The Power of Subscription for Free Shipping

Offering a subscription for free shipping can be a powerful strategy for businesses. Shipping costs can negatively impact conversions, but incorporating them into the product price may drive customers to competitors. By offering a subscription for free shipping, businesses can initially experience a dip in profits as customers make smaller, more frequent orders. However, over time, customers get accustomed to the program and start making larger orders, leading to an increase in orders and customer loyalty. Research has shown that free shipping subscription members place 17% more orders on average than non-members, highlighting the effectiveness of this strategy.