E-commerce: Shipping Strategies
Marketing strategies for an e-commerce business also focus on the shipping part, which can strongly influence the final purchase decision. Shipping costs are the first factor of cart abandonment from potential buyers. Briefly speaking, potential customers can be lost if the shipping price is too high, but at the same time the business must benefit from sales. The goal of a good shipping strategy is to optimize shipping costs to maximize sales and retain customers turning them in loyal customers.
In this article we present the different shipping strategies that exist depending on your priorities.
The best strategies for e-commerce
Is your priority to attract new customers? To increase the conversion rate even if it does not necessarily mean increasing profits?
- Always free shipping
- Free shipping for a limited time
- Free shipping for website subscribers
Is your priority to attract new customers but you are also not ready to accept less profits?
- Free shipping, increasing the price of the product. Psychologically this technique allows to avoid creating disappointment in the mind of the customer and therefore to cause less risk of cart abandonment.
- Free shipping but with a minimum of order or products
- Free shipping for the first order
Is your priority to increase the trust of the potential customer towards you?
- Free shipping for returns
- Shipping costs paid by the buyer, transparently showing the prices of the various couriers
Your priority is to sell a certain type of product because you won’t be able to sell it any time soon?
- Free shipping with specific products purchases
Is your priority to make profits and so you don’t want to take the risk of losing money if you opt for a free shipping?
- Free shipping only for those who have abandoned the cart, so to recuperate the waiting cart and to propose only at that moment a free shipment
Shipping is a difficult issue to solve for those new to the business and at the beginning sacrifices and time are required. When sales and experience then increase, you have more power to negotiate lower rates to couriers. If you are in the situation that you want to open an e-commerce website or that you are in the initial phase, you can rely on Sellmasters and we take care of everything, even of the shipping part!