Flat Rate vs Standard Shipping

The internet has made it possible for people to buy products online from various e-commerce websites in the contemporary era. Customers can view products and learn about their specifications online. This helps to aid their buying decisions. After an order is placed, the seller has to ship it within a limited time frame.

Shipping plays a crucial role in transporting the goods to the customers. One must always use a reliable shipping service provider that can offer fast courier services.

Using leading aggregator platforms like Pickrr can help you choose from a wide range of e-commerce shipping services from multiple courier companies. The courier service providers charge different types of shipping rates. There are two mainstream shipping plans, including the flat rate and the standard rate shipping.

Let’s delve deeper to learn more about these two and how they differ.

Understanding Flat Rate vs Standard Rate Shipping

Flat rate shipping or linear rate shipping plans charge a fixed amount for every parcel. In this shipping plan, the rates don’t vary depending on the size or dimensions. People usually prefer to ship heavy packages using the flat shipping rate. The flat shipping rates may vary depending on the time zones and delivery location.

The standard rate shipping is the most common one used by various companies to ship out their orders to the customers. It considers multiple metrics to decide the final shipping rate, including the pin-code, box dimension, weight, time zone, etc. The standard delivery time offered by most shipping service providers falls in the range of 5 to 10 days.

They take a different approach to pricing the shipping services. Shipping companies can provide a flat shipping rate to buyers for a particular time zone or a specific weight slab. Alternatively, they can have a standard shipping time that varies depending on the time zones and dimensions. Both these options help determine the shipping cost for delivering your goods.

 Benefits of Using Flat Rate Shipping

 Some of the most prominent benefits of using flat rate shipping include the following.

  1. Full Transparency

 A flat rate shipping method helps provide full transparency as customers know the rate, and there is little to no chance of any variations. The breakdown of the shipping charges is self-explanatory and doesn’t require much effort to understand, leaving no room for any ambiguity. Most e-commerce companies prefer having flat rate shipping to avoid any weight reconciliation issues.  

  1. Consistency in Prices

 Prices are consistent and cheaper in most cases, especially when you have more oversized parcels. In the case of flat rate shipping, prices are compatible if they fall in a given time zone or weight slab. You can always check with your logistics aggregator or delivery courier service provider about the price slabs for different weights and dimensions.

  1. Time Management

 In the case of flat rate shipping, you don’t have to work on your shipping rates continuously as you have already agreed on a pre-decided rate. Many organizations prefer having already worked on prices depending on the rates and time zones. This simplifies the entire process and helps save time that can be used to manage the core activities.

Advantages of Standard Shipping

The main advantages of standard shipping rates are as follows.

  1. Little to No Liability

One of the essential advantages of choosing a standard shipping rate is that you have little to no liability. This is ideal for new sellers or businesses who don’t can’t measure the actual reach of the company initially. The standard shipping rates, in this case, helps to avoid any confusion and loss. It helps to provide a detailed breakup of the cost of each order.

  1. Offers a Traditional Approach

 When businesses don’t have many customers across a particular time zone, they can easily opt for a standard shipping rate. It can save one from the constant to and for between shipping partners.

Choosing Between Flat Rate and Standard Rate Shipping

 The real question that is posed in front of many businesses is how to choose between flat rate shipping and standard rate shipping. Which out of the two would be optimal for a particular company? This question is exceptionally subjective, and the answer depends on the business’s requirements. From a broader perspective, flat rate shipping is more suitable for big companies that deliver similar packages locally.

On the other hand, Standard shipping is suitable for small and medium-sized businesses who need customized offers for a wide range of goods that have to be delivered across different locations.

Many a time, the difference between the two rates might not seem significant, but when you start operating on a large scale, choosing the right one will save you a lot of money that would’ve been spent otherwise to achieve the same goal.

Frequently Asked Questions

  1. Which one is better for small businesses?

Choosing between a flat rate and a standard rate shipping requires understanding your business’s needs and budget. For small businesses, a typical rate is better as the orders vary greatly, and they are yet to achieve consistency in order volume from a specific region. 

  1. Which rate should I go for if I have to deliver heavy goods? 

If you have to deliver bulky goods in a specific region, it is advisable to opt for flat rate shipping.

  1. How long does it take to deliver packages if I have opted for a flat rate shipping?

The delivery time for priority flat rate packages is usually between 2 to 3 days. However, it varies greatly depending on which courier service you have opted for.

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