How Free Shipping Affects Consumers’ Purchasing Decisions

Parcel Monitor: How Free Shipping Affects Consumers' Purchasing Decisions Featured Image

(Image Source: Parcel Monitor)

Did you know that free shipping is considered to be one of the most effective marketing strategies by brands and retailers? In a recent study done in collaboration with Rakuten Insight, our media partner Parcel Monitor took a closer look at how free shipping can impact consumers’ purchasing decisions. Here is what they found:

  1. 59% of customers cited free shipping as one of the top factors affecting their decision to buy online.
    • Free shipping was the second most popular choice after the product prices.
    • 54% of respondents also said that they would likely return for repeat purchases if free shipping was offered.
  2. Free shipping could potentially lead to higher Average Order Values of shoppers.
    • 59% of surveyed consumers said they would not mind topping up their orders to “unlock” free shipping.
  3. Free shipping cannot be compromised on the basis of a reasonable waiting time.
    • A whopping 90% of customers expected to receive their items within 7 days or less. 

While the practice of offering free shipping is a great way for e-commerce businesses to remain competitive, Parcel Monitor advises them to weigh the pros and cons before jumping right in. To find out more, click here to view the full article.

About Parcel Monitor

Parcel Monitor is the leading platform for e-commerce logistics insights. By leveraging on our data capabilities, Parcel Monitor creates an open space for the ecosystem to discover, collaborate and innovate. 

Through data and the collective wisdom of the community, we believe we can inspire change in e-commerce logistics and deliver a better experience for consumers, merchants, and carriers.

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