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Free delivery. Is it a motivation to buy?

Discussion in 'Logistics - Payment & Shipping' started by Olga Unique, Sep 14, 2015.

  1. Olga Unique

    Olga Unique

    Joined:
    Aug 25, 2015
    Messages:
    2
    Hi! I need more advices and opinion on whether free delivery is an additional option that can motivate you to buy something? Need this information for my own project (<mod edit: removed website address>). What is better lower prices or free delivery?
    Last edited by a moderator: Sep 14, 2015
  2. Dan imports

    Dan imports

    Joined:
    Jan 20, 2012
    Messages:
    254
    Hello, from experience, free delivery is a motivator for people to buy something, however, it is important to remain competitive with your pricing.
  3. Parcelhub.co.uk

    Parcelhub.co.uk

    Joined:
    Sep 3, 2015
    Messages:
    74
  4. Low Cost Sourcing

    Low Cost Sourcing

    Joined:
    Aug 30, 2015
    Messages:
    67
    Surveys suggest between 60 and 70% of people (my wife included) are more likely to purchase a product if the seller offers free shipping even if it is more expensive but it all depends on the products you sell as to whether it is a viable option.

    If you are selling products where the buyer often buys in multiples then raising the product price to offer free shipping might not be suitable as, for example, the buyer orders 10 of an item, they would really be paying the postage 10 times. But if you are selling products which mostly sell in singles then offering free shipping can be an added incentive to buyers.
  5. TerryYang

    TerryYang

    Joined:
    Dec 2, 2015
    Messages:
    11
    Free shipping will get your products rank higher on eBay or Amazon
  6. JermaineR8

    JermaineR8

    Joined:
    Oct 18, 2009
    Messages:
    1,401
    Delivery fees are part and parcel of shopping online, however, personally I feel obliged to receive free delivery and hate paying delivery costs

    Sometimes I have even purchased more items than I initially intended to, just to meet the minimum spend for Free delivery (not everyone is as extreme as me though!)

    Therefore as a seller, I always offer it then just calculate the cost into the price

    If you offer a minimum spend before you offer Free delivery, it could force their hand into purchasing more items
  7. dawnlu

    dawnlu

    Joined:
    Dec 4, 2015
    Messages:
    8
    Yes, and no. No matter of free delivery offers will convert if the product isn't up to scratch. if i wanted the product anyway, it would motivate me to buy from the retailer over their competitor, but I need to actually want to buy in the first place.
  8. psxgamer

    psxgamer

    Joined:
    Jul 14, 2009
    Messages:
    3,467
    Depends where you live. I'm not from the UK. I used to offer free (=prices including shipping costs) because Ebay was pushing it so hard. On my own website it's price + shipping.

    Used to get a lot of questions how much shipping would be because people are not used to free shipping. So lowered prices and added shippng. Now I have a constant promo Buy 2 items, pay only once for shipping. Most items I can ship together so don't have to pay extra shipping costs myself.

    Furthermore on Ebay people mostly bought 1 item, on the website often multiple items. So by charging the shipping seperatly people pay less in total.
  9. SimonN

    SimonN

    Joined:
    Jun 11, 2011
    Messages:
    2,164
    It shouldn't be, but it is.
  10. chloe_wong

    chloe_wong

    Joined:
    Jan 9, 2015
    Messages:
    61
    I'd like to say "yes". After we used "free shipping" policy, we received more orders than before.
  11. rja75

    rja75

    Joined:
    Feb 29, 2016
    Messages:
    2
    I am not sure about stand alone websites but my experience is that on Ebay free shipping increases sales by quite a lot.
  12. liamhawes

    liamhawes

    Joined:
    Apr 19, 2010
    Messages:
    2,103
    Free shipping is well known to increase sales. Or increase average order value I.E free delivery over £10 etc. I'm a massive fan of conversion optimization. So many little things that can be done on a website that can add up to a big difference. Even how you word things. Or on mobile the use of the word 'Menu' Is known to work a lot better than the 'burger' icon.
    Cody likes this.
  13. Marek Bober

    Marek Bober Banned Member

    Joined:
    Feb 10, 2016
    Messages:
    56
    Another thing which bust sales is free returns- it depends on your products quality. Sometimes livelong warranty makes a boost- it depends on value goods value. Within range 1-20 GB only a few customer makes an effort to send you back items- but warranty makes the whole difference.
  14. psxgamer

    psxgamer

    Joined:
    Jul 14, 2009
    Messages:
    3,467
    Maybe a tip for people selling on Ebay: use free shipping (=price with shipping included) on Ebay to get a boost in the search results.

    However on your website take the shipping costs out of your selling price and add it seperately. Like this the prices on your website will be cheaper than Ebay. You can combine shipping for customers that order serveral items. Like this ordering on your website becames a lot cheaper than on Ebay.

    Most likely your most loyal customers are the most likely to order through your website instead of Ebay. A nice way to reward them. They can save money. Profit for you stays the same. Although not exactly true. You don't pay any Ebay fees so cheaper prices for your customer, more profit for you. a win-win situation.
  15. bargainrocks

    bargainrocks

    Joined:
    Aug 7, 2016
    Messages:
    13
    Actually free shipping is a marketing strategy used the most on China online shopping websites, it does motivate people to buy in China. According to statistics, 99% Taobao stores offers free shipping service to 30 provinces and districts(remote area doesnt include) and when people shopping online free shipping is one of the biggest aspect for them to make purchase decision. I'm not quite sure about this situation overseas, but in China it works.
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