Free Shipping vs. Sales Discount

matsonianmatsonian Posts: 4subscriber
edited July 2012 in Sales
Hello...
On our online store for aftermarket Jeep Parts, we've tried three scenarios... Sale only, Free shipping only and combined.
Ultimately, we've had similar results, and as a small start-up the results were not enough to make a market determination on.
My question is: Does Anyone Know of any Studies That Have Been Done to Measure Consumers Habits with FREE SHIPPING vs. SALES DISCOUNTS for online shopping.
Thank you!

Comments

  • johnblue2johnblue2 Posts: 0subscriber
    I would like to add something that I actually amount to a "free ships, and now as the price of their product line in about 80% of what it costs to send it. So, yes, I lost some money when someone buys the single item, but when someone buys more than one, and now I am 80% covered for the delivery of 2 items, while in reality I combined Shipping fees are very small increase in the first, and sometimes without any additional cost to me. Since about half of my customers buy more than one point, I covered my shipping charges up positively, as a whole.In the end, I think what it really easy for my customers. Do not worry about shipping fees, duties combined, and so I think the fact that many sites offer free shipping at the time shows that he enjoys the customers. And, of course, I need to keep track of what my competitors as well.So you can offer free shipping and special discounts on special occasions it will helps your sales volume so do marketing research first before any decision.Hope this helps!
  • Tuah BaoTuah Bao Posts: 74subscriber Bronze Level Member
    First, if free shipment a norm to your industry. If yes, then customers expect you to provide free shipment.

    On the other hand, you should give discount only occasionally, not all the times. If you give discount for 365 days, then that is not a discount but a permanent price cut from the customers' point of view.

    Bundle a few products and offer free shipment. Such as, "buy the 2nd item with 10% discount and enjoy free shipment" or "free shipment for any order more than $x".
    Tuah Bao
    Accountant & Marketing Consultant
    Free marketing idea & advice at https://peopleaffiliate.com/services
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