Free Shipping Promotion
It’s no secret that everybody loves free shipping. Additional shipping charges during the checkout process contribute to cart abandonment, also known as the Achilles’ heel of the eCommerce website. Apart from eliminating an expense many of your visitors may be expecting, free shipping can simplify the entire sales process.
Highlight free shipping using a visible icon or message on your product pages.
These days in the era of services such as Amazon Prime, offering free shipping on most items is almost mandatory. Research shows that 73% of online shoppers say free shipping is what they want to see at checkout. Two out of the three shoppers said they would buy more online if they knew they could return items with free shipping (per Econsultancy.com). Of course, in order to offer these services free, you’ll need to set your pricing and business model appropriately.
Let me give an example of success: A client of ours sold a product for $200. This was a unique product and was their own brand name, so no direct competition on the same SKU. Sales were around $400,000 the first year. Shipping on their product was around $50 a pop. People hated paying $50 and we saw a lot of people leaving their checkout process when choosing to ship. So what did we suggest? Offer free shipping and make the base price around $250. Their sales were in the millions the year after. The illusion of free shipping! This is a great option and works well for many clients. Remember, the higher your product price the more perceived value there is. No one sees value in paying for shipping, but they do when paying for a product.
Whether you offer free shipping site-wide or limit your promotion to specific categories and products, your customers can browse confidently knowing that the prices listed are what they’ll actually pay (plus a little for Uncle Sam, when applicable). Plus, they won’t be caught off guard with additional charges when they’re ready to checkout. From a psychological perspective, you’ll be at an advantage if your visitors are confident that the price they see is an accurate representation of their final cost.
One thing worth mentioning is that your company doesn’t necessarily have to eat the shipping costs, you can simply “hide” your shipping charges by embedding them directly into the price of the product.