The Shipping Process: How It Works, What It Includes, and How You Can Improve It
The shipping process is the complete chain of steps that moves a package from the seller to the customer, including picking, packing, labeling, carrier handoff, transit, and delivery. International shipments add customs checks, documentation requirements, duties, and additional inspections.
A shipping process needs to stay consistent from the first scan to final delivery. When each stage runs without friction, deliveries arrive on time and costs stay predictable. When steps break down, delays, claims, and support issues escalate. This guide covers every part of the workflow, including the people involved, ecommerce and dropshipping specifics, international shipping, documentation, common problems, and tracking terms. If you'd rather hand the whole workflow to a partner than manage it in-house, that's exactly what order fulfillment solutions like Rush Order's are built for.
What a Shipping Process Includes
The shipping process covers every stage that moves a package from preparation to final delivery. It includes label creation, packing, sorting, carrier pickup, transit, and last-mile delivery. International shipments also require customs documentation, duties, and inspection steps.
A clean process reduces delays, lowers damage rates, and improves customer satisfaction.
Who's Involved in the Shipping Process
Before getting into the steps themselves, it helps to know who actually does the work at each stage. Depending on how a business ships, some or all of these roles get involved.
The shipper (or consignor) is the business or individual sending the goods. This is you, the seller, if you're managing your own fulfillment, or your fulfillment partner acting on your behalf.
The consignee is the person or business receiving the goods. On official shipping documents, this is the buyer or importer.
Carriers physically move the package: UPS, FedEx, USPS, DHL, and regional or last-mile delivery services. Carriers own the trucks, planes, or ships and sell space on them.
Freight forwarders arrange transportation on a shipper's behalf, particularly for larger or international shipments. They don't move the goods themselves, but they book carrier capacity, consolidate documentation, and often get better rates through volume.
Customs brokers clear shipments through customs, verify documentation, and make sure duties and tariffs get paid correctly. For international orders, missing or incorrect paperwork here is the single most common cause of delay.
Third-party logistics providers (3PLs) handle a broader slice of the process than any single role above. A 3PL manages warehousing, order fulfillment, picking, packing, labeling, carrier selection, and often returns, all under one roof. That's different from a freight forwarder, which typically only manages the movement of freight from one point to another. Rush Order's 3PL fulfillment services are built to cover this full scope, so a brand isn't coordinating five separate vendors to get one order out the door.
Understanding these roles matters because it clarifies what you're actually outsourcing when you bring in help. Hiring a carrier only gets you transportation. Hiring a 3PL company gets you the warehousing, fulfillment, and carrier coordination together.
Pre-Shipping, Shipping & Post-Shipping Overview
Every shipping workflow can be divided into three main stages. These stages help identify where delays start, where costs increase, and where improvements have the biggest impact. Looking at the process in these segments also makes it easier to map responsibilities across warehouse teams, carriers, and fulfillment partners.
Pre-shipping: Order intake, inventory checks, picking, packing, and label creation.
Shipping: Carrier pickup, origin scans, transit through hubs, tracking updates, and final delivery.
Post-shipping: Returns, exchanges, damage claims, lost-package investigations, and reverse logistics.
Comparison of All Shipping Types
| Shipping Type | Key Steps | Pros | Challenges |
|---|---|---|---|
| Standard Domestic Shipping | Picking, packing, labeling, carrier pickup, transit, delivery | Fastest workflow, minimal documentation | Last-mile delays, carrier congestion |
| Ecommerce Shipping | Order sync, picking, packing, labeling, sorting, daily pickups, returns | Scalable, automated, consistent tracking | High return rates, seasonal peaks |
| Dropshipping | Order forwarded to supplier, supplier handles fulfillment | No inventory handling, low overhead | Slow suppliers, inconsistent quality |
| International Shipping | Documentation, export clearance, transit, import clearance, delivery | Global reach, high order value | Custom delays, duties, complex paperwork |
The Shipping Process Step by Step
The shipping process follows a predictable chain of events. Each step affects the next one, so accuracy and timing matter from the moment an order is created until the package reaches its final destination. Below is the full breakdown of how the shipping process works.
1. Order Received
The system verifies customer details, checks stock, and creates a pick ticket. Accurate information at this stage prevents routing errors and failed deliveries.
2. Order Picking
Items are located, scanned, and prepared for packing. Organized shelving and scanning minimize mis-picks and speed up warehouse flow.
3. Order Packing
Packaging materials, inserts, and protective padding are selected. Strong packing reduces transit damage and inspection delays. A few things matter most here: choose a box or mailer close to the actual product size (oversized boxes cost more to ship and give products room to shift), use enough cushioning that nothing moves when the box is shaken, and remove or cover any old labels so scanners read the current one, not a leftover barcode.
4. Shipping Label Creation
A shipping label is generated with carrier routing, address, service level, and tracking barcode. Label accuracy ensures correct routing through the carrier network. Getting the weight and dimensions right at this step matters too, since carriers price based on both actual and volumetric weight, and an incorrect entry here is one of the most common causes of surprise fees later.
5. Sorting
Packages are grouped by carrier, service level, and destination zone to support efficient pickups.
6. Carrier Pickup and Origin Scan
Carriers collect sorted packages and perform origin scans. Tracking activates at this point, and shipments enter the carrier's network.
7. Transit and Tracking
Packages move through regional hubs, national centers, or international gateways. Tracking updates reflect each handoff and facility scan.
8. Last-Mile Delivery
Local delivery carriers transport the package to the final address, locker, or pickup location. Last-mile performancedepends on traffic, weather, and driver capacity, and it's typically the most expensive leg of the entire journey per mile.
9. Post-Delivery Steps
Returns, exchanges, damage claims, and lost-package investigations are handled at this stage.
At Rush Order, we manage this full cycle (picking, packing, labeling, sorting, carrier handoff, tracking visibility, and returns) so brands can operate without shipping bottlenecks.
Ecommerce Shipping Process
The ecommerce shipping process moves quickly because online orders flow directly from the store platform to the warehouse. Each step focuses on speed, accuracy, and clean handoffs so packages can move through the carrier network without delays.
Order Creation and Sync: Orders enter the system from ecommerce platforms, inventory is verified, and the order is routed for fulfillment. This is typically handled through software integrations that connect a store's platform directly to the warehouse management system.
Picking: Warehouse teams scan items and organize batches to move high-volume orders efficiently.
Packing: The correct box or mailer is chosen, with protective materials and any inserts or return slips. Brands running kitting or bundled products add an extra assembly step here before the order is sealed.
Labeling: Carrier-integrated systems generate labels and assign tracking numbers based on service level and destination.
Sorting and Carrier Pickup: Packages are staged by carrier and speed for scheduled pickups. Tracking activates upon the first scan.
Transit and Tracking: Shipments move through carrier networks, updating as they pass through hubs.
Delivery: Local drivers deliver packages to the final destination.
Returns Processing: Returned items are inspected, restocked, or prepared for replacement through reverse logistics.
Dropshipping Process
The dropshipping process removes most in-house fulfillment steps because the supplier handles the picking, packing, and shipping. The store focuses on forwarding orders and keeping product data accurate.
Order Placement: The online store forwards order details automatically to the supplier.
Supplier Picking and Packing: The supplier retrieves, packs, and prepares the item for shipment.
Labeling and Handoff: Tracking is created, and the carrier receives the package.
Transit and Delivery: The carrier moves the package until it reaches the customer.
Returns and Exchanges: Returns go back to the supplier, and timelines depend on supplier performance. This is one of the biggest reasons brands eventually move from dropshipping to D2C fulfillment through their own 3PL: return handling stays consistent instead of varying supplier to supplier.
International Shipping Process
International shipments need more documentation, more tracking points, and more rules. Here's the process:
Commercial Invoice Creation: Lists item descriptions, quantities, values, and HS codes.
Customs Forms: Required for export, providing classification and declaration details.
Packaging and Labeling: Needs clarity to avoid inspection delays.
Carrier Pickup and Export Scan: Packages move to export hubs for customs review.
Origin Customs Clearance: Documents are validated before departure.
Transit Across Borders: Shipments move by air, sea, or ground.
Destination Customs Clearance: Duties, taxes, and inspections take place at entry.
Last-Mile Delivery: Local carriers complete delivery after clearance.
Most delays happen because forms are incomplete or incorrect. That's where a clean shipping documentation process is most important.
Incoterms and who pays duties. Before a shipment ever moves, the buyer and seller need to agree on incoterms, which is the contract term that determines who's responsible for shipping costs, duties, and risk at each stage of the journey. The two most common setups for ecommerce are Delivered Duty Paid (DDP), where the seller covers duties upfront so the customer never sees a surprise bill at delivery, and Delivered Duty Unpaid (DDU), where the customer pays duties on arrival. DDP services tend to produce a smoother customer experience, since nothing unexpected shows up at the door, but they raise the seller's costs. For high-volume, lower-value shipments into the US, Section 321 fulfillment can also reduce or eliminate duties entirely on qualifying orders.
Restricted and prohibited items. Certain goods face extra restrictions or outright bans depending on the destination country and the carrier, including lithium batteries, aerosols, certain foods and plants, and some cosmetics. Rules vary by both country and carrier, so it's worth confirming with your carrier or 3PL before committing to a shipping method, especially if you're entering a new market for the first time.
Shipping Documentation Process
Below is a simple documentation checklist you can follow.
| Document | Purpose |
|---|---|
| Commercial Invoice | Describes goods for customs |
| Packing List | Confirms items, weight, and box count |
| Shipping Label | Guides carrier routing |
| Customs Declaration (CN22/CN23) | Required for international shipments |
| HS Codes | Classify goods and determine duties |
| Certificate of Origin | Needed for certain countries |
| Return Instructions | Helps your customers send items back easily |
Accurate documentation reduces customs delays and routing errors.
What "In Process" Means for Shipping
"In process" is a common tracking update used when a package has entered the carrier's system but hasn't reached a major sorting facility yet. It indicates the shipment is moving between early stages, often before the first major hub scan.
This status can appear for several hours or longer depending on the carrier, pickup volume, or scanning schedules. It generally means the package is on its way but hasn't completed the next tracking checkpoint.
Common Shipping Problems and How to Fix Them
Most shipping breakdowns fall into a handful of recurring categories. Here's what tends to go wrong and what actually fixes it.
Problem: inventory doesn't match what's actually on the shelf. Mismatched inventory records lead to stockouts, backorders, and canceled orders. Fix it with real-time inventory tracking that updates as orders are placed and received, regular physical counts to catch drift early, and a warehouse management system that stays synced with your sales channels automatically instead of relying on manual updates.
Problem: orders take too long to ship. Slow fulfillment usually traces back to warehouse layout, manual label creation, or inconsistent carrier pickups. Fix it by placing shipping stations close to inventory shelves, automating label generation, and confirming your carrier can handle your actual volume during peak periods, not just average days.
Problem: the wrong item, or the wrong quantity, ships. Picking errors usually come from unclear pick lists or a process with no verification step. Fix it with barcode scanning at pick and pack, a quality control check before sealing the box, and clear staff training on the process, not just the tools.
Problem: international shipments get held up in customs. This is almost always a documentation problem. Fix it by double-checking HS codes, making sure product descriptions are specific rather than generic, and confirming incoterms are agreed upon and correctly reflected on every document before the shipment leaves.
How to Improve the Shipping Process
Here are the cleanest ways to improve a shipping process:
Automate label creation.
Use one pick-and-pack workflow for all products.
Standardize packaging sizes.
Place shipping stations close to inventory shelves.
Batch orders by carrier and zone.
Verify addresses before printing labels.
Track carrier performance weekly, ideally with real 3PL analytics rather than spreadsheets.
Add buffer stock for fast-moving items.
Clean your documentation flow for international orders.
If you want to simplify everything, you can hand this work to Rush Order. We store products, package every order, and ship through every major carrier.
How Long Is the GOAT Shipping Process?
The GOAT shipping process takes longer than standard ecommerce because every item must be authenticated before it ships to the buyer. The total timeline depends on how quickly the seller sends the item, how busy the verification centers are, and seasonal carrier volume.
| Stage | Typical Time |
|---|---|
| Seller ships item to GOAT | 1 to 3 business days |
| GOAT authentication | 1 to 2 business days |
| GOAT ships to buyer | 3 to 7 business days |
| Seasonal delays | Possible during holidays and major releases |
Conclusion
The shipping process works smoothly when each stage, from order creation to final delivery, moves without friction. Clear documentation, organized warehouse flows, and reliable carrier handoffs all play a direct role in delivery speed and accuracy. Knowing who's responsible for each stage, from the freight forwarder or carrier to the customs broker to the 3PL managing the whole thing, makes it much easier to spot where a process is breaking down.
As businesses scale, these steps become harder to manage internally, which is why many brands rely on partners like Rush Order to handle picking, packing, and shipping at volume while maintaining consistent performance. If you're weighing whether to build this in-house or hand it off, our guide on how to choose a 3PL provider walks through what to look for.
FAQs
1. What is the process of shipping a package? Shipping a package starts with order creation, picking, and packing. A label is applied, the carrier scans the package, and the shipment moves through transit until it reaches the final delivery address.
2. How does the shipping process work step by step? The steps include order processing, picking, packing, labeling, sorting, carrier pickup, transit through hubs, and final delivery. Returns and reverse logistics complete the workflow.
3. What does "in process" mean in shipping? "In process" means the carrier has the package but hasn't completed the next major scan. The shipment is moving through early stages of the network before reaching a sorting facility.
4. How long does international shipping take? International shipping usually takes longer due to customs clearance, inspections, and longer transit distances. Actual timing depends on the destination, carrier, documentation accuracy, and service level.
5. How do you improve a shipping process? Improvements come from better warehouse organization, automated labeling, standardized packaging, faster carrier pickups, and stronger documentation. Many companies use a 3PL to manage these tasks at scale.
6. What is the ecommerce shipping process? The ecommerce shipping process includes order syncing from online platforms, picking, packing, labeling, sorting, carrier handoff, transit, delivery, and returns. High-volume stores rely heavily on automation and consistent workflows.
7. What is the dropshipping process? In dropshipping, the supplier handles picking, packing, and shipping. The merchant manages the storefront, passes order details to the supplier, and monitors delivery performance.
8. What's the difference between a freight forwarder and a 3PL? A freight forwarder typically manages the movement of freight between two points and books carrier capacity on a shipper's behalf. A 3PL covers a broader scope, including warehousing, order fulfillment, and often returns, in addition to carrier coordination.
9. How long is the GOAT shipping process? The full GOAT timeline averages 5 to 12 business days. This includes seller shipment to GOAT, authentication, and final delivery from GOAT to the buyer.
Read Also:
Understanding 3PL Partnerships
How to Choose the Right 3PL Provider
The Ultimate Guide to 3PL Software
10 Winning 3PL Sales Strategies
What is 3PL Inventory Management?
