Shipping documentation is very crucial in ensuring that packages get delivered to their customers properly. Even a slight error in the address, PIN code, weight or tracking information can lead to late delivery, failed delivery or even result in a package being returned.
Two commonly used documents in the process of shipping goods are the shipping label and waybill. Although the two documents have similarities in terms of what they do, there are notable differences between them. For example, a shipping label usually has all the relevant information about the package such as weight and tracking codes. On the other hand, the waybill is a transport document for identifying the consignment.
What Is a Shipping Label?
A shipping label is a printed piece of paper or sticker attached to a package with all the necessary details required to deliver the parcel.
To put it simply, it is the identification document of the parcel that tells the courier company where the package came from, where it should be delivered, what shipping service was chosen and how it should be tracked.
A shipping label for courier delivery is usually created after the order is processed and the shipping service is selected.
What Information Does a Shipping Label Include?
Although there can be different formats of shipping labels, depending on the carrier company, the following information is usually included:
- Information about the sender and the recipient
- Delivery address and PIN/ZIP code
- Tracking number
- Barcode or QR code
- Information about the carrier
- Parcel dimensions and weight
- Shipping service
- COD payment details, where required
Why is Shipping Label Important?
Shipping label is useful for carriers to identify, sort, route and track shipments throughout the shipping process. A proper label will help you to:
- Reduce errors associated with the address
- Facilitate the sorting of packages
- Track shipments
- Improve package handling
- Cut down on manual data entry
- Speed up order fulfilment
If your business handles many orders, automated shipment label generation can help save a lot of time.
What is a waybill?
A waybill is a shipping document containing all the necessary information required to transport the shipment from the sender to the consignee.
The meaning of a waybill may differ from one carrier and type of transportation to another. A waybill in courier shipments usually includes the unique waybill/air waybill (AWB) number to identify and track the shipment.
Unlike shipping label, which is mainly used to identify and route physical packages, waybill is used as transport documentation for the movement of goods between the shipper and carrier.
What Information Is Contained in a Waybill?
In a waybill, you will find the following information:
- Shipper and consignee information
- Origin and destination
- Description of cargo
- Quantity of packages
- Weight and dimensions
- Number of waybill or AWB
- Tracking information
- Information about carrier
- Handling instructions
- Charges
- Customs information for some international shipments
The exact information varies according to the carrier and type of waybill.
Why Is a Waybill Important?
A waybill is used to identify a shipment and manage its transportation. A waybill allows you to:
- Identify the shipment
- Manage transportation
- Track a shipment
- Prepare the documentation for shipping
- Facilitate handover among logistics partners
- Process the delivery
- Answering questions about the shipment
Shipping Label vs Waybill: What Is the Difference?
Shipping label and waybill are two different documents used in shipping and serve different purposes. Some of the main points of distinction are mentioned below:
| Basis | Shipping Label | Waybill |
| Primary purpose | Identifies and routes the package | Records and identifies the shipment |
| Placement | Usually attached to the package | May be physical or electronic |
| Tracking | Usually contains a tracking number | Usually contains a waybill/AWB number |
| Focus | Package identification and routing | Shipment documentation and transportation |
Shipping Label Types
Shipping labels varies based on the shipment type, destination, delivery requirements and handling instructions. Some of the common types include:
Standard Shipping Labels
This type of shipping labels is applicable to domestic shipments and usually includes the sender and recipient details, tracking details, barcode, carrier details and package details.
Return Shipping Labels
Return shipping labels are used when customers ship the products back to the seller or warehouse. Usually, they include return address and tracking information.
International Shipping Labels
International shipping labels are used for shipments between countries and include more details about the customs, shipment details and country origin.
Fragile/Handling Labels
Fragile/handling labels include information about how certain packages should be handled. They accompany the standard shipping labels.
Shipping Labels for COD Orders
Shipping labels for COD orders can include information about the amount that needs to be charged from the customer.
Waybill Types
Waybills vary by transportation mode and shipping requirements, with each type serving a specific purpose in documenting and tracking the movement of goods.
Air Waybill (AWB)
The air waybill (AWB) is a type of waybill used for shipments transported by air. It describes the consignment and includes all necessary information about it. AWB number is normally used for tracking purposes.
Bill of Lading (BOL)
Bill of lading (BOL) is a document that contains details about the goods being transported and the terms of their transportation. Although it serves the purpose of describing the movement of goods like waybill, it is a separate document and can also serve as a receipt for the goods.
Electronic Waybill / e-Waybill
The electronic waybill is a digital format of waybill which stores all necessary data about the shipment.
In India, an e-Way bill has a specific meaning under the GST regime for the movement of goods.
Courier Waybill
The courier waybill is used by courier service providers to describe their consignment and control its movement during transportation.
What is a Waybill Number?
The waybill number refers to a number that is generated and used to identify and track your shipment through the logistics provider. There are different ways it can be referred to as by various carriers and transportation systems. Examples include:
- AWB number
- Shipment number
- Tracking number
- Consignment number
Steps Involved in Creating a Shipping Label?
The steps involved in creating a shipping label include the following:
- Gather Information about the Sender and the Receiver: Add their respective names, addresses, contact numbers and PIN codes.
- Add Details about the Package: Add accurate weight and dimensions of the package.
- Choose the Shipping/ Courier Service: Make a choice based on destination, cost, speed and availability.
- Create the Label: Use a courier platform or shipping aggregator to create the label.
- Verify the Information: Cross check address, PIN code, weight, tracking number, barcode and service details.
- Print the Label: Ensure that the barcode is clearly printed and scannable.
- Place the Label: Put the label on a smooth surface of the package.
Common Shipping Labels and Waybill Errors to Avoid
Even a small error in shipping documents can cause delays, tracking issues, additional costs or failed deliveries and avoiding these can make shipment processing and delivery much smoother.
Inaccurate Delivery Address
An inaccurate or an incomplete address may make delivery challenging. Always confirm customer’s details before creating shipping labels.
Incorrect PIN Code
An incorrect PIN code can result in errors in delivering the package to the recipient.
Incorrect Package Weight
An inaccurate package weight may affect the cost of the shipment and shipping charges applied by carriers.
No Tracking/Waybill Number
An inaccurate or missing number makes it difficult to track the shipment.
Unreadable Barcode
A damaged barcode may need more manual processing. Make sure labels are clear and readable.
Missing International Shipping Information
International shipments require additional information for the delivery to be accurate.
Wrong Way of Attaching the Label
Make sure to attach the label to a clean and readable place.
Advantages of Using Automation for Shipping Label and Waybill Creation
Automation can simplify shipping operations, and here are some key methods which can make shipping label and waybill creation easier and more efficient:
Saves Time
Automation eliminates repetitive tasks involved in creating each shipping document individually.
Eliminates Manual Data Input
Order details can be transferred directly into the shipping system without re-entering manually.
Reduces Shipping Mistakes
Automation can reduce errors related to addresses, tracking numbers, package and courier data.
Makes Order Handling Easy
Integrating orders with the shipping documents makes it easy to manage order fulfilment, pickup, deliver and return orders.
Efficiency in Multiple Courier Shipments
For those using multiple couriers, automation simplifies the management of shipping documentation and courier services.
Conclusion
Shipping labels and waybills are essential documents in the shipping process that make it possible to manage shipments effectively.
The shipping label is mostly used to identify and route the actual package while the waybill contains the information about the shipment and identifies the consignment in the transportation system. Even though their purpose is different, they tend to be very closely related in the modern courier shipping.
Correct addresses, proper package description, readable barcodes and tracking/waybill numbers can help avoid shipping mistakes and delays. It may also be automated for better time management.
By knowing the difference between a waybill and a shipping label and using the appropriate document for their shipments, business owners can make the shipping process smoother.
FAQs
What is a shipping label?
A shipping label refers to a physical label on a package that include information such as the sender’s and recipient’s addresses, the tracking number, barcode, carrier data and other information about the package.
What is a waybill?
A waybill is a transport document used to record shipment information and identify a consignment throughout its journey from the sender to the recipient. A waybill may include a unique waybill or AWB number.
How do you differentiate a shipping label from a waybill?
While shipping label identifies and routes a physical package, a waybill is primarily a transport document that records shipment information. In many courier services, the shipping label includes a waybill or AWB number.
Is waybill the same as the tracking number?
It may not be. A waybill is a shipment document, while a tracking number is an identifier used to track a shipment. In many cases, however, the waybill or AWB number is also used as the tracking number.
What information is included on a shipping label?
A shipping label commonly includes sender and recipient details, delivery address, PIN/ZIP code, tracking or waybill number, barcode, carrier information, package weight and shipping service.
