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Why Are My Shipping Costs So High? Your Box Size Could Be the Problem

Why Are My Shipping Costs So High? Your Box Size Could Be the Problem

13th Jul 2026

How choosing the right cardboard box can reduce courier costs, minimise waste and improve your packaging efficiency

If you've noticed your shipping costs steadily increasing, you're certainly not alone.

With courier prices continuing to rise, many UK businesses are looking for ways to reduce fulfilment costs without compromising on customer service. While it's tempting to negotiate courier rates or switch delivery providers, one of the biggest opportunities to save money is often overlooked.

Your cardboard box size.

Using boxes that are larger than necessary doesn't just waste cardboard—it can increase courier charges, require more packing materials and even raise the risk of products being damaged during transit.

In this guide, we'll explain why box size matters, how oversized packaging can affect your shipping costs and what you can do to reduce unnecessary spending.

Why Box Size Matters More Than Ever

Years ago, many courier companies charged primarily based on the weight of a parcel.

Today, most major carriers also consider the size of the parcel, often using what's known as volumetric or dimensional weight pricing.

This means a lightweight parcel in a large box can sometimes cost more to ship than a heavier product packed in a smaller, right-sized box.

For businesses shipping dozens—or even hundreds—of parcels every week, these additional costs can quickly add up.

The Hidden Costs of Oversized Boxes

Many businesses choose standard stock boxes because they're easy to buy and readily available.

The problem is that stock sizes rarely fit products perfectly.

That extra empty space creates several hidden costs.

Higher Courier Charges

Larger parcels often move into higher pricing bands.

Even if your product weighs very little, the overall parcel dimensions may increase your shipping costs.

Reducing your box size by just a few centimetres can sometimes move your parcel into a lower charging category.

More Void Fill

Oversized boxes require additional protective packaging, such as:

  • Paper void fill
  • Bubble wrap
  • Air pillows
  • Packing peanuts
  • Corrugated inserts

These materials all cost money.

Using a box that's designed around your product naturally reduces the amount of filler required.

Longer Packing Times

Every extra piece of packaging takes time.

When staff need to:

  • Find suitable void fill
  • Wrap products multiple times
  • Fill empty space
  • Tape oversized boxes

Packing becomes slower and more expensive.

Over hundreds of orders each week, those additional seconds quickly become hours of lost productivity.

Increased Risk of Damage

Empty space allows products to move around during transit.

Movement increases the likelihood of:

  • Broken products
  • Scratched surfaces
  • Crushed packaging
  • Customer returns

A correctly sized box keeps products more secure, helping to reduce damage claims and replacement costs.

More Warehouse Space

Larger boxes don't just cost more to ship.

They also occupy more storage space before they're even used.

Businesses storing multiple stock box sizes often dedicate valuable warehouse space to packaging that could be significantly reduced through better sizing.

A Simple Example

Imagine you're shipping a ceramic mug.

Your product measures:

  • 110mm × 90mm × 100mm

You choose a stock box measuring:

  • 250mm × 200mm × 150mm

The result?

  • More empty space
  • More paper filler
  • Larger parcel dimensions
  • Longer packing time
  • Greater movement during transport

Instead, a custom-made box designed specifically around your product could significantly reduce wasted space while still allowing room for protective packaging.

Multiply those savings across hundreds or thousands of orders every year and the financial impact becomes considerable.

What Is Right-Sized Packaging?

Right-sized packaging simply means using a box that's manufactured to suit your product rather than choosing the closest available stock size.

The benefits include:

  • Lower courier costs
  • Reduced packaging waste
  • Better protection
  • Faster packing
  • Less storage space
  • Improved sustainability

It's one of the simplest ways businesses can improve packaging efficiency without changing their products or fulfilment process.

When Should You Consider Custom Cardboard Boxes?

Custom-sized boxes aren't just for large manufacturers.

They're increasingly popular with:

  • E-commerce businesses
  • Subscription box companies
  • Etsy sellers
  • Amazon sellers
  • Manufacturers
  • Wholesalers
  • Retailers

If you're regularly shipping the same product—or a small range of products—custom packaging often becomes a cost-effective investment.

How to Tell if Your Boxes Are Too Large

Ask yourself these questions:

  • Do you regularly use large amounts of void fill?
  • Does your product move around inside the box?
  • Could you fit your product into a noticeably smaller box?
  • Are you buying standard stock boxes because they're convenient rather than the correct size?
  • Have your courier costs increased despite your products remaining the same?

If you've answered "yes" to several of these questions, your packaging could be costing more than it should.

Is It Always Better to Use the Smallest Box Possible?

No.

Products still need sufficient protection.

A box that's too small may leave no room for cushioning materials, increasing the likelihood of damage during transit.

The goal isn't the smallest box.

It's the right-sized box.

A correctly designed custom box leaves enough space for appropriate protection while eliminating unnecessary empty space.

Other Ways to Reduce Shipping Costs

Choosing the right box size is one of the biggest opportunities to reduce fulfilment costs, but it isn't the only one.

You can also consider:

  • Reviewing courier contracts regularly.
  • Reducing unnecessary packaging materials.
  • Using the correct board grade instead of over-specifying.
  • Consolidating multiple items into a single shipment where appropriate.
  • Ordering packaging in quantities that balance storage costs with unit price.

Small improvements across several areas often deliver significant long-term savings.

How ASC Direct Helps Businesses Reduce Shipping Costs

ASC Direct specialises in manufacturing made-to-measure cardboard boxes designed around your products.

Instead of choosing from standard stock sizes, businesses can create packaging using their exact internal dimensions.

This helps reduce wasted space while improving packing efficiency and potentially lowering courier costs.

Customers can:

  • Order from just 25 boxes.
  • Receive instant online pricing.
  • Choose single wall, premium single wall or heavy-duty board.
  • Select production from as little as one working day.
  • Add custom printing where required.

For businesses shipping products every day, small improvements in packaging design can lead to meaningful savings over time.

Frequently Asked Questions

Does a smaller box always cost less to ship?

Not always, but reducing parcel dimensions can help lower shipping costs where couriers use volumetric or dimensional pricing.

Can custom boxes reduce packaging costs?

Yes. They often reduce the amount of void fill required, improve packing efficiency and can lower courier costs by reducing parcel size.

How much space should be left around a product?

Enough to include suitable protective packaging while preventing unnecessary movement during transit.

Are custom cardboard boxes only suitable for large businesses?

No. Many UK manufacturers now offer low minimum order quantities, making custom-sized packaging suitable for startups, growing e-commerce businesses and SMEs.

Final Thoughts

If your shipping costs seem higher than expected, your courier may not be the only factor.

Oversized boxes can quietly increase costs through higher shipping charges, additional packing materials, slower packing times and increased product damage.

Reviewing your packaging is one of the simplest ways to identify potential savings.

By switching to right-sized cardboard boxes, many UK businesses can reduce waste, improve efficiency and create a better experience for their customers—without changing the products they sell.

Sometimes, the simplest way to reduce shipping costs isn't negotiating with your courier.

It's choosing a better-sized box.

James Palfrey-Smith is the General Manager at ASC Direct with extensive experience in both operations and sales. James is passionate about solving packaging problems, delivering fast customer support, and building lasting relationships. Outside of work, he enjoys outdoor activities like hiking and skiing. A fan of real ale and business podcasts, he continuously seeks personal and professional growth. 

Find James on  Linkedin 

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