Last Updated:
November 10, 2025
10

E-Commerce Shipping: Making It Work for You

Written by
Alise Birzniece
Table of Content

Shipping matters

E-commerce shipping is the link between digital carts and satisfied customers. When done right, it builds loyalty, drives repeat business, and turns one-time buyers into brand advocates. And when done wrong? It's the fastest way to lose a sale.

The good news is that effective shipping strategies do more than just deliver packages from point A to point B. They help you:

  • Optimize inventory management: know what to stock and when
  • Reduce cart abandonment: transparent costs mean fewer surprises at checkout
  • Expand market reach: ship confidently to new regions and countries

Having fast, reliable, and cost-effective shipping is crucial for any online seller. Without it, there’s no reliable business growth. In this guide, you'll discover the biggest challenges in e-commerce logistics and learn about a proven strategy to optimize your delivery process, reduce costs, and turn shipping into a competitive advantage.

The biggest challenges in e-commerce logistics

1. Order fulfilment

Managing inventory is a constant balancing act. Stock too little, and you risk losing sales when demand spikes. Stock too much, and you're tying up cash in products sitting in a warehouse or filling up your workshop.

But inventory management is just one piece of the puzzle. In 2024, nearly 80% of companies reported supply-chain disruptions – proving that even a perfect checkout experience can't save you if your logistics system is fragile. One delayed shipment from a supplier can create a domino effect that impacts your entire operation.

The flip side? Overcompensating with excess inventory. Last year, 43% of e-commerce businesses admitted that overstocks and stockouts reduced their revenue opportunities. Too much inventory means wasted resources. Too little means missed sales. Finding that sweet spot is a bit harder than it looks.

Then there’s the shipping side of fulfillment.

Customers expect fast delivery and they're not patient about it. In 2024, 70% of shoppers abandoned their carts due to long delivery times. If your fulfillment process can't keep up with expectations, you're losing sales before the customer even checks out.

And here's the catch: delivery needs to be fast, but it also can't be expensive. High shipping fees drive cart abandonment, but eating the cost yourself cuts into your margins. It's a delicate balance that every e-commerce business has to navigate.\

2. Shipping costs

Big companies tend to invest loads of resources by building in-house systems. Systems that give them a strategic benefit (chance to offer lower shipping cost to the end-buyer) but are pricey to develop and hard to optimise.

And smaller companies are at an unfair disadvantage. They’re left with a complex and time-consuming decision-making process to find a carrier with reasonable rates, reliable systems, and good coverage. And even then, a competitive delivery fee isn’t guaranteed.

3. Delayed or slow deliveries

Late deliveries upset customers and disrupt operations. 63% of shoppers are less likely to buy from a company that hasn’t delivered their order within 2 days of the promised date.

To avoid losing sales this way, businesses can use past and current data about shipping companies’ performance in different areas.

The challenge is getting transparent, reliable, and relevant data on the carriers because there’s no standard (or obligation) to provide this information.

4. Product returns

Reverse logistics is an increasingly important area to pay attention to. Only about 10% of shoppers say they don’t typically return items they’ve bought.

Managing product returns involves:

  • Establishing transparent and user-friendly return policies to communicate the procedures, timeframes, and acceptable product conditions
  • Assessing the returned product’s condition and managing the flow of returned items to maintain inventory accuracy
  • Processing refunds or exchanges promptly and accurately to uphold customer trust

When handling returned goods, businesses must balance cost-effectiveness, sustainability, and customer satisfaction. And navigating these challenges successfully depends on having a well-defined process and streamlined workflow.

Shipping platform for e-commerce shipping optimisation

Aside from shipping software, what other options do businesses have?

There are single and multiple-carrier approaches, in-house logistics, partnerships with fulfilment centres, and parcel lockers, to name a few.All of these options share similarities – they’re inefficient, time-consuming, and often expensive.

But there’s an alternative, and it doesn’t require any investment or subscriptions.

Opting for shipping software like Swotzy allows you to get the best-fit delivery option: cheapest, fastest, or most sustainable, depending on your priorities. With Swotzy, you’ll get the flexibility of an effective delivery network and competitive pricing.

On our platform, you’ll find various carriers and their services, so you can compare and use them without signing contracts, integrating, or solving any other challenges in establishing a new partnership.

Plus, you can start using our platform in less than 10minutes. Create an account and see for yourself – it’s free.

Written by
Alise Birzniece
Table of Content

Shipping matters

E-commerce shipping is the link between digital carts and satisfied customers. When done right, it builds loyalty, drives repeat business, and turns one-time buyers into brand advocates. And when done wrong? It's the fastest way to lose a sale.

The good news is that effective shipping strategies do more than just deliver packages from point A to point B. They help you:

  • Optimize inventory management: know what to stock and when
  • Reduce cart abandonment: transparent costs mean fewer surprises at checkout
  • Expand market reach: ship confidently to new regions and countries

Having fast, reliable, and cost-effective shipping is crucial for any online seller. Without it, there’s no reliable business growth. In this guide, you'll discover the biggest challenges in e-commerce logistics and learn about a proven strategy to optimize your delivery process, reduce costs, and turn shipping into a competitive advantage.

The biggest challenges in e-commerce logistics

1. Order fulfilment

Managing inventory is a constant balancing act. Stock too little, and you risk losing sales when demand spikes. Stock too much, and you're tying up cash in products sitting in a warehouse or filling up your workshop.

But inventory management is just one piece of the puzzle. In 2024, nearly 80% of companies reported supply-chain disruptions – proving that even a perfect checkout experience can't save you if your logistics system is fragile. One delayed shipment from a supplier can create a domino effect that impacts your entire operation.

The flip side? Overcompensating with excess inventory. Last year, 43% of e-commerce businesses admitted that overstocks and stockouts reduced their revenue opportunities. Too much inventory means wasted resources. Too little means missed sales. Finding that sweet spot is a bit harder than it looks.

Then there’s the shipping side of fulfillment.

Customers expect fast delivery and they're not patient about it. In 2024, 70% of shoppers abandoned their carts due to long delivery times. If your fulfillment process can't keep up with expectations, you're losing sales before the customer even checks out.

And here's the catch: delivery needs to be fast, but it also can't be expensive. High shipping fees drive cart abandonment, but eating the cost yourself cuts into your margins. It's a delicate balance that every e-commerce business has to navigate.\

2. Shipping costs

Big companies tend to invest loads of resources by building in-house systems. Systems that give them a strategic benefit (chance to offer lower shipping cost to the end-buyer) but are pricey to develop and hard to optimise.

And smaller companies are at an unfair disadvantage. They’re left with a complex and time-consuming decision-making process to find a carrier with reasonable rates, reliable systems, and good coverage. And even then, a competitive delivery fee isn’t guaranteed.

3. Delayed or slow deliveries

Late deliveries upset customers and disrupt operations. 63% of shoppers are less likely to buy from a company that hasn’t delivered their order within 2 days of the promised date.

To avoid losing sales this way, businesses can use past and current data about shipping companies’ performance in different areas.

The challenge is getting transparent, reliable, and relevant data on the carriers because there’s no standard (or obligation) to provide this information.

4. Product returns

Reverse logistics is an increasingly important area to pay attention to. Only about 10% of shoppers say they don’t typically return items they’ve bought.

Managing product returns involves:

  • Establishing transparent and user-friendly return policies to communicate the procedures, timeframes, and acceptable product conditions
  • Assessing the returned product’s condition and managing the flow of returned items to maintain inventory accuracy
  • Processing refunds or exchanges promptly and accurately to uphold customer trust

When handling returned goods, businesses must balance cost-effectiveness, sustainability, and customer satisfaction. And navigating these challenges successfully depends on having a well-defined process and streamlined workflow.

Shipping platform for e-commerce shipping optimisation

Aside from shipping software, what other options do businesses have?

There are single and multiple-carrier approaches, in-house logistics, partnerships with fulfilment centres, and parcel lockers, to name a few.All of these options share similarities – they’re inefficient, time-consuming, and often expensive.

But there’s an alternative, and it doesn’t require any investment or subscriptions.

Opting for shipping software like Swotzy allows you to get the best-fit delivery option: cheapest, fastest, or most sustainable, depending on your priorities. With Swotzy, you’ll get the flexibility of an effective delivery network and competitive pricing.

On our platform, you’ll find various carriers and their services, so you can compare and use them without signing contracts, integrating, or solving any other challenges in establishing a new partnership.

Plus, you can start using our platform in less than 10minutes. Create an account and see for yourself – it’s free.