Whenever a customer visits your website, they search for a product they want at a price they like , and add it to their cart list. But after getting on the payment, they stuck with the shipping and handling rates, giving a sudden second thought to their buying decision. This happens due to the additional shipping charges which make them seem products a little expensive. It affects the buying decision of the customers, which result in the abandon of the cart.
Shipping Rates and Abandoned Carts
According to the research, the shipping and handling charges are the major reason which causes shopping cart abandonment. So it's really important to have a perfect shipping strategy with money making idea, which cuts your margins as little as possible, but remains attractive to your customers. After considering the market trends and deep discussion with the eCommerce web developers, here are some of the main shipping options, which you can use as your shipping strategy.
1. Offer Free Shipping
For domestic orders, offering free shipping works like a fire, to get more and more customers attention. This offer totally depends on your margins, and possibly may cause cut into your profit margin. Displaying 'Free Shipping' on your website, will be the best marketing punch for your site, as it attracts more customers in comparison of other sites which are not providing this offer. Deciding to offer free shipping will require you to either increase your prices to cover it, or take up the cost.
Another way of offering free shipping is offering services with minimum order amounts or minimum number of items. It will increase your average order value, and help you to get more profit value.
2. Offer Flat Rates
Another option, which you can offer is a Flat rate for every package, or flat rates for order totals and weight ranges. Under this method, shipping charges is decided after calculating the average cost of shipping a package. After deciding the right cost, you will overcome with the actual shipping cost by a little, but still it creates the even out situation in the end.
3. Charge What You Get Charged
Under this method, the customers pay more or less, exactly, the amount which actually is required to ship the product. Mostly, customers prefer this method, as they have trust that you are not raising your product prices to cover the charges. This method is specially used for heavy or oversized shipments that cannot be permitted to ship out under any free shipping promotion scheme.
Shipping Rates and Abandoned Carts
According to the research, the shipping and handling charges are the major reason which causes shopping cart abandonment. So it's really important to have a perfect shipping strategy with money making idea, which cuts your margins as little as possible, but remains attractive to your customers. After considering the market trends and deep discussion with the eCommerce web developers, here are some of the main shipping options, which you can use as your shipping strategy.
1. Offer Free Shipping
For domestic orders, offering free shipping works like a fire, to get more and more customers attention. This offer totally depends on your margins, and possibly may cause cut into your profit margin. Displaying 'Free Shipping' on your website, will be the best marketing punch for your site, as it attracts more customers in comparison of other sites which are not providing this offer. Deciding to offer free shipping will require you to either increase your prices to cover it, or take up the cost.
Another way of offering free shipping is offering services with minimum order amounts or minimum number of items. It will increase your average order value, and help you to get more profit value.
2. Offer Flat Rates
Another option, which you can offer is a Flat rate for every package, or flat rates for order totals and weight ranges. Under this method, shipping charges is decided after calculating the average cost of shipping a package. After deciding the right cost, you will overcome with the actual shipping cost by a little, but still it creates the even out situation in the end.
3. Charge What You Get Charged
Under this method, the customers pay more or less, exactly, the amount which actually is required to ship the product. Mostly, customers prefer this method, as they have trust that you are not raising your product prices to cover the charges. This method is specially used for heavy or oversized shipments that cannot be permitted to ship out under any free shipping promotion scheme.
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