Does free shipping really work?

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The psychology behind free shipping

First, it must be mentioned that free shipping is rapidly becoming the normal in customer experience. The benefits for the customer are obvious, but how do you  actually make it work for your business? With help of Order Admin software you can assigning shipping methods and shipping margin for your every single purchase order. For many of companies, free shipping is only available for customers who meet a spending minimum but, for others, all orders ship free.

 

 

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Let’s consider the psychology behind the free shipping strategy

  • Shoppers fear hidden fees:

According to Statista, 56% of shoppers abandon their online shopping carts when they encounter unexpected costs.

  • Free shipping reduces friction and encourages consumers to shop:

According to a survey conducted by Forbes, 84% of shoppers have specifically made a purchase because shipping was free.

  • Shoppers expect the utmost convenience at all times:

Shoppers believe free shipping to be convenient. They are given this level of convenience from countless services and  big e-commerce companies.[/dt_vc_list][/vc_column][vc_column width=”1/2″ css=”.vc_custom_1619716674848{margin-top: 10px !important;margin-right: 25px !important;margin-bottom: 10px !important;margin-left: 25px !important;padding-top: 30px !important;padding-right: 30px !important;padding-bottom: 30px !important;padding-left: 30px !important;background-color: #93c248 !important;}”][vc_column_text]

By statistics the companies who introduce free shipping on web sites, the number of orders increases dramatically.

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Shipping, in itself, has become an expected addition to any online interaction. So, when users are offered free shipping, it elicits the same response they’d feel if offered a free product—even if they’re paying the same price or more for their purchase.

According to Dan Ariely, Professor of Psychology and Behavioral Economics at Duke University, people change their behavioural patterns when something free comes along.

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