One of the most common questions eCommerce managers get is about shipping costs. It’s a key aspect that can be the deciding factor between buying from one store or another.
When sales don’t come, the question keeps coming back: why aren’t people buying from me? Of the thousands of factors that can hurt the buying process, one that directly affects the decision to buy is your shipping and returns policy. There are several strategies to make an eCommerce’s shipping and returns policy more attractive.
We can do it in two ways:
- Include shipping costs in product prices and offer free shipping.
- Show shipping costs separately and let users decide whether to take them on.
Before choosing one option or the other, consider what kind of business you have and each eCommerce’s storage and shipping logistics. An online store with full stock integration is not the same as an eCommerce that uses other storage arrangements, which affects distribution logistics and delivery times.
Negotiate your shipping costs
However you look at it, shipping costs can be decisive when making a purchase. That’s why it’s important to follow these tips when deciding which shipping method to use.
- Define the weights and volumes of your products. Shipping a sofa is not the same as shipping a perfume or an eyeliner. So it’s worth knowing exactly what you have and what you’ll be shipping, so you can negotiate competitive rates suited to your packaging.
- Ask about any additional charges that may come up. Factor in the cost of product returns and stay on top of anything that could raise the price. Some carriers charge more for weekend deliveries. Agree on every detail so there are no surprises.
Types of shipping costs
While it’s true that people don’t search for “free shipping”, it’s clearly an incentive that can make the difference between a sale and an abandoned cart. Once you know how much it will cost to ship your products to mainland Spain, Europe or the rest of the world, start building strategies around shipping costs and see how users respond to a promotion, a discount or a flat shipping rate. You have several options:
- Offer free shipping by adding the cost to the retail price, as long as this doesn’t make the product significantly more expensive. You should also look at competitors’ shipping prices to stay competitive.
- Tiered shipping costs: If you want to increase average basket value, flexible shipping costs can help boost cross-selling. If shipping gets cheaper the more users buy, we can increase the number of items sold. An example is every eCommerce that offers “free shipping” on orders over X €.
- Flat shipping rates: Before setting them, it’s worth running tests and reviewing the rates offered by your closest competitors. Today this is one of the most widespread approaches, as it communicates shipping costs clearly and directly from the start of the process.
