Eric Lituchy runs a lean operation. His online gift firm, Delightful Deliveries, drop ships all of its orders. And this allows it to add product lines like gourmet-baked goods without making costly inventory commitments.
Best-in-class operations use shipping as a strategic competitive weapon to attract new customers, improve sales conversion ratios and increase profitability. You can typically reduce shipping costs by 10% or more through carrier contract negotiations and other strategies.