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Mis-Shipments happen to the best of companies, whether it’s sending the incorrect items on the order, shipping product using the wrong shipping service level, or a number of other common order processing mistakes. In fact, even the most professional order fulfillment companies operate around 99.9% order accuracy – which means that even they make mistakes! But have you ever considered the true cost of a mis-shipment? We did, and you might find the results surprising!
Also known as a mis-ship, a mis-shipment is when you send an incorrect item to a customer. While mis-ships are common, they can take a serious toll on your bottom line. The good news is there are ways to improve your order accuracy and avoid mis-shipments so you can keep more of your time and money. Let’s take a closer look at the true cost of mis-shipments and ways to reduce their risk.
Simply put – mis-shipments cost a lot of money. Avoiding mis-shipments at all costs is paramount to running a successful shipping operation. Some of the more common forms of mis-shipments include:
There are a number of costs that arise each time you mis-ship an order, including:
Whenever an inaccurate order is picked and shipped, you’ll lose the money spent on the original pick and ship. If you need to send a replacement order, you’ll also be on the hook for another pick and ship fee. According to our most recent fulfillment pricing survey, each pick and ship will run you $2 to $5 on average and anywhere from 5 to 15 minutes. When you consider the fact that a typical warehouse worker earns $14.97 per hour, this is expensive.
If you send the wrong order to a customer, they shouldn’t have to pay the shipping charges incurred. Outbound shipping charges become your responsibility and can range from $6 to $10 for the ground delivery of a small package to $20 or even more for a larger, heavier package.
Chances are a customer won’t keep the incorrect items and decide to send them back to you. In this case, you’ll have to cover both the initial and return shipping charges, which can be anywhere from $6 to $20 or more.
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