Profit margins are always something which is on the minds of business owners in Singapore and worldwide.
One of the biggest issues when it comes to profit margins (especially if the business owners wish to absorb the cost of deliveries) is for E-commerce businesses. It is already not easy to make a lot of money through E-commerce (it may sound easy but competition is truly tough for most niches in Singapore).
Therefore, most business owners would gladly prefer not having the need to worry about their profit margins getting eaten away by greedy logistics or delivery companies!
Here is a good way to significantly lower your E-commerce business deliveries costs. First of all, you must definitely work with a good Singapore courier company. That is essential and an absolute given.
Next, you should try to incorporate free delivery or absorb the cost of the delivery only if the customer orders above a certain amount of items. This will allow you to have more than enough profit margins to absorb these costs. If you try to give them free deliveries no matter what, unless you have sufficient cash in the bank to burn through, you would not be able to sustain such growth for long (the exception being unless your customers all order many items each time or your profit margin per item is huge).
Next of all, for your long term benefit, you should not only look at the current charges of a courier company. You should instead know and focus on growing your business and hence amount of deliveries. This is because with higher volumes, delivery charges per item is usually significantly cheaper. Hence, always work with a company which allows for you to scale easily rather than one which charges cheaply now, but whose prices are pretty much the same / constant regardless of volume!