The free shipping option for the online shopping is one of the major catalysts for increasing sales. It has been proven that shopping cart abandonment by customers is majorly because of the high shipping and handling charges. “Free shipping” is the two magic words which would entice online shoppers to your website. Experts predict that this would facilitate a continued boom in the shipping sector with more and more companies opting for e-commerce avenues to sell their wares.
If you are an e-commerce vendor it is important to negotiate a great deal with the shipping partner as majority of your costs would be directed to provide free transportation for your customers. Customers spent at least $18.7 billion on online sales in 2012 and the amount would increase two fold in the coming decade. Shipping industry is one of the sunrise sectors which would be buoyed by the news of increased reach of the customers.
Arrival of e-commerce in the remote areas
E-commerce is a greatest leveler for populations from Texas to Timbuktu. It is possible to aspire and acquire similar products from the confines of your home. Shipping of products has enabled their reach to the remotest corners of the world and even people in the hinterlands feel that their wares would reach them on time without damage.
Cost of import
Apart from the shipping cost you may need to cough up several costs like port clearance, quarantine costs, customs duties, storage and many others. This would increase the, per unit cost of the item and the affordability in the market further decreases.