One Small Retailer's Holiday Shipping Bill Nearly Doubled This Year

A small retailer's shipping costs have nearly doubled ahead of this holiday season. According to Inc., though, the higher price is not the biggest problem. The bigger issue is who ends up paying for it.

What changed

Shipping the same goods now costs this retailer far more than it did before. The cost is close to double what it was. Many shoppers still expect free delivery, so the seller often covers the extra cost instead of passing it on.

Who it affects

The story centers on one small business, but the pressure it describes reaches any seller that ships to customers. When delivery is free for the buyer, the seller still pays the carrier. A jump in shipping prices comes straight out of profit unless something else changes.

What is not known yet

The full article was not available, so key details are missing. The retailer's name, what it sells and the exact dollar amounts are not in the material. It is also unclear which carriers raised prices or what the owner plans to do about it.

What to do

If you sell online, work out what free delivery really costs you before the holiday rush. A few checks can help:

• Add up your recent shipping bills and compare them with last year.
• Look at how much of each sale's profit goes to delivery.
• Decide whether you can afford to keep offering free shipping.

What happens next

The holiday season is when order volume peaks, so any gap between shipping costs and prices shows up fast. Whether shoppers will accept paying for delivery is the open question the story raises.