A staggering 73% of consumers see fast delivery as a top criteria for online shopping, and nearly 60% of consumers would pay more for fast shipping options.
The rise of retail giants like Amazon has altered customer expectations, with online shoppers now expecting 2-day delivery options wherever and whenever they shop. When 2-day shipping is the norm, how can e-commerce brands stand out?
enter overnight shipping, a delivery option that offers a premium shipping experience to your customers, so you can exceed their expectations (and cater to last-minute shoppers).
index
- what is overnight shipping?
- how overnight shipping works
- 4 benefits of overnight shipping
- what are the cheapest overnight shipping options?
- how much does it cost to deliver a package overnight?
- overnight shipping costs per carrier
- is there a difference between overnight shipping and overnight delivery?
- overnight shipping services compared
- best practices for handling overnight shipping
- how shipbob helps run overnight delivery
- frequently asked questions about overnight shipping
what is overnight shipping?
Overnight shipping is the fastest delivery option offered by courier services that ensures customers receive their order the next business day.
Different carriers offering overnight shipping services will have daily cut-off times after which overnight delivery cannot be guaranteed and depending on the carrier and shipping service, orders placed over the weekend, which is usually the downtime, it may need two days to arrive.
this is usually synonymous with next day delivery or overnight shipping; however, exact delivery dates depend on when the order is placed.
Shipping companies that offer overnight shipping have transportation networks that allow them to offer a delivery service with such fast shipping times. the transportation network is usually spread across the country, as this allows customers to drop off a package and have it ready for delivery early in the morning. these express services are sometimes limited to certain locations (ie if the package is being shipped to a rural area).
how overnight shipping works
Overnight shipping is an expedited shipping option that involves several steps to ensure customers receive their order in a short time.
1. the order must be placed before the next day delivery deadline.
To have true next day delivery, the customer must place an order before the next day delivery deadline. Setting a delivery cut-off time gives you plenty of spare time for order processing, picking, packing, courier pickup, and delivery.
2. you or your fulfillment partner prepare the overnight delivery order for pickup by the courier.
3. the courier picks up and processes the package.
When the package is received by the courier, it will be sorted along with other overnight shipping orders and routed to its final destination.
4. the package is transported to a delivery center the next day.
once routed, the package will be sent to the center closest to the end customer overnight. Overnight orders are, as the name implies, shipped the next day by ground or air transit to reach the customer the next business day.
5. the customer receives his order the next day!
Most major carriers have overnight delivery options to satisfy business owners and customers alike.
4 benefits of overnight shipping
75% of consumers want fast shipping, but only 50% of e-commerce companies offer same-day shipping as an option.
Offering overnight shipping is a competitive advantage that can set you apart from other e-commerce companies. Below are just a few of the benefits of offering overnight shipping.
1. ability to deliver urgent shipments
By offering overnight shipping, you can give your customers more delivery options when they’re in a pinch. Overnight shipping is the fastest delivery available, so by giving your customers this option, you can attract more customers who may be looking for faster delivery.
2. higher customer satisfaction
As customer expectations continue to rise and fast shipping becomes the standard, offering overnight shipping can increase customer satisfaction and loyalty to your brand. Giving customers the freedom to choose faster shipping options if they need them endears shoppers to your brand.
3. increased sales and revenue
With increased customer satisfaction comes increased sales and, consequently, increased revenue. Because customers know they can count on you for fast delivery, they’ll keep coming back to your online store.
4. reduced storage costs
Offering overnight shipping also helps reduce storage costs. Overnight shipping helps free up warehouse space, reducing storage costs and minimizing the chances of dead goods and obsolescence.
what are the cheapest overnight shipping options?
The cheapest shipping options are based on many criteria, including package weight and dimensions, delivery time and distance, and any discounts that can be negotiated with a carrier. In general, USPS will be the cheapest option for packages under 2 pounds.
Your Priority Mail Express Flat Rate Envelopes will be the best choice for any shipment that will fit in them. for packages over 70 pounds the cheapest option will be ups or fedex. Online sellers can negotiate lower rates by negotiating with carriers or partnering with retail fulfillment providers like Shipbob.
overnight shipping calculators
- usps shipping price calculator
- ups shipping calculator
- fedex shipping calculator
how much does it cost to ship a package the next day?
The short answer? it depends.
Overnight shipping costs may change due to various factors, including the following:
1. package dimensions
All major carriers use a pricing model called dimensional weight (also known as dim weight) to calculate shipping costs. dimweight takes into account the dimensions of a package to determine the shipping cost.
Dimensional weight is calculated by multiplying the length, width, and height of a package, and then dividing that number by a dim divisor. carriers base shipping rates on whichever is greater: the actual weight of the package or its minimum weight. which converts to the billable weight that determines your overnight shipping cost.
2. package weight
Heavier packages cost more to ship than lighter shipments. As mentioned above, if the actual weight of a package is greater than the actual weight, it will be used to calculate shipping costs. the heavier and larger the package, the more expensive it will be to ship.
3. shipping zones
forwarding zones measure the distance between a packet’s point of origin and its destination.
Carriers use shipping zones to calculate shipping costs. in usa In the US, these can range from zone 1 to zone 8.
Shipping zones are calculated based on where an order is being shipped from. this means that two different points of origin with the same destination could be sending to completely different zones.
The higher the shipping zone, the more expensive it will be to ship a package. when it comes to overnight delivery, overnight shipping, and other expedited shipping options, the price increase between zones is exponentially higher.
4. shipping agreements with carriers
You may be eligible to receive discounted shipping rates from carriers. Some carriers offer small business discounts, while others discount rates based on large shipping volumes. When choosing which carrier (or third-party logistics providers) to work with, research what discount rates might be available to you.
shipping costs the next day by carrier
The table below breaks down overnight shipping rates for different carriers.
Is there a difference between next day shipping and next day delivery?
Overnight shipping and overnight delivery may sound different, but they mean the same thing. The two delivery terms can be used interchangeably to refer to shipping services that deliver packages to customers the day after they are ordered.
overnight shipping services compared
Overnight shipping is often expensive, but pricing can vary between carriers. Here are the overnight delivery options available from three major carriers.
usps overnight shipping
A popular type of USPS mail is their Overnight Offer, Express Express Mail, their “Fastest Nationwide Service.” packages under 70 pounds are shipped next day via priority mail express starting at $26.95. If you (or your clients) are really in a hurry, there are also priority priority mail options that guarantee delivery by 10:30am. m. the next day.
Among the three major carriers, USPS offers the cheapest overnight shipping option. That’s because USPS runs local routes every day, so they don’t have to strain to deliver to their end customer.
increases overnight shipping
ups offers many different delivery options, but ups next day air is the fastest. UPS boasts of offering “more guaranteed, on-time, overnight deliveries in the United States than anyone else.” your overnight delivery options include (listed from most expensive to least expensive):
- ups next day air early: Guaranteed next day delivery as early as 8am. day.
- increases next day air savings: guaranteed next day delivery usually by the end of the next business day.
all ups overnight delivery options offer online tracking.
next day shipping by fedex
Often the most expensive of the three carriers, FedEx also offers three US overnight delivery options. (from most to least expensive):
- fedex first night: the fastest option. delivery as early as 8:00 a.m. m. next business day to most US destinations. uu. delivery before 2:00 p.m. m. to additional extended destinations.
- fedex overnight priority: delivery before 10:30 am. m. next business day to most US destinations. uu., with delivery in remote areas before 4:30 p.m. m.
- fedex standard overnight: delivery before 4:30 p.m. m. to most US addresses u.
all fedex overnight options allow shippers to customize delivery and pickup options, including requesting proof of delivery.
best practices for handling overnight shipments
If you’re ready to offer an overnight shipping option, but aren’t sure where to start, use these best practices to ensure your packages arrive at the right location, on time, and undamaged.
1. set a clear cut-off time
To offer overnight shipping, you’ll need to create a clear policy outlining your brand’s cut-off time. You’ll want to set this policy so you have enough time for orders to be processed and fulfilled in order to meet next day delivery times. This policy should clearly communicate your cut-off time to avoid misunderstandings and set expectations with your customers.
2. operate from multiple warehouses
By spreading your inventory across multiple warehouses, you can reach your end customers faster. shipping from multiple warehouses helps you complete expedited shipments because your inventory is stored closer to the delivery location.
3. establish a central store
Using multiple warehouses can complicate inventory management if not done strategically, not to mention increase storage costs. For some companies, using a centralized warehouse is a much more efficient and cost-effective way to complete overnight shipments.
4. work with reliable partners
Building relationships with partners you can trust helps you deliver on the promise of overnight shipping. Examine compliance partners with due diligence to find one that consistently meets slas.
how shipbob helps execute next day delivery
Working with a third-party logistics provider (3pl), like shipbob, can help you offer customers overnight shipping. In addition to major carriers like USPS, UPS, and FedEx, Shipbob also works with several regional carriers. Regional carriers such as CDL Last Mile Solutions, Lone Star Night (LSO), United Delivery Service (UDS), and Ontrac allow Shipbob to offer overnight shipping options for merchants.
Because Shipbob works with different carriers, delivery times are based on when the carrier scans a package after picking up the packages at a Shipbob fulfillment center. this may be later that day or the next business day, depending on the carrier and time of day.
In addition to overnight shipping, Shipbob also offers ground shipping, 2-day shipping, and same-day delivery. In this way, we are able to provide merchants with many shipping options that they can offer their customers and stay competitive in today’s market.
Location and distance from end customers make a big difference when offering overnight shipping. Thanks to Shipbob’s network of fulfillment centers across the country, we can help you keep your inventory closer to end customers. Inventory spreading shortens transit times and reduces the number of shipping zones each order must travel, which can help you save money on expedited delivery options.
Shipbob’s robust dashboard gives traders insight into their data in real time. our analytical tool provides suggestions on how to optimize your inventory distribution based on historical data to reduce transit times and reduce fulfillment costs.
“From the beginning, we chose to ship our products to three shipbob fulfillment centers in the united states instead of one. In this way, we could decrease shipping times for more customers in different regions of the country. in the end, I want speed. I want customers to compare our delivery time to Amazon’s.”
start today with shipbob
While overnight shipping can be a more expensive option, offering it can help you exceed customer expectations and convert more last-minute shoppers. Working with a third-party logistics partner like shipbob can help you offer expedited delivery options to your customers at scale by stocking inventory in multiple locations across the country.
To start offering faster delivery and cheaper overnight shipping options to your customers, request a quote to learn more about shipbob.
frequently asked questions about overnight shipping
These are the answers to frequently asked questions about overnight shipping.
what is the cheapest overnight shipping?
Based on our research, the cheapest overnight shipping is Express Priority Mail. it costs $22.75 for commercial and $26.35 at the post office and online.
how much does overnight shipping cost?
the price of overnight shipping depends on a few factors. if you opt for ups next day air saver, the starting price is $24.06.
what is the fastest shipping?
Several courier companies offer fast shipping. ups, dhl, fedex and usps offer same day delivery, which is possibly the fastest shipping option available today.
more information
In today’s competitive marketplace, customers expect fast shipping. Learn how you can leverage a 3PL to distribute your inventory and speed up shipping times. download the guide now to learn more.