Shipping can make or break an online shopping experience. With the right strategies, you can turn shipping from a potential barrier into a tool for driving sales, increasing customer satisfaction, and growing your ecommerce store. In this guide, we’ll walk through three proven shipping strategies that are simple to implement and effective for businesses of all sizes.
1. Offer free shipping
Free shipping is one of the most compelling incentives for online shoppers. Research consistently shows that:
- 48% of shoppers abandon carts due to unexpected costs, like shipping fees (Shopify).
- According to Shippo, 62% of shoppers say they won’t buy from a retailer that doesn’t offer free shipping.
By eliminating shipping fees, you remove a major obstacle at checkout, increasing the likelihood that customers will complete their purchases.
How to offer free shipping without losing money
Now just because you offer free shipping does not mean you need to absorb the cost of it, instead you can factor shipping cost into your product costs to add the illusion of free shipping for customers. Since Blanka offers flat rate shipping on all of our customer orders this is easy to set up!
Steps to implement free shipping:
- Determine average shipping costs: Calculate the typical shipping cost for your target regions. For example, if shipping to North America costs $8.99, add this amount to your product prices.
- Update your product pricing: Include shipping costs in the prices listed on your website.
Wanna know how you can set up shipping in Shopify? Click here to read our article which discusses this in detail.
Why it works:
Free shipping feels like a bonus to customers, even when the cost is embedded in the price. This subtle psychological effect can significantly increase conversions.
2. Use a free shipping threshold tool to boost sales
Another effective strategy is to offer free shipping on orders over a specific dollar amount. This not only reduces friction at checkout but also encourages shoppers to add more items to their cart, increasing your average order value (AOV).
How to set a free shipping threshold
- Calculate your AOV: Divide your total revenue by the number of orders to find the average value of a customer’s purchase.
- Set your threshold just above the AOV: For example, if your AOV is $75, offer free shipping on orders over $100.
Why it works:
Shopify reports that 47% of shoppers are willing to spend more to qualify for free shipping. This strategy incentivizes larger purchases while helping you cover shipping costs through increased sales.
3. Offer flat-rate shipping
Flat-rate shipping simplifies the checkout process, creating transparency and reducing cart abandonment. Shoppers know exactly what they’ll pay for shipping, regardless of the order size or weight.
What is flat-rate shipping?
Flat-rate shipping means setting a single shipping cost for each region. This ensures predictability for customers while making it easy for you to manage logistics.
How to set up flat-rate shipping in Shopify:
- Calculate average shipping costs by region. For example:
- North America: $8.99
- UK & Europe: $15.99
- Asia & South America: $19.99
- Apply these rates to your ecommerce platform. Many platforms, like Shopify, allow you to input custom shipping rates.
Why it works:
Flat-rate shipping removes the guesswork for customers and simplifies pricing for your business. This transparency builds trust and improves the overall shopping experience.
Bonus tip: don't forget to use shipping as a marketing tool!
Shipping can be a powerful promotional lever, especially during peak shopping seasons or new product launches.
Ideas for shipping promotions:
- Free shipping weekends: Offer free shipping for a limited time to create urgency.
- Seasonal discounts: Highlight free or reduced shipping during the holidays.
- Exclusive offers: Provide free shipping for first-time customers or VIP members.
Why it works:
Limited-time promotions generate excitement and encourage shoppers to take action quickly. Pair these campaigns with strong marketing efforts on your website and social media for maximum impact.
With these shipping strategies, you can provide flexible, enticing options for customers while keeping your costs manageable. Remember, the goal is to make your customers happy without sacrificing your bottom line. Experiment with these options to see what works best for your brand and target audience.
