Determining shipping costs can be a frustrating part of your crowdfunding campaign. Costs vary significantly based on your product’s weight, size, and shape, as well as the regions your backers are located in and where you’re handling manufacturing.
Because of this complexity, it’s smart to start thinking about shipping costs as early as possible. Armed with good estimates before your campaign begins, you can more accurately price your perks and decide which countries to open your campaign to.
Indiegogo partnered with Ingram Micro Commerce & Lifecycle Services to help entrepreneurs with the shipping process, and we’re excited to share a new tool for calculating the costs of shipping perks to different regions around the world.
Indiegogo and Ingram Micro’s New Shipping Cost Calculator
Our Shipping Cost Calculator helps entrepreneurs get an early look at shipping costs for their campaign perks. You can access the calculator here.
The tool takes minutes or even seconds to use. With a few simple measurements of your product’s dimensions and weight, the calculator draws on Ingram Micro shipping data to tell you:
- Your product’s dimensional weight. Dimensional weight is a measurement used by many shipping carriers, which incorporates a product’s size as well as its base weight. Large, light products–e.g. a big stuffed animal–take up more space in a truck or shipping container than smaller products of equal weight, and carriers charge you accordingly. Typically, carriers look at both your product’s base weight and its dimensional weight, and charge you for whichever is higher.
- Shipping costs from China to different global regions. Many crowdfunding perks are manufactured in China, and entrepreneurs who work with a third-party logistics provider often find it cheaper to ship to backers from a warehouse near their manufacturer. (See how the entrepreneurs behind UniLid used this strategy to reduce shipping costs.) This calculator gives you the information you need for the various regions.
Beyond these initial calculations, there are further steps in determining your final shipping costs. The number of product variants you offer can increase fulfillment time and labor costs. You will also need to separately determine the cost of packing materials, from boxes or mailers to any filler material. In addition, batteries are classified as hazardous materials in many countries, and usually require special considerations to ship. If you have further questions about shipping costs for your specific product, check out our free guide to shipping and fulfillment after crowdfunding.
Still, the sooner you get started, the better. Congratulations on thinking ahead to this critical step in crowdfunding success!
Indiegogo and Ingram Micro Commerce & Lifecycle Services have partnered to help entrepreneurs like you fulfill your orders with ease, whether you’ve just launched your first product or are scaling your business. Visit our program page to learn more about the support we offer.