Posts tagged: competitor prices

Does Free Shipping Really Work?

It is a fact that people like getting deals on whatever products they are buying. If I get a dollar for every time I see a sponsored ad that promises something along the line of ?lowest price guarantee?, ?price match guarantee?, or ?we?ll beat any competitor prices?, I would be a trillionaire. Okay, that?s an exaggeration, but you get my point.
However, price-sensitive market, everyone is trying to offer the lowest price, and only in situ nick of space for the price war, so what is how do advertisers make their price advantage?
One of the possibilities is the Free Shipping Offer. Shipping usually starts around $ 10 $ 15 to an amount not mocked depends on the product. By offering are shipping, customers pay less for the total cost of the product.
But giving your shipping ppc ad copy will guarantee more business? Not necessarily. There are a few reasons.
1. If state free shipping on your ads, your competitors might point and quickly follow your strategy, and ultimately lose your advantage.
2. Some advertisers offer free shipping, but the impact of the omitted set freight rates, which ultimately, in the absence of the same amount of energy product prices.
3. Buy just looking at the ads, free shipping doesn?t state the actually amount customers are saving, which decrease the attractiveness of the deal. $20 off on every purchase probably sounds more attractive than free shipping (but obviously, it depends on the product too).
So, should advertisers resort to free shipping? Only if they can offer the lowest price (or same price as everyone else), and doesn?t pass on the shipping cost to the products. Otherwise, it just becomes another constrain when doing business.