When shipping from China via sea freight, many businesses and individual shoppers unknowingly pay higher shipping costs due to a lack of parcel consolidation. If you often order from multiple sellers, understanding the difference between consolidation and non-consolidation can help you cut shipping expenses by up to 30%!
In this post, we'll break down the two methods, show a real cost comparison, and explain how parcel consolidation can help you maximize savings.
What is Parcel Consolidation?
Parcel consolidation is a logistics strategy where a freight forwarder holds your parcels at their warehouse until all of them arrive. Then, they combine multiple smaller shipments into one larger shipment before sending them to the final destination.
You avoid paying the minimum charge for each separate parcel!
Let's compare how much you would pay with and without parcel consolidation.
Watch how parcel consolidation works in practice
Without Parcel Consolidation (Higher Costs!)
Scenario:
Imagine you order from two different sellers on 1688 or Taobao:
- Seller A ships a 0.14m³ parcel.
- Seller B ships a 0.2m³ parcel.
- The freight forwarder receives these separately on different dates and ships them out separately.
Problem:
Many freight forwarders apply a minimum volume charge per shipment, often 0.3m³. Even if your parcel is smaller, you still pay for the minimum charge!
Cost Breakdown:
| Seller | Arrival Date | Parcel Volume | What You Pay (Min. Charge Applied) |
|---|---|---|---|
| Seller A | 1/4 | 0.14m³ | 0.3m³ (Minimum charge) |
| Seller B | 4/4 | 0.2m³ | 0.3m³ (Minimum charge) |
| Total Paid | 0.34m³ | 0.6m³ | |
Even though your total parcel volume is only 0.34m³, you are charged for 0.6m³ because each parcel is treated as a separate shipment. That's 77% more than necessary!
With Parcel Consolidation (Lower Costs!)
How It Works:
- Instead of shipping each parcel separately, your freight forwarder waits for all parcels to arrive.
- They combine them into one shipment before sending them to your destination.
- You only pay the total actual volume instead of separate minimum charges.
Cost Breakdown (With Consolidation):
| Seller | Parcel Volume |
|---|---|
| Seller A | 0.14m³ |
| Seller B | 0.2m³ |
| Total Combined Volume | 0.34m³ |
| What You Pay (After Consolidation) | 0.4m³ (rounded up but still cheaper) |
Savings: 33% less than non-consolidation!
Why Should You Use Parcel Consolidation?
- Pay minimum charges for each parcel
- Higher total shipping costs
- Multiple tracking numbers to manage
- Increased risk of customs delays
- More paperwork and documentation
- Pay only for actual volume used
- Significant cost savings (up to 30%)
- Single tracking number
- Streamlined customs clearance
- Simplified documentation
Avoid Overpaying for Shipping
If each parcel is shipped separately, you may pay up to double due to minimum charges. Consolidation combines shipments and eliminates unnecessary fees.
Maximize Cost Savings
Consolidated shipping optimizes volume and minimizes wasted space. E-commerce sellers and importers can lower overall shipping costs significantly.
Reduce Delivery Delays
Shipping multiple small parcels separately increases the risk of customs delays and missing shipments. Consolidation ensures one smooth shipment instead of multiple tracking numbers.
Cost-Saving Comparison: At a Glance
| Shipping Method | Volume Paid | Cost | Savings |
|---|---|---|---|
| Non-Consolidation | 0.6m³ | Higher | – |
| Consolidation | 0.4m³ | Lower | 33% Cheaper |
How Gimworld Helps You Save on Shipping
At Gimworld, we provide free parcel consolidation for sea freight shipping from China to Malaysia, Singapore, and beyond.
- We hold your parcels at our warehouse and wait for all orders to arrive.
- We combine your shipments into one, ensuring you pay less for shipping.
- You get a seamless shipping experience without the hassle of tracking multiple shipments.
Don't Overpay for Shipping!
If you shop from Taobao, 1688, or Chinese suppliers, use Gimworld's parcel consolidation service today and save up to 30%!
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