Have you recently tried moving to a new location by hiring a packing and moving company? If you have, you may have realized that moving has become more expensive. A really important question to ask yourself is, “Why moving so expensive right now?”. The cost information is an important consideration for anyone planning to move goods to a new place. Therefore, you need to know the reason behind it. However, the answer to this question cannot be given in one sentence. The answer to this critical question needs a detailed analysis of the packers and movers market and the factors driving the cost up.
We have written this blog piece to give the audience information about moving costs going up recently. This will try to answer all possible reasons to help you understand the price rise in the moving and packing industry as well as some solutions by which you can save your hard-earned money while relocating to a new place.
Let’s start by learning about the ingredients of the total moving cost you must pay when booking a moving company.
Don’t miss our guide on How To Minimize Your Goods While Moving? For practical strategies on decluttering and organizing your items efficiently.
Ingredients Of The Total Moving Cost
When you book a relocation company, they normally send you a quotation. Here is a summary of all the ingredients of such a quotation.
1. Truck Transportation Costs
The first part of the moving cost is the cost of hiring a truck. The bigger the truck, the higher the price; a similar case also applies to distance. If you move a long distance, you will likely pay more.
2. The Cost Of The Fuel
The second reason is the cost of petroleum, diesel, or CNG. This particular aspect drives up costs in this industry and affects almost all types of expenses. It happens because the rise in the price of fuel, directly or indirectly, affects the total cost that the customer needs to pay when they purchase or pay for any kind of service or product. In the last few years, fuel prices have consistently increased, even more so in India. This factor surely drives the cost up.
3. Toll Charges
Toll charges are another big factor when you move your goods to a new location. In recent years, the road network of highways in India has improved a lot. However, at the same time, people need to shell out more money out of their pockets for toll fees when they move between the city and the interstate. Toll charges have become a major factor that has increased the relocation price.
4. Local Government Taxes And Paperwork
Just like Toll charges, customers may have to pay local government taxes and fees related to paperwork when they relocate to a location situated in an intercity or interstate. It is especially important when you move commercial goods or are moving to an international location. Like many other causes, the pricing of such charges has gone up considerably.
5. The Cost Of Labor
Inflation has indeed been going up at a higher rate than normal in the last few years. Add the factor of the rise in fuel prices, and you have an economy where manpower demands hire remuneration to perform the tasks. This has affected the moving and packing industry as well. The cost of hiring skilled labor has shot up in recent years. This factor of cost affects the cost of relocation considerably.
6. The Cost Of Packing Supplies
Another important factor is the packing of goods and their associated costs. If you compare the pricing of various packing supplies such as cardboard boxes, bubble wrap, moving blankets, etc. you will find that all of them have gained immense upward movement in the last few years.
7. The Factor Of The COVID Pandemic
Our country, including the whole globe, has been fighting the COVID-19 pandemic for more than 2 years. This pandemic has not only affected the lives of so many people, but it has also severely affected the economy. Everything was shut down as a result of the pandemic, which was nothing short of a nightmare for everyone, including businesses, clients, and related labor. Indeed, COVID-19 is not causing damage anymore. However, the damage done to the economy by the airway affected pricing. And once they are set in terms of pricing, you will rarely see them come down.
8. The Factor Of Weather
The monsoon season this year has been a nightmare for many states in India. North India, in particular, has been hit considerably. When such calamities hit, the price of relocating goods goes up. One such example is the recent hike in tomato prices in the 2023 monsoon season. Such weather effects are not limited to one industry; they also affect the transportation, moving, and packing industries. If you move to a new place in a weather condition that is not favorable, there is a likelihood that you may have to spend more than average for this purpose.
9. The General Demand And Supply Factors Of The Economy
In some cases, you will find that moving and packing companies in your area are asking for higher prices than normal because of demand and supply. For example, imagine a tier-two city with a limited number of movers and packing companies. During the summer vacation or the opening of colleges, there can be a higher demand for companies moving goods there. However, since the supply is less and there is increased demand, this city’s companies may ask for premium pricing.
10. You May Well Be Asking To Move On Short Notice
This is one mistake that lots of people commit when they relocate. Even after knowing that they are going to be relocating soon, they just do not plan the move at all. Instead of that, they wait until the last moment, which is a blunder. You are likely to pay more for your relocation if you make this mistake. In some cases, you will struggle to find a first-rate company—or not a company at all.
11. The Nature Of Your Goods
The nature and quantity of the goods are two fundamental elements that directly impact pricing when you move goods. It is not hard to understand that fragile and expensive goods are more difficult to move. The company hired to move goods will charge higher prices if your goods are expensive or fragile. Additionally, the higher the quantity—in terms of numbers and weight—the more it will affect pricing and drive it up.
12. Cost Of Insurance
The cost of insurance also drives the cost of moving goods and can be a major contributor to the higher cost. Moreover, if your goods are expensive, the cost to move them will also go up. Apart from this, the cost of getting insurance and the recurring permit fee for truckers have also increased in recent years, so if you find that the cost of relocation has increased since the last time you moved, this could be the main contributor to it.
Now you must have gained enough information to determine why moving costs you more than usual. Let’s understand some solutions to make it cheaper.
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Ways To Reduce The Cost Of Moving Considerably
1. Always Move With Planning:
One basic solution to reducing the cost of moving is to plan. Don’t leave it too late; otherwise, you may have to pay premium prices and settle for an average or below-average company.
2. Declutter Your Belongings:
Whenever you relocate, it’s an opportunity for you to declare your belongings. Just do an inspection of your goods and the things you do not need at your new place. Sell the non-required stuff or give it to charity as it will help reduce the cost of moving.
3. Learn To Bargain:
Always take time to pick a moving and packing company. And during the process of choosing one, you must exercise your beginning skills to get the best price. This is why it is always suggested to get started with the process of keeping records of relocation as soon as possible.
4. Create A Checklist:
When you move from one location to another by hiring a moving and packing company, you will likely encounter several tasks. If you are not organized with your efforts, you will spend more. Therefore, create a comprehensive checklist to control spending.
5. Consider Getting Help From Neighbors, Relatives, And Friends If You Opt For A DIY Approach To Any Task
If you are considering completing any task of your move, like packing, loading, or even transporting goods, it is better if you get help from your acquaintances. They might lend a helping hand with your move or lend you some stuff related to moving and packing that may bring down the price of your relocation.
6. Do Not Move Your Goods When Demand Is High
There are certain days when the demand for relocation companies goes up. These include the first week of each month, the weekend, summer vacation time, college admissions time, the monsoon season, etc. If possible, plan to move goods on other days except these to bring the cost down.
7. Use The 6-Packers-And-Movers Platform.
The platform of 6 packers and movers helps you get the lowest pricing for your relocation. It matches your requirements with the nearest movers, and packers get the lowest price. Another good thing about using the 6 Packers and Movers platform is that you get access to only certified and credible companies.
Check out our guide on Are Moving Costs Negotiable? Strategies on managing your moving budget effectively.
Conclusion This blog focuses on moving and increasing packing costs and provides information about why moving may seem expensive. It goes in-depth about explaining possible factors that drive the cost of relocation up and also provides some suggestions to bring the cost down. This blog will help you plan your relocation better, keep the pricing as low as possible, and also make you more informed about the packers and movers industry.
Frequently Asked Questions
Why Has The Cost Of Moving Increased Recently?
As a result of several factors, including higher truck transportation costs for farther distances, rising fuel prices, toll fees, local government fees, and rising labor costs, moving has become more expensive. The COVID-19 pandemic and unfavorable weather conditions like monsoons are examples of outside factors that have increased moving costs.
How Can I Reduce The Cost Of My Move?
The best ways to cut the cost of your move are to organize your move in advance, declutter your belongings, haggle for lower moving company prices, make a thorough checklist, enlist the assistance of friends and family, and steer clear of busy times like the weekend or during the summer. Utilizing platforms like 6 Packers and Movers can also help you find affordable and reputable moving services.
Does The Nature Of The Goods Affect The Moving Cost?
Yes, the nature and quantity of your goods directly impact moving costs. Fragile or expensive items are more difficult to transport and may incur additional fees. Additionally, the overall cost of moving increases with the quantity and weight of your belongings. An important portion of the overall moving expenses can come from insurance costs.
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