Shipping fees are a pain. More than 48% of abandoned carts are due to shipping costs according to a recent study (n>=1000, baymard).
Ultimately, customers want a simple, hassle-free shopping experience with free or low-cost delivery. They don’t want to calculate how much shipping will cost before finalizing the purchase. Thus, offering free shipping can be a huge growth boost.
However businesses also need to absorb the costs to still make a profit. Two strategies to solve it:
- Incorporating shipping costs into pricing strategies
This is a very successful approach done by many businesses. This is a good approach for less price-sensitive and less-competitive markets. - Offering a free shipping membership
Think Amazon Prime. There is a good reason why they are offering it. It will:
– Cover your shipping costs
– Keep your pricing competitive
– Incentivize to order more
As many as 42% of consumers will sign up for a store’s loyalty or membership program in order to qualify for free shipping. (GoShippo)
How to create a free shipping membership in Shopify
Our App, CustomerCards, perfectly suits this use case. You can install it directly from the Shopify App Store.
Step 1
Choose “New time-based membership”
Step 2
Set Name, Duration and Price. Then Add Discount
Step 3
Choose 100% Discount and Shipping
And that’s it. After creating it, you now have a free-shipping product that customers can buy. Buying this membership will automatically apply a free shipping discount without any codes to the customer during the defined period.