Free Shipping: The How-to Economic Model

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Free shipping is a growing trend in the ecommerce industry.

As the owner of an ecommerce fulfillment company, I work with hundreds of successful webstore merchants and am in a unique position to see both the threats and opportunities posed by free shipping strategies.

Different Types of Delivery Offers

Most online retailers already offer limited delivery discounting that takes the form of absorbing unreimbursed shipping expenses such as dimensional weight minimums or rural area delivery surcharges.

Another common discount strategy is a set shipping-and-handling fee that is good for any size order, such as a $6.95 fixed rate, no matter the actual shipping cost. This, of course, encourages larger orders.

The fastest growing disco…

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Free Shipping: The How-to Economic Model

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