6 Shipping Strategies to Increase Conversions and Profitability

In today’s time and age, e-commerce is booming more than ever before. 

As technology has become advanced, and as the COVI-19 pandemic has dramatically changed how people shop, the way you do business must adapt. 

But one challenge that you might encounter in e-commerce is shipping. At the end of the day, the courier you pick will have a massive impact on your customers’ experience. 

Fortunately, there are ways in which you can take on your shipping strategy in your own terms.

Why Should You Choose the Right Shipping Strategy?

Shipping is an essential factor and can directly impact your e-commerce business’s reputation. 

According to Kimbob, 60% of customers prefer to buy from e-commerce companies to provide fast and convenient shipping solutions. 

The moment that you dispatch your goods and products, your customers will be able to experience your shipping.

If you want customers to leave you a positive review, you should work with the best fulfillment service companies. Moreover, it would be ideal to develop a robust shipping strategy. 

Now, with the right shipping strategy in place, you can do the following: 

  • Craft a better customer experience: Setting and meeting customer expectations allows buyers to have a consistent and positive experience with you. But more than that, you have to be transparent with them about the delays in shipping. This is part of managing customer expectations.
  • Enhance your average order value (AOV): Promotions and offers are an excellent way for customers to purchase more. Doing so helps increase their average order value. Some tactics you can try are free shipping, cross-selling, and upselling. 
  • Expand your business: With an international shipping strategy, you will be able to sell and ship to people abroad. Thus, you can make your business grow. It is just a matter of finding the right third-party logistics partner.
  • Boost your conversions: When customers know what to expect, and as long as the price is fair, then they will be more likely to complete a purchase. Providing them with other options also encourages making a sale. So, offer them their carrier of choice, delivery times, and even fulfillment methods. 

Establishing Your E-commerce Shipping Process

Before jumping right in, you need to establish your shipping process. Ask yourself these questions:

  • Do you want to provide your customers with different shipping options?
  • How do you calculate the costs of shipping?
  • Have you considered setting up shipping security before?
  • What is your plan for the holiday season, especially when it comes to shipping? 

Strategies for Pricing Your E-commerce Shipping

We will now talk about the strategies you can apply to boost your conversion rates and increase your profit margins. 

Clarity is Vital

In an e-commerce business, the information you give your customers must be crystal clear. More so, when it comes to the order fulfillment criteria and your shipping policies. 

Ideally, you should be able to strive for a seamless shipping experience. 

Write down any information related to your shipping policies, then pin it to your site for your customers to know what they can expect from you. 

One way to showcase this strategy is to mention to your customers that you are charging a shipping fee. Now, if you are not, ideally, this should be the first thing that people will see on your landing page. 

Weight is Important, Too

When it comes to staying ahead from the pack, weight is vital. 

Ideally, you should strive to establish a smooth and efficient system where you should make it a priority to update your products’ weight. 

Are you wondering why this particular ecommerce shipping strategy is essential? It is because it lets you have a firm grip on product cost.

You should be able to come up with the correct shipping costs for charging your customers. For instance, famous couriers like DHL or FedEx have updated rates of shipping costs and are usually based on the weight of the product/item. 

Meaning, there will be additional costs in shipping as the weight also increases. 

Offer Free Shipping

Whether you wanted to add the shipping costs to your products or not, you should at least make an effort to offer free shipping to your customers. 

Most online retailers do not understand how vital it is to offer free shipping and positively impact their sales. 

In fact, 90% believe that free shipping is one of the primary factors that they have to consider before purchasing from a store. 

Provide Transparency During Check-out

Ideally, your shipping costs should be outlined transparently. It should also be easy to understand during the check-out process. 

Shoppers should be aware of how much they are required to pay, and most of them hate surprises like hidden costs during check-out. 

So, if you place those hidden charges during check-out, then what you will probably be left with is an abandoned shipping cart. 

Offer the Expected Date of Delivery

You also need to inform your customers about the expected delivery date and when they will receive your product. 

Ideally, you should offer them an expected date of delivery when the user is about to check-out. 

If there is quicker shipping, offer them that option as well, even if it means that it will cost more. 

Regular Updates

Most of your customers would want to be kept on the loop, especially when it comes to the delivery status or when the item will be shipped. 

You can send them important details like tracking numbers or offer them regular updates. 

Adding in steps like these will eventually increase their loyalty to your brand in the long run.

Over to You

Whether you like it or not, shipping plays a crucial role in e-commerce. Mind you; it can make or break your online business. 

Although there will be uncontrollable circumstances, it would be ideal if people associate your brand with reliable shipping. Nonetheless, it would be best to ensure that your shipping strategy is trustworthy.

So, as much as you can take a more proactive approach and try to familiarize and apply these strategies to your own. Good luck!

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