How to Lower Shipping Costs and Avoid Abandon Carts on Your Online Store


How to Lower Shipping Costs and Avoid Abandon Carts on Your Online Store

Everyone who’s managing an online store has seen the scenario when customers show interest in your products, add them to their cart and just nearly buy them, but suddenly change their mind and abandon their shopping cart.

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There could be many reasons causing such scenarios: It could be that your site’s loading speed is too slow, checkout process is too complex, or that your customers simply found a better price on one of your competitor sites. However, recent studies have shown that out of all the possible reasons, the number one factor causing cart abandonment half way through the checkout process has to do with unexpected shipping costs.

While there are many ways to recover abandoned carts, there are several measures worth considering that can lower your shipping costs, making your products more affordable and attractive.

What can you do to lower your shipping costs?

how to reduce shipping costs and increase conversions on your online store

First, you should thoroughly research your shipping options. Remember that your shipping price is a lot more than just a few extra dollars. For many of your potential customers, its what makes the difference between choosing to buy from you or from someone else, so exploring the different couriers and shipping companies available, you might choose to prefer a slower delivery for a better price, or change the packaging you use to reduce the overall package weight.

I’ve reduced my shipping costs but customers are still intimidated

If you’ve done all of the above and still hadn’t managed to reduce your shipping costs and prevent abandon cart scenarios, here are some alternative tactics:

Offer Free Shipping

Naturally, the idea sounds frightening at first, but think of how much money you spend on marketing.

Free Domestic shipping doesn’t cost you much, however if publicized properly it can be a major lead generator, so you should look at it as an investment. Let everyone in the world know that you’re offering free shipping, and you will most definitely see an increase in orders.

That being said, you should check your margins to make sure you aren’t cutting on your profits.

Offer Flat Rates

Another way to tackle high shipping costs is to calculate the average cost per order, and then create a general shopping rule that applies the same shipping cost to all orders, regardless of their size, distance etc.

This way you can include the shipping price inside the product price, making the checkout process easier and quicker. The major disadvantage to using flat rate shipping is that to some customers, such as locals or people who’ve purchased your smaller items, shipping might still be too expensive, while larger or further away orders will become cheaper.

Setup a Shipping Calculator

Shipping prices tend to change from time to time, so if you want to be transparent with your customers, you can set up a real time shipping quote calculator that takes information such as package weight, distance, and the customer’s preferred courier, and outputs a specified shipping price relevant for the day of purchase.

Seeing all the data as-is will add to your reliability. However, that still doesn’t ensure that you’ll get more orders, plus getting such a feature up and running with no glitches can cost quite a bit to set up.

What is your preferred shipping strategy?

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