting a loyal customer base. By prioritizing discreet shipping, businesses not only enhance security and satisfaction but also gain a competitive edge.

Summary

Discreet packaging is more than a logistical choice; it’s a customer-centric strategy that addresses privacy, security, and satisfaction. By understanding the needs of your audience and implementing the right packaging techniques, you can enhance your brand’s reputation and build lasting relationships with your customers. Whether shipping personal care items or high-value electronics, this guide equips you to deliver with discretion and professionalism. Cahoot’s innovative fulfillment solution provides many such services that set you apart from other Sellers in your industry.

Frequently Asked Questions

What is Discreet Packaging?

Discreet packaging obscures the contents of the shipment, allowing sensitive items to be shipped incognito.

Why Use Discreet Packaging?

Discreet packaging helps protect customer information and the nature of their ordered items, preventing sensitive or high-value items from being noticed during shipping.

Is Discreet Packaging Legal?

Yes, as long as the package meets required postage and shipping regulations, such as a proper label with the recipient’s address.

Mail delivery has become increasingly unreliable, and lawmakers are taking action. Legislators have reintroduced the PONY UP Act, a bold legislative effort to address chronic delays in postal service by holding the United States Postal Service financially responsible for late deliveries. The proposal has sparked discussions across industries, particularly within the e-commerce sector, which relies heavily on timely delivery to meet customer expectations. If passed, the legislation could introduce new financial liabilities for USPS while reshaping the landscape for online sellers and consumers alike.

Understanding the PONY UP Act

Formally known as the “Penalizing Oversight Neglecting Your Universal Postal Service” (PONY UP) Act, this bill seeks to reimburse consumers for late fees incurred due to delayed USPS deliveries. Specifically, it would require USPS to cover penalties arising from tardy bill payments (e.g., that pesky $35 late fee when a credit card payment is not received on time) when the delay results from late mail service. The legislation is in response to many complaints about unreliable delivery service that has led to financial burdens for its users.

The regulation would apply to situations where a bill, notice, or payment was mailed with ample time to arrive before its due date but was delivered late. It also proposes an online and in-person claims process for reimbursement and an appeal mechanism for denied claims. Additionally, the legislation mandates annual reports on USPS delivery performance to improve transparency and oversight.

Why the PONY UP Act is Being Introduced

USPS has faced increasing scrutiny over delivery inefficiencies, particularly in rural areas, which have frequent delays. Audits have revealed significant lags in sorting and delivering mail. Reports cite instances of late medical payments, utility bills, and even time-sensitive shipments such as live poultry for agricultural businesses. These delays have led to growing frustration among consumers and businesses that depend on consistent delivery expectations for financial stability and operational continuity.

Legislators argue that the PONY UP Act will create a stronger incentive for USPS to prioritize service reliability. By attaching financial consequences to delivery failures, the bill aims to ensure that USPS meets its congressionally mandated six-day delivery obligation while providing relief to those negatively affected by missed service level agreements (SLAs).

Potential Impacts on E-Commerce

If the PONY UP Act becomes law, it could mean several things for the e-commerce industry, which relies heavily on USPS for daily business operations:

• Improved Delivery Performance: The prospect of financial penalties may push USPS to improve efficiency. Fewer delays translate to increased consumer confidence in delivery expectations for online purchases.
  
  
• Rising Shipping Costs: USPS may need to increase shipping rates to offset potential investments required to meet the expectations established by law. Those fees would be passed onto e-commerce businesses, pushing operational costs higher and creating margin pressure for merchants of small, light, and inexpensive items that are heavily reliant on USPS for affordable shipping solutions to turn a profit. They may be unduly forced to adjust product and pricing strategies and/or explore alternative carriers to remain viable.
  
  
• Greater Emphasis on Delivery Guarantees: Online retailers that depend on USPS’s Priority Mail and other expedited services may benefit from increased accountability, as USPS would be compelled to meet delivery SLAs. Late deliveries are rarely the result of late shipping. E-commerce businesses, as a whole, are very good at meeting their customers’ on-time shipping obligations. As the carrier’s delivery reliability increases, so does consumer trust, resulting in more online shopping and, thus, more growth and prosperity for the industry.
  
  
• Changes in Carrier Strategies: One e-commerce Seller told me, “Almost anything is better than USPS; I’m confident that a messenger pigeon is better than USPS.” As confidence in USPS increases, more merchants who had lost faith in the service and migrated to more reliable national carriers may reintroduce lower-cost USPS services to improve their profit margins.
  

Shipping and logistics are pivotal to the success of online retail, and any regulatory changes affecting USPS operations will inevitably profoundly impact the industry. Retailers and brands should monitor legislative developments and be prepared to adapt to potential cost increases or modifications to service levels.

Summary

The PONY UP Act is an effort to address longstanding issues with USPS delivery delays. It provides a mechanism for consumer protection while aiming to drive operational improvements. While primarily intended to target and remedy first-class mail service issues, its potential impact on e-commerce remains speculative. While increased accountability could enhance service reliability, shipping rate hikes could challenge Sellers dependent on affordable delivery options.

Amazon regularly experiments with new tools and features to enhance the shopping experience on its webstore. For example, the Climate Pledge Friendly program allows Sellers to list a product’s sustainability certifications that help customers quickly and easily identify eco-friendly products. Another example is Amazon’s “Frequently Returned Item” badge, a feature that has sparked both concern and opportunity for Sellers. By highlighting products with higher return rates than similar products in the category, Amazon aims to improve customer satisfaction and lower the cost of e-commerce operations by reducing ecommerce return rates. But what does this badge mean for Sellers, and what do they need to know to navigate its implications effectively?

The Purpose and Mechanics of the Badge

Amazon’s Frequently Returned Item badge is a transparent signal for customers, suggesting they carefully review product details and previous customer feedback before purchasing. It is applied at the ASIN level so as not to impact product variants such as colors or sizes. It is triggered when a product’s return rate exceeds a predefined threshold relative to similar items within its category.
The return rate is calculated by comparing the number of units shipped to the number of customer-initiated returns over the trailing 3 months. Categories with inherently low return rates, such as groceries, are susceptible to changes in return rates, while categories like apparel, where returns are more common, have higher allowances. This system ensures that products are judged fairly within the context of their market norms, and suggested return rates are updated “periodically” to reflect new market conditions.

The Impact of the Badge

The display of this badge on a product listing could profoundly impact sales and, thus, revenue. Sellers tell stories in the Amazon Forums about conversion rates dropping as cautious buyers opt for alternatives without warning. Lower sales lead to even further declining sales as lower search rankings further deprioritize items associated with negative customer experiences. Sometimes, Sellers are adversely affected through no fault of the product or the listing.

For example, e-commerce return rates can fluctuate due to seasonal trends, particularly during the peak holiday season. High volumes of gift purchases typically lead to increased returns in the following months. Still, Amazon’s suggested returns rates are not adequately adjusted to compensate for the changes in buyer behavior.

Beyond immediate sales, the badge can erode customer trust in the Seller’s brand. A frequently returned product may signal poor quality and/or misleading or inaccurate product descriptions so that buyers would be more wary of that item. Over time, this perception can damage the Seller’s reputation, making it harder to build lasting customer relationships. It’s worse if the business has a small product catalog and worse yet if the small SKU catalog is closely related. Some retailers have reported going from selling well one day to nearly out of business the next, highlighting the need for Sellers to regularly and actively monitor return rates at the ASIN level.

Amazon’s Voice of the Customer dashboard offers valuable insights. It includes 3-month (short-term) and 12-month (long-term) return rate data, category-specific thresholds, and the Top Negative Customer Experience (NCX) reason. This report allows sellers to identify problematic products early and take corrective action.

When a product does “earn” the badge, it’s not permanent. Amazon continuously tracks return rates, and the badge is automatically removed once the rate falls below the threshold. Some Sellers have reported that sustained improvement alone (without staying beneath the exact target return rate) prompted the removal of the badge.

Strategies for Reducing Return Rates

Retailers cannot rely on hope, as in the last example. Crafting the perfect ecommerce returns program and following the key steps below can help them avoid the naughty list and prevent the dreaded Frequently Returned Item badge:

1. Enhance Product Descriptions: Clear, correct, and detailed product information is crucial. Misleading or incomplete descriptions are among the top reasons for returns. High-quality and high-resolution images from multiple angles help set realistic expectations. Sellers should ensure their listings include precise dimensions, accurate features, color representations, and specifications. Providing thorough size charts and usage instructions can also reduce the likelihood of returns.
   
   
2. Improve Quality Control: Product quality plays a significant role in customer satisfaction. Sellers should work closely with suppliers to implement rigorous quality assurance protocols to minimize manufacturing defects. Investing in durable packaging can help prevent issues like damage during shipping. Fixing common product problems or complaints at the source can also lead to lower return rates.
   
   
3. Foster Customer Communication: Engaging with customers proactively can prevent many potential returns. This includes responding promptly to questions, offering detailed instructions about product use and care, and addressing any limitations upfront.
   
   
4. Strengthen Customer Support: Excellent customer service can result in opportunities to prevent returns. By encouraging customers to seek assistance before initiating a return and addressing their concerns quickly and effectively, Sellers can preserve the sale and minimize the impact on the return rate.
   
   

Turning Challenges into Opportunities

The Frequently Returned Item badge is not merely a penalty; it’s also a valuable feedback mechanism. Sellers who view it as an opportunity to improve their product design can emerge stronger and more competitive. By addressing the underlying issues that lead to high return rates, Sellers can enhance customer satisfaction, reduce operational costs, and build a reputation for quality and reliability. Of course, that’s a forward-looking and optimistic statement…when a Seller is in the thick of it, and sales are tanking, it’s hard to look at things optimistically.

Summary

Amazon’s introduction of the Frequently Returned Item badge reflects its ongoing commitment to its customers. Sellers who understand and take a proactive approach to return rate management will be able to navigate the rules and prevent the Negative Customer Experiences Amazon is looking to avoid.
By prioritizing product quality, transparency, and customer engagement, Sellers can avoid the badge and strengthen their position in the hyper-competitive marketplace. As reverse logistics costs are reduced, margins will also improve. The improvement journey may require effort and investment, but the rewards (or, more accurately, the lack of penalties) make it worthwhile.

The National Motor Freight Classification (NMFC) system was established in 1936 to standardize Less-Than-Truckload (LTL) shipping. It uses a uniform system for classifying commodities to ensure consistency and fairness in pricing and handling. The NMFC system is undergoing a significant transformation for the first time in decades. Starting July 19, 2025, the industry will begin a multi-phased shift to a predominantly density-based classification system to achieve greater clarity and efficiency for all stakeholders in the LTL supply chain.

Traditionally, the NMFC has evaluated freight based on 4 characteristics: density, stowability, handling, and liability. While comprehensive, this complex system leads to frequent misinterpretations and disputes between shippers and carriers (which can drag out for years). The 2025 update intends to streamline this process by using density as the primary means for classifying the vast majority of freight shipments, while the remaining 3 characteristics will be reserved for classifying only the more complicated commodities. Let’s look at each in more detail:

1. Density refers to how much a shipment weighs compared to the space it occupies. Higher density typically results in a lower freight class and lower shipping costs because these shipments take up less space on a truck. For example, a small box of steel parts weighing 200 pounds in a small cubic space is denser than a large box of pillows weighing 200 pounds.
   
   
2. Handling considers how easy or difficult it is to move freight. Heavy, fragile, oddly shaped, or hazardous items often require special handling, increasing the freight class and, thus, the cost. For example, a granite countertop may need extra care due to its weight and fragility, while a box of sand is easier to manage despite being dense.
   
   
3. Stowability refers to how well the shipment fits in the carrier’s space (e.g., a 53-foot trailer). Again, size, shape, or transportation restrictions on certain items (e.g., hazardous materials) can make freight more challenging to load on a truck (think about a poorly played game of Tetris), leading to higher costs. For example, a shipment of pipes with irregular protrusions may leave unusable gaps in the truck. In contrast, neatly packed boxes fit more efficiently, allowing for the truck to move more items in a given move from point A to point B.
   
   
4. Liability measures the risk associated with the goods, including susceptibility to damage, potential to harm other goods, perishability, and/or hazardous considerations. For example, a shipment of fresh produce is perishable and requires more careful handling and faster transit than a carton of vitamins, which is durable and lower risk.

Key Changes Coming in 2025

The new NMFC structure introduces several significant changes, notably the expansion of the density scale. Moving from 11 subprovisions to 13, the system now includes classes 50 and 55 for heavy, dense products. Approximately 5,000 commodity listings will be affected, with an estimated 3,500 single-class items moving to the new subcategories.

The updated classification system maintains all 4 of the transportation characteristics. Still, as noted above, it aims to simplify the classification process by defaulting to density-based classification when NO special handling, stowability, or liability concerns are known. In addition, products requiring special consideration will be marked with a new unique identifier, making it easier to identify freight that needs additional attention.

The transition begins with the public release of Docket 2025-1 on January 30, 2025, and the final implementation becomes effective on Saturday, July 19, 2025. Docket 2025-1 is the list of NMFC codes considered for class changes based on the new density scale (nearly 40%). Once the list is finalized, changes will be made before the effective date.

Impact on Shippers and Third-Party Logistics (3PL) Companies

The simplified system should make identifying the correct freight classes for most shipments easier but still rely on accurately measuring and reporting “handling unit” dimensions and weight (pallet length, width, height, and weight) used to calculate density. In short, Shippers and 3PLs can multiply length x width x height in inches, divide by 1,728 to convert cubic inches to cubic feet, and then divide the shipment weight by the cubic feet to determine pounds per cubic foot (PCF). Don’t forget to include the ~6-inch height and ~30-pound weight of the pallets. Carriers will still remeasure/reweigh and reclass/rebill for underreported shipment details.

Preparing for the Transition

To prepare for these changes, organizations should:

1. Train Personnel: Educate staff on density calculations and measurement techniques. Providing training in advance will help reduce errors.
   
   
2. Start Now: Begin creating shipments with accurate dimensions and weights now (if it’s not already being done), so it becomes second nature and prevents tendering delays later.
   
   
3. Assess Current Shipping Pricing: Evaluate historical shipment pricing and contact carriers to identify areas where the updated density-based classifications might affect pricing.
   
   
4. Implement Reliable Processes: Establish workflows to ensure every shipment is measured, weighed, and documented correctly before leaving the dock. Documenting shipments early could help resolve disputes more quickly.

Summary

While the initial transition may present challenges, the long-term benefits of modernizing the NMFC system may be considerable. The simplified, standardized approach should reduce classification errors (and thus, disputes), improve and quicken communication between parties, and create a more efficient LTL shipping workflow. Future dockets beyond 2025-1 will continue to refine the system, particularly for freight with specific handling, stowability, or liability requirements. Guidance on the timing of future dockets (NMFC improvements) has not been announced.

As e-commerce continues to grow and margin pressure peaks in today’s inflationary environment (e.g., labor cost, postage cost, etc.), online businesses must find ways to mitigate the mounting financial challenges by optimizing processes and workflows to reduce the overall cost of operations. Among the lowest-hanging fruit, one such method is to implement intelligent cartonization software to improve shipment efficiency and address the cost of postage, packaging, and labor while promoting sustainability. This technology utilizes sophisticated algorithms to identify the most efficient packaging to ship an e-commerce order by “fitting” products with known outer dimensions into a virtual 3D space with known inner dimensions. All while considering the shipping cost (actual weight vs. dimensional weight).

Understanding Cartonization Software

Cartonization software is a data-driven solution that determines the ideal packaging configuration for any given order, whether a single item or a multi-line/multi-quantity order. Unlike manual packing methods that rely on a human to eyeball the items in an order and select a box to ship them in, this technology analyzes many variables, from item dimensions and weights to available box sizes, any defined special handling requirements such as bubble wrap or other protective shipping supply requirements, among other packing constraints. Modern cartonization technology and packing systems incorporate 3D simulation and consider real-world factors such as orientation, stacking limitations, and the potential for damage in transit.

What sets intelligent cartonization software apart is its holistic approach. It does not merely calculate volume or dimensions; it optimizes the packing process to ensure items are securely packed using the least space. By doing so, the software minimizes unnecessary filler materials (while maintaining necessary cushioning as needed) and, ultimately, package size, directly impacting transportation and shipping supplies costs. Heavier and bulkier packages are more expensive to ship, and larger and more rigid cardboard boxes are more costly to consume.

Types of Cartonization Technologies

• Basic Cartonization Tools: These entry-level systems focus on volume-based calculations. They streamline box selection but lack advanced features such as considering shipping rates, displaying 3D orientation, or tracking the packaging quantity available.
  
  
• Advanced Algorithmic Solutions: These systems go beyond basic calculations by analyzing complex datasets. They consider multiple carrier rates, including dimensional weight pricing, and order-specific nuances, such as the need for temperature control or fragile item handling.
  
  
• Intelligent Fulfillment Platforms: These robust solutions combine cartonization with other aspects of order and inventory management software, such as tracking product and packaging inventory (what good is a cartonization tool if it tells you to pack an order in a box you don’t have in stock), multi-carrier shipping logistics, including carrier and service selection, and automatic label creation based on the delivery date promise. They provide end-to-end visibility into the fulfillment workflow.
  

Impact on E-commerce Fulfillment

Cartonization software has a profound influence on the efficiency and sustainability of e-commerce fulfillment operations:

• Operational Efficiency
  Implementing cartonization technology significantly streamlines warehouse operations. By providing precise instructions for box selection and item placement (the orientation that each item should be placed in the box relative to one another such that they fit snugly and ship safely), the technology reduces decision fatigue among packers and improves consistency. Manually picking a box that is too small results in re-handling: a new box needs to be selected that will fit the contents of the order, which is re-work. Manually picking a box that’s too big means you’re shipping a lot of “air” and both the shipping cost and packaging cost are higher than they need to be, spoiling margins unnecessarily and increasing the likelihood that items may be damaged in transit (the resulting customer returns further add to the financial implications).
  
  Advanced platforms can also create a separate pick list for the packaging supplies needed to ship a batch of orders. These features save a lot of time and increase productivity, enabling warehouse operations teams to seamlessly handle surges in fulfillment volume without increasing labor costs.
  
  
• Cost Optimization
  The financial benefits of smart cartonization extend across the entire fulfillment workflow. In addition to minimizing shipping costs by shipping in the smallest package possible, right-sizing packages reduce the need for void fill and the risk of product returns due to damage incurred in transit. Some platforms can identify opportunities to split orders into multiple packages, leveraging carrier incentives to achieve overall cost savings.
  
  
• Environmental Sustainability
  Cartonization software also promotes sustainability. By minimizing the use of corrugated materials and reducing the volume of “air” shipped in oversized boxes, the technology directly decreases the environmental footprint of e-commerce operations. Smaller, more efficient packages lead to better truck space utilization, resulting in fewer vehicles on the road, fewer planes in the air, and reduced greenhouse gas emissions. This aligns with growing consumer expectations for environmentally responsible ecommerce logistics practices.
  
  
• Customer Experience
  Consumers appreciate receiving their orders in appropriately sized packaging. Oversized or poorly packed boxes create unnecessary waste, diminishing the overall unboxing and post-purchase experience. They are also head-scratchers for customers (not to mention more annoying when breaking down larger boxes than smaller ones). Nearly 25% of solid municipal waste is composed of paper and corrugated paper products (cardboard), so shipping supplies are being sent to landfills at staggering rates, posing significant ecological consequences.
  
  Cartonization software ensures customers receive their purchases in well-fitted, secure packaging, enhancing satisfaction and fostering brand loyalty. Moreover, using environmentally conscious packing methods resonates positively with eco-conscious customers, adding another layer of value.
  

Challenges and Considerations

While cartonization software offers numerous benefits, its implementation is not without challenges. Both retailers and 3PLs (third-party logistics) must invest in the right technology and ensure seamless integration with existing warehouse management and order fulfillment systems—otherwise, productivity tanks from having to live in separate fulfillment software environments. Training staff to use the software effectively and establishing clear performance metrics are essential for maximizing impact.

Summary

The continued rise in shipping, labor, fixed assets, and associated operational costs demands that online retailers, brands, and 3PLs that service them find innovative ways to optimize their financial health. One easy way to do that is to employ intelligent packaging design to reduce dimensional weight charges and oversized shipment surcharges resulting from inefficient packaging. Relying on manual processes or outdated shipping software label systems is no longer viable.

Additionally, the environmental impact of e-commerce operations is under greater scrutiny than ever. Customers expect fast and reliable delivery and appreciate thoughtful packaging that reflects a company’s commitment to sustainability. Cartonization software’s ability to ensure that packaging decisions align with these priorities, minimize waste, and reduce carbon emissions positions it as an essential tool for meeting these increased pressures. For online businesses looking to stay competitive and profitable, investing in this technology is not just a practical decision but a strategic imperative.

Returns are inevitable in e-commerce, influenced by psychological and practical factors. For example, “bracketing” is a practical problem where customers intentionally purchase multiple versions of an item, such as different sizes or colors, with the explicit plan to return the ones that do not meet their needs. This practice, now common among ~60% of online shoppers, highlights a desire to recreate the confidence of in-store shopping.

Impulse purchases, another significant driver of returns, are more psychological. Stress-induced purchases often result in regret, with 1 in 4 shoppers admitting to returning items they either did not need or could not afford. Furthermore, buyer’s remorse can stem from discovering better deals after purchase, leading to returns driven by price sensitivity rather than product dissatisfaction. Social influence and seasonal considerations also contribute, as it’s not uncommon for returns to stem from peer pressure or unused seasonal items that won’t create any value until a future season.

Unlike brick-and-mortar stores, online shoppers cannot physically inspect products before purchasing, leading to a return rate of up to 30% in e-commerce, nearly three times that of physical stores. To address this issue, understanding the myriad reasons customers request returns for online purchases, identifying their root causes, and crafting the perfect ecommerce returns program is essential to the success of today’s e-commerce merchants.

The bad news is that no magic solution will do everything for you automatically. But, the good news is that strategies are available to resolve or mitigate the risk e-commerce returns pose to your business. If you put in the work, the revenue retained from doing so is often considerably more than the value of the time put in.

We’re setting aside anything related to customer returns fraud and abuse for this article.

Top E-Commerce Return Reasons

1. Product-Related Issues:
   • Fit and Sizing Problems: Particularly prevalent in fashion and footwear, fit-related issues account for 70% of returns in these categories.
   • Damage or Defects: Products that arrive in less-than-perfect condition are a significant motive for returns. An estimated 4 out of 5 consumers cite damage and/or defects as the reason for their return, often a result of manufacturing defects or insufficient protective packaging that lead to damage caused in transit.
   • Inaccurate Descriptions or Quality Issues: Discrepancies between the descriptions or images on a product listing and the actual product delivered erode trust and can lead to disappointment. For example, variations in color from what was displayed on the product details page can cause disappointment.
   • Incompatibility: Products that do not fit with existing items can prompt returns.
     
     
2. Customer Behavior:
   • Gift Returns: Recipients often return unwanted or unsuitable gifts.
   • Price Sensitivity: As mentioned earlier, customers may return items if they discover a more competitive price post-purchase.
   • Changed Mind or Customer Error: Customers may simply reconsider their purchase after the fact, or perhaps they purchased the wrong item.
     
     
3. Operational Factors:
   • Shipping and Handling Issues: Late shipments, carrier delivery delays, lost packages, and other issues often trigger returns, especially if the items were intended as gifts.
   • Order Fulfillment Errors: Shipping incorrect items or shipping the wrong size, color, flavor, scent, or quantity increases the likelihood of returns.
     
     

Leveraging Data to Reduce E-commerce Returns

If you’re not already… you should be capturing returns data, which is a gold mine of actionable insights. Analyzing patterns can reveal:

1. Misaligned Expectations: Products regularly returned for size discrepancies indicate inaccuracies in product descriptions. Providing detailed size charts and fit guides can significantly reduce size-related returns (and minimize bracketing), so put effort into creating detailed, brand-specific sizing charts. Frequent returns of specific products suggest a gap between marketing and reality. Ensure descriptions are clear, detailed, and honest to set proper expectations.
   
   
2. Quality Control Issues: Modify fulfillment protocols to ensure safe delivery of damage-sensitive products. High defect and damage rates indicate manufacturing or shipping problems. Implement strict quality control measures to minimize defective items and hold suppliers accountable.

Merchants can use customer feedback to refine product descriptions, enhance quality control, and optimize customer education to reduce mismatches between expectations and reality.

Strategies to Minimize E-commerce Returns

1. Improve Product Presentation
   • Detailed Descriptions: Provide comprehensive information about size, materials, and functionality and offer educational content to help customers make informed decisions. This is not a one-time set-it-and-forget-it task but a recurring priority that uses continuous customer feedback to improve product data more and more over time.
   • Rich Visual Content: Include high-quality images accurately representing products, 360-degree views, and videos demonstrating products in action.
   • Augmented Reality (AR) and Virtual Reality (VR): Offer virtual fitting rooms or placement tools to help customers visualize products in their space
     
     
2. Engage with Customers Pre-Purchase
   • Live Assistance: To reduce return rates, customers should have access to excellent customer service representatives during the shopping process. These representatives can assist with inquiries before purchases are completed.
   • User-Generated Content: Encourage reviews, photos, and videos from previous buyers to create social proof and help customers make informed decisions.
   • Comparison Tools: Allow customers to compare items directly during checkout, which can reduce bracketing and near-guaranteed returns.
     
     
3. Optimize Promotions
   • Thoughtful Discounts: Avoid promotions that encourage excessive purchases and subsequent returns. Customers are inclined to artificially increase their cart size to qualify for free shipping and/or discount tiers, which can lead to returns of items not wanted or needed from the order.
     
     
4. Streamline the Post-Purchase Experience
   • Post-Purchase Support: Send follow-up emails with product setup, care, and usage tips. And, turn post-purchase interactions into new sales opportunities.
     
     
5. Incentivize Exchanges
   • Instant Exchanges: Offer immediate replacements for different sizes or styles (e.g., ReShop.com). Or, offer incentives for customers to keep items, such as discounts on future purchases.
   • Bonus Credit: Provide higher-than-expected refunds in the form of store credit for customers who choose exchanges over refunds.
     
     
6. Tie Returns to Customer Loyalty Programs
   • Tiered Policies: Offer free returns as a benefit for loyal customers/members while charging non-VIPs a modest return fee. Develop loyalty programs that encourage repeat purchases and reduce return rates.
   • Feedback Incentives: Encourage returners to provide detailed feedback, which will help refine future offerings. Use data analytics to track return patterns and identify areas for improvement.
     
     

Balancing Returns Management and Customer Satisfaction

An efficient returns policy is not just a cost center but a strategic opportunity to build loyalty. It’s how large retailers such as Amazon and Nike have increased loyalty through simplicity and predictability. Retailers should:

1. Simplify for Customers: Offer multiple returns options that meet the target demographic where they are, including the communication channels they prefer. It’s no longer acceptable to hide behind a website. Customers want several contact points: phone, email, chat, text (SMS), or support ticket/form submission.
   
   
2. Communicate Clearly: Be transparent about return policies, processing times, refund statuses, and return or restocking fees. Communicate final sale policies on product pages to avoid confusion before checkout. Don’t bury return policies three clicks deep (or more!). Consider offering perks for selecting exchanges over returns for a full refund (which helps retain revenue).

Implementing these strategies can help merchants reduce e-commerce return rates while maintaining customer trust and satisfaction. This leads to repeat business, a long-term relationship, and higher customer lifetime value (LTV). The key is turning your customers’ experiences into actionable improvement plans while anticipating and addressing potential issues before they arise.

Summary

As technology advances, innovations like AR, VR, and AI will play an increasingly pivotal role in reducing returns by giving customers an online shopping experience closer to what they’re used to ‘in store.’ At the same time, retailers must focus on fostering trust and transparency to align customer expectations with reality. By understanding and addressing the root causes of returns and implementing creative solutions, e-commerce retailers and brands can turn this challenge into an opportunity to engage with customers and nurture a long-term relationship that benefits both parties.

As environmental consciousness becomes a core value for consumers, ecommerce brands and retailers are rethinking their strategies to align with eco-friendly principles. This shift in consumer behavior (~78% of shoppers now include sustainability in their purchasing decisions) allows businesses to adapt early and convert this eco-conscious market ahead of others. Understanding why sustainability matters to consumers can help brands get ahead of competitors and capture their attention sooner. This can grow market share through stronger customer relationships built on mutual ideals, leading to long-lasting loyalty and higher lifetime value. Implementing and effectively communicating sustainability initiatives to customers can further enhance trust and loyalty.

Why Sustainability and Environmental Impact Matters to Consumers

Modern consumers increasingly recognize their role in addressing global climate challenges, many more recently citing sustainability as an important factor in their purchasing decisions. This signals an unspoken evaluation of businesses based on their environmental commitments. It wouldn’t be surprising to learn that the Millennials, Gen Z, and higher-income demographics lead this charge, often willing to pay premiums for eco-friendly products. Their motivations stem from a blend of personal values, social pressure, and a desire to support businesses that contribute to a healthier planet. Or at least don’t detract from one. Sustainable ecommerce order shipping and returns, which minimize waste and carbon emissions while maximizing profitability and customer loyalty, are a key aspect of these sustainable practices.

It’s important, however, to be aware that there’s a healthy amount of skepticism regarding the sustainability claims made by businesses, as nearly 90% of consumers are wary of greenwashing (the practice of making false or misleading claims about environmental actions and/or benefits), demanding verifiable data and authentic actions from brands. This growing awareness highlights the need for transparency and the measurable and verifiable impact of business efforts on the ecosystem.

Actual Authentic Sustainability Programs are Hard Work

To capture the attention of eco-conscious consumers, businesses must demonstrate genuine commitment to sustainability. Encouraging customers to retain low-cost items during the returns process as part of a Green Returns Initiative can promote sustainability by minimizing waste and shipping, while also enhancing customer satisfaction and engagement.

Transparent reporting is essential, with brands needing to publish sustainability reports that include concrete metrics such as carbon emissions reductions or resource savings. Ethical sourcing and business practices, supported by certifications, enhance credibility. Innovative product design that incorporates recycled materials, upcycled products and/or reduced waste or reusable goods plays a crucial role in meeting eco-conscious expectations. Purpose-driven marketing should authentically communicate a brand’s sustainability mission, avoiding vague claims while focusing on genuine storytelling that connects emotionally with consumers.

Understanding the Environmental Impact of Ecommerce

The environmental impact of ecommerce is significant; online shopping contributes to increased carbon emissions, waste generation, and energy consumption. The rapid growth of ecommerce has raised concerns about the environmental impacts of online shopping, highlighting the need for sustainable practices. Online retailers must understand the specific environmental impacts of their operations to develop effective strategies for reducing their environmental footprint. By addressing these issues, businesses can not only mitigate their environmental impact but also appeal to eco-conscious customers who prioritize sustainability in their purchasing decisions.

Capturing the Attention of Eco-Conscious Customers

We know that eco-conscious consumers are discerning, seeking authenticity and actionable impact. So, brands that want to attract this segment must offer engaging experiences that connect with their values. Developing interactive campaigns or gamification elements that reward sustainable choices fosters even deeper engagement. Simple education and awareness play an essential role in helping consumers make informed decisions by providing accessible resources that explain the environmental benefits of their products. Collaborations with eco-friendly organizations or other sustainable brands amplify efforts and build credibility, further strengthening consumer trust.

While attracting attention is a vital first step, converting eyeballs into loyal customers or even proponents and brand evangelists requires addressing barriers such as cost and accessibility. Clear value propositions are essential, emphasizing the durability, quality, and long-term cost savings of sustainable products. Affordable options make sustainability accessible to a broader demographic than older and more financially stable shoppers. Sharing relatable stories about how initiatives have positively impacted the environment and communities shows the human impact to sustainability and nurtures emotional connections with the brand.

Sustainability Programs Generate Profit and Customer Retention

Sustainability has become a crucial marketing and revenue element of ecommerce, as consumers increasingly prioritize eco-friendly practices and environmentally responsible businesses. By embracing sustainable practices, ecommerce businesses can not only reduce their environmental impact but also cater to the growing demand for eco-friendly options.

This approach not only builds customer loyalty but also ensures long-term customer satisfaction and retention. As consumers become more eco-conscious, they are more likely to support brands that align with their values, leading to a competitive advantage in the market.

Strategies for Implementing ESG Programs and Other Sustainable Practices

Creating an Environmental, Social, and Governance (ESG) program and embedding sustainability into the core of business operations requires thoughtful planning and execution. Companies can start by optimizing supply chains, which include reducing emissions through efficient delivery routes, local sourcing, and consolidated shipments to reduce transportation cycles. Sustainable packaging that uses biodegradable or recyclable materials addresses consumer concerns about single-use plastics. Recycling programs such as H&M’s Garment Collecting Program incentivize customers to recycle used and unwanted apparel, contributing to a circular economy that benefits consumers and the planet.

Reducing the impact of ecommerce reverse logistics (product returns) on the environment is another way to support eco-conscious consumers. When optimized, a well-rounded Return and Exchange Program can play a profound role in reducing waste and conserving resources, allowing businesses to recover value from returned goods while minimizing environmental impact. For instance, establishing systems to inspect, refurbish, and resell returned items not only reduces landfill waste but also offers cost savings to consumers who are more than happy to accept a discounted “open box” item while also creating a new revenue stream for the retailer that may have otherwise contributed to revenue erosion.

Efficient reverse logistics strategies require careful planning and investment in technology and service partnerships. Brands can implement streamlined return processes that reduce emissions, such as consolidating shipments for returned goods or offering local drop-off points to minimize the impact of exhaust emissions from the repeated transportation of the same items back and forth between customers and processing facilities. Partnerships with next-generation returns programs specializing in hands-off and sustainable re-commerce solutions can further enhance these efforts. By integrating reverse logistics into their broader sustainability programs, brands and retailers demonstrate a holistic commitment to reducing their environmental footprint and delivering value to eco-conscious consumers.

Strategies for Reducing Returns

The best way to deal with returns is by not having any. Minimizing returns is crucial for reducing environmental impact as well as lowering operational costs. One effective strategy is providing comprehensive product information to manage customer expectations better. Detailed descriptions, high-quality images, and customer reviews can help shoppers make informed decisions, reducing the likelihood of returns.

Another approach is incentivizing customers to keep their purchases, which can reduce return rates. Offering discounts on future purchases or loyalty points can encourage customers to retain their items. Ensuring returned items are resold, donated, or recycled is also essential for reducing waste. By embracing these strategies, ecommerce businesses can lessen the environmental impact of returns and enhance customer satisfaction.

Efficient Returns Management Systems

Efficient returns management systems are crucial for enhancing customer satisfaction and streamlining operations. Implementing automated systems and tools can reduce the time and effort required for returns processing. Leveraging technology can empower ecommerce businesses to lower return rates and improve customer satisfaction. Focusing on boosting customer satisfaction through efficient returns processes is essential for building customer loyalty and retention. Considering sustainability in returns management practices is also vital for reducing waste and minimizing environmental impact. By optimizing inventory management and ensuring a seamless returns process, businesses can meet customer expectations while promoting eco-friendly practices.

Sustainable Practices in Returns Management

Sustainable practices in returns management are essential for reducing waste and minimizing environmental impact. Implementing a closed-loop supply chain can help in recycling returned products, minimizing landfill waste. Partnering with third-party logistics providers can efficiently handle returns and ensure items are put back into inventory. Offering boxless returns such as in-store returns allows for immediate inspection and restocking, reducing the environmental impact. Implementing reusable packaging and dunnage saves on return shipping costs.

Adopting these strategies can enable retailers to guarantee that returned items are resold, donated, or recycled, reducing waste and promoting sustainability. By integrating these sustainable practices, businesses can enhance customer satisfaction and loyalty while contributing to a healthier planet.

Overcoming Challenges

Despite the benefits of sustainability, businesses often face obstacles such as balancing profitability with the cost of such programs. Proving product quality is also a key step. Consumers need to believe in the performance and reliability of eco-friendly alternatives to counter misconceptions about their effectiveness. Lastly, consistent communication about the sustainability journey, including successes, setbacks, and future goals, is vital in building and preserving consumer trust.

Building Long-Term Customer Loyalty

The path to building an eco-friendly brand reputation and attracting loyal, eco-conscious customers lies in making sustainability a shared journey. Creating opportunities for customers to participate in meaningful actions, such as planting trees or donating to environmental causes through purchases, helps build a sense of community and purpose. Highlighting their contributions to the broader global sustainability objectives reinforces the customer’s connection to the brand and its mission. By prioritizing transparency, innovation, and authentic engagement, brands, and retailers can align themselves with consumer values, driving profitability and lasting impact and presenting a powerful opportunity to redefine success in an environmentally conscious world.

Frequently Asked Questions

Why are sustainable ecommerce returns important?

Sustainable eCommerce returns are important because they reduce environmental impact and enhance customer satisfaction by minimizing waste and promoting eco-friendly practices. This helps lower carbon emissions and create a positive shopping experience for customers.

How can ecommerce shipping be done sustainably?

Choose sustainable packaging such as biodegradable bags and packing peanuts. Use the right sized packaging. Have packaging be re-usable for returns.

How can ecommerce environmental impact be measured?

Regularly track metrics like carbon emissions associated with shipping and packaging to identify areas for improvement. Provide customers with accurate reports to show the business commitment and progress towards reducing carbon emissions and waste reduction.

Why is it important to have a sustainable return policy?

A sustainable return policy helps minimize environmental footprint by reducing waste and also reduces packaging costs for businesses.