Many new websites that offer services, products and even the opportunity to make money have a section on their site that seems to fly in the face of conventional wisdom: they offer free shipping on all orders. What is more, you don’t even have to think twice about clicking that “Add To Cart” button. Is this really a service that should be sold for very little money? In a recent article for The Orange County Register, I wrote an article titled, “Free Shipping on All Order – Is This Really a Service?”
In this article, I examine the free-shipping trend and explore whether this is really the case. In addition, I also discuss with some experts how the free shipping phenomenon is evolving to a certain degree. Lastly, I look at the economic impact that will occur in the near future as a result of many new business owners placing orders without regard to the shipping cost.
If you are one of the few people who are buying something, from a website that offers free shipping, please do not feel like you are being taken advantage of. After all, this is a marketing strategy that has been utilized for decades and is still quite successful today. That said, it is a reality that you must confront, so that you can ensure that you are not running up a massive credit card bill as a result of the money that you are spending on your purchases.
When a company makes the decision to put free shipping on all of their online purchases, they are offering something that has not been offered in the past. This means that they are introducing a new concept that will eventually change the way consumers make purchases. It is important to understand that the concept of free shipping is here to stay and it may even become more profitable than the traditional sales strategies used by retailers today.
As a company becomes more popular and increases its size, which is not a guarantee when you are just starting out, the one thing that you can do is decrease the cost of the shipping costs associated with your products and services. With that being said, you can see why you would be inclined to offer free shipping on all of your purchases. That is because your competitors will be doing the same thing.
This also means that you may find yourself with far fewer customers than you thought. If your website contains products and services that are for sale, which many people do today, you will likely end up losing customers who did not do their research before making their purchase. If you are to take that route, your sole purpose in doing so is to increase your bottom line. That being said, there are two important points to be made here.
As far as price goes, the question arises, is free shipping really a service that should be offered for free? After all, there are many other businesses that charge a fee to shop at their website and use the Edibles services that they offer. The bottom line is that free shipping is an attractive marketing tactic that is being applied by many companies today and I would urge you to consider that carefully before you make your decision.
I have given a brief discussion of the free-shipping trend and you have learned some of the reasons why the trend is here to stay. In addition, you may realize that you are probably getting a larger portion of your income from sales that would not have occurred otherwise. As a result, it is time for you to reevaluate the costs associated with your company’s new marketing strategy. If you are still comfortable with your current pricing scheme, then continue to do so.