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Free shipping, do or don't do?

by
Sarah Fedida
|
Fetchy Digital Manager. Always here to share with you the best infos
December 4, 2018
Revenue, Profit, customer service, SEO, Customer Experience, Design, UX, Shopping Cart, Social Media

In today’s world ruled by digital technology, E-commerce has become a way of life. They prefer to order items online and have them delivered at home. This has triggered the growth of innumerable e-commerce sites involved in a fierce competition and the customers are spoilt for choice. 

Shipping of E-commerce items:

One of the biggest challenges that determine the reputation of an E-commerce store is its ability to ship the items to the customer in a swift, efficient and cost-effective manner. They have various options before them. 

What kind of shipping agents E-Commerce clients look for: 

E-commerce sellers, whether big or small, are always on the lookout for companies that offer a total solution to the complex and vital aspect of shipping. One big issue is whether the ultimate customers are offered free shipping or not. Many sellers opt for a free shipping strategy to attract and retain their customers. This step has advantages and disadvantages. 

The advantages of free shipping:  

  • Increase in quantity of orders received: 
  • The increase in average order value 
  • Decrease in cost per order when free shipping is offered on a minimum order value
  • Possibility for receiving repeat orders from old customers. 
  • Provides a strong advertising pitch paving the way for better sales
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Disadvantages of free shipping plan: 

  • Cost per product for free shipping may vary and may result in loss or low margin profit 
  • The unpredictably of order volume
  • If losses continue it will difficult for the company to carry on 
  • Increased cost of product to cover free shipping may discourage buyers 
  • The company may be compelled to offer the scheme round the year. 

The overall Picture: 

The seller has to balance the various pros and cons of the free shipping strategy and take a careful and judicious decision. A related step is to seek the services of a reliable E-platform to take care of all their shopping needs in a cost effective manner.

The role of a reliable E-platform for shipping: 

In search of a good shipping partner, sellers need not go beyond Fetchy, a great E-platform that does not charge any subscription fee or insist on a minimum shipping contract. Its client-centered service and flexibility help even small time sellers, who may be able to send only occasional packets. Big shipping services like standard couriers do not provide this flexibility  

Fetchy is capable of integrating online stores in a matter of seconds with platforms like eBay, Wix, Shopify, Etsy etc. Once the seller confirms the details of his shipping item, Fetchy generates the shipping label for clients to print out and stick on the packet to ensure its smooth trans-shipment. The scheduling and tacking are also fully automated. 

Conclusion: 

Shipping is probably the most complex and challenging ingredient in any e-commerce activity, particularly for new small and medium sellers. A smart way to grow in the competitive market is to enlist the services of dynamic, flexible and client-friendly E-platform like Fetchy. With such support, the seller may be in a position to offer the free shipping option and attract more customers. 

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