Priority Payments

How Effective Is A Free Shipping Offer In Boosting Online Sales?

Welcome to the brand new Priority Pay Blog! We’re excited about offering you a weekly dose of creative content aimed at helping your business to grow. As a leading payment provider in Canada, Priority Pay’s objective is to advance your business goals with our payment processing solutions. Our trusted advisors specialize in scalable payment services to get your business on top.

As well, our blog posts are geared towards providing you with a wealth of information about the payment technologies that can help you increase your customer base and generate more sales. Speaking of sales, we are right in the thick of things as it relates to the holiday shopping season. It’s the busiest shopping season of the year. Are you reaping the benefits? Just one way to do so is to offer free shipping in your online store!

It entices consumers to choose your online store over others.

Simply put, the words “free shipping” attracts buyers. In order to boost your online sales this holiday season, you need to entice shoppers to visit your online store to begin with. The offer of free shipping gives people a major incentive to select your site over its competitors.

“As per the 2016 Walker Sands Future of Retail Study, 90% of online consumers consider free shipping as their incentive to shop online,” reveals, “No one wants to lose an offer where something is free and makes them feel that they are saving some money.”

It increases average order value.

Not only does an offer of free shipping bring consumers to your site, it encourages them to spend more than normal. By removing shipping charges from the shopping experience, you give shoppers the confidence that they are saving money. Therefore, they can make use of those savings by making additional and bigger purchases.

“If you have a certain limit fixed to provide consumers with free shipping, it will eventually improve the average order value,” says, “As per the studies by UPS and comScore, 60% of online shoppers in the U.S. tend to add the products to their cart until they reach the free shipping threshold.”

It eliminates cart abandonment.

You were so close to making that sale! If only the shipping charges hadn’t made the purchase too expensive for the customer. A guaranteed way to significantly reduce cart abandonment is to offer free shipping.

“Shopping carts are often abandoned at the checkout when customers are dissuaded by an additional shipping charge,” reports, “Maintaining a steady cost from product page to checkout increases a customer’s likelihood on following through with the purchase.”

It improves customer satisfaction.

Who doesn’t like getting something for free? At the end of the day, your willingness to offer a “freebie” to your customers is one that will be met with happiness and appreciation. points out how important it is for smaller businesses to use free shipping as a way to gain some loyal customers.

“The concept of free shipping can help you to meet this goal of getting good loyal consumers,” the site notes, “It boosts consumer experience and makes your e-commerce platform reliable to them. The customer starts to perceive your platform positively and consumer-friendly.”

Is your company in need of a safe and secure e-commerce solution?

Sync your payment processing with your online shopping cart with Priority Pay’s online payment gateway! To learn all about it, please don’t hesitate to contact us by calling 1-888-431-4344, emailing or by requesting a quote on our Contact page!

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