8 ways of Free Shipping to Boost your sales
Today we are here with proven 8 ways to increase sales by simply offering Free shipping in 8 ways. Offering free shipping has gained a lot of attention from the audiences. Let’s see why and how offering free shipping will increase the sales of your business.
Tip - It is convenient to offer free shipping and increase credibility when you own a branded store for your business.
Why does Offering Free Shipping increase sales?
Well, It is simple human psychology. The psychology behind offering free shipping is rooted in several fundamental principles that automatically influence consumers in their purchasing decisions. Other than free shipping, you can increase sales by promoting your online store for free as well. Let’s see what psychological aspects we can use. Then we have provided ways to offer Free shipping in your business.
Here are a few key aspects for you to understand:
Perceived value:
When customers see the words "free shipping," it triggers a sense of value and a perception of getting something for nothing. It creates a positive emotional response, making customers feel like they are receiving an additional benefit or discount. This perceived value can motivate them to make a purchase or spend more to qualify for free shipping.
Reduced risk and cost:
Paying for shipping is often viewed as an additional cost and can act as a barrier to completing a purchase. By eliminating this cost, businesses alleviates the perceived risk and financial burden for customers. This reduction in perceived cost can significantly increase the likelihood of a purchase, as customers feel they are getting a better deal overall.
Anchoring effect:
The anchoring effect is a cognitive bias in which individuals rely heavily on the first piece of information they receive when making decisions. When customers encounter a product with free shipping, it sets a positive anchor in their minds. Subsequently, they compare other options to this initial reference point, making it more likely for them to choose the product with free shipping, even if the overall price may be slightly higher.
Loss aversion:
People don’t like losses and have a strong desire to avoid missing out on something valuable. When customers are presented with the opportunity for free shipping, they fear losing out on the benefit if they don't take advantage of it. This fear of missing out can create a sense of urgency and prompt customers to make a purchase sooner rather than later, leading to increased sales.
Reciprocity:
Reciprocity is a psychological principle that suggests individuals feel obliged to give back when they receive something for free or experience a positive gesture. When businesses offer free shipping, customers may feel a sense of gratitude, increasing the likelihood of reciprocating by making a purchase. This psychological mechanism helps foster positive customer relationships and encourages repeat purchases.
8 ways to offer Free Shipping
Now that you understand how you can influence your customers, here are the 8 ways you can increase sales.
Build free shipping costs into pricing:
One way to offer free shipping is by factoring the shipping costs into the pricing of your products. This allows you to provide a seamless shopping experience for customers without any additional charges during checkout. By eliminating the shipping cost surprises at the end, customers are more likely to convert, resulting in increased sales.
Offer free shipping at a certain spending amount:
Implementing a minimum spending threshold for free shipping is an excellent way to encourage customers to add more items to their carts. By setting a reasonable threshold, customers are motivated to reach it to enjoy the benefits of free shipping. This approach not only increases the average order value but also reduces cart abandonment rates.
Free shipping for first-time customers:
Attracting new customers is vital for any business, and offering free shipping exclusively to first-time customers can be a compelling incentive. This strategy not only encourages customers to make their initial purchase but also helps create a positive first impression and builds customer loyalty in the long run.
Limited-time-only free shipping promos:
Creating a sense of urgency can drive sales, and limited-time-only free shipping promotions can achieve just that. By introducing time-limited offers, such as free shipping for a weekend or during a holiday season, you create a sense of exclusivity that motivates customers to make a purchase promptly.
Location-based free shipping:
Tailoring your free shipping offers to specific locations can be a strategic approach to boost sales. By offering free shipping to customers within a particular region or country, you tap into the desire for personalized offers. This method can be especially effective for businesses with a solid local presence.
Free shipping on select items:
Instead of offering free shipping across the board, you can choose to provide it selectively on specific items. This approach allows you to showcase popular or high-margin products with free shipping, creating a sense of value for your customers. By doing so, you can drive sales for these items while still generating revenue from shipping fees on other products.
Incentivized free shipping:
Incentivizing free shipping by linking it to certain actions, such as signing up for a newsletter or following your social media accounts, can be a win-win strategy. Customers get the benefit of free shipping while you gain valuable engagement and the opportunity to nurture a long-term relationship with them.
In-store/local pickup or delivery:
For businesses with physical stores or local presence, providing the option for in-store pickup or local delivery can be an attractive alternative to traditional shipping. This approach saves on shipping costs and provides a convenient and immediate solution for customers. By offering this choice, you enhance the overall customer experience and increase the likelihood of sales.
Offering free shipping can be a powerful tool to boost sales and attract customers. Whether it's enticing new customers, creating a sense of urgency, or providing personalized options, incorporating free shipping into your strategy can help your business boost sales.
