{"id":7979,"date":"2024-10-21T11:30:40","date_gmt":"2024-10-21T03:30:40","guid":{"rendered":"https:\/\/blog.ninjavan.co\/en-my\/?p=7979"},"modified":"2024-10-21T11:38:54","modified_gmt":"2024-10-21T03:38:54","slug":"5-smart-ways-to-offer-free-shipping-and-still-make-a-profit","status":"publish","type":"post","link":"https:\/\/blog.ninjavan.co\/en-my\/5-smart-ways-to-offer-free-shipping-and-still-make-a-profit\/","title":{"rendered":"5 Smart Ways to Offer Free Shipping and Still Make a Profit"},"content":{"rendered":"\n<p>If you\u2019ve been around the <strong>e-commerce landscape<\/strong> since its early days, you know that <a href=\"https:\/\/www.sellerscommerce.com\/blog\/free-shipping-statistics\/#:~:text=70%25%20of%20consumers%20prefer%20free%20shipping%20while%20shopping%20online&amp;text=62%25%20of%20them%20say%20it's,store%20for%20the%20same%20item.\" target=\"_blank\" rel=\"noreferrer noopener\">free shipping used to be a nice-to-have perk<\/a>. Now, with rising competition, it&#8217;s almost a necessity. Customers expect it, and it often determines whether they complete a purchase or bounce to a competitor.<\/p>\n\n\n\n<p>For newcomers to the online selling game, offering free shipping can feel daunting. It might seem like a quick way to eat into your revenue and shrink your profit margins. But here\u2019s the good news: <strong>free shipping doesn\u2019t have to cost you.<\/strong><\/p>\n\n\n\n<p>In this article, we\u2019ll lay out the clever strategies that you can implement to <strong>make free shipping<\/strong> work for your online store and increase sales \u2013 all <strong>without losing profit.<\/strong>&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>#1. Set a Minimum Order Value for Free Shipping<\/strong><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img decoding=\"async\" src=\"https:\/\/media1.tenor.com\/m\/Mf9uOlta3yAAAAAC\/minimum-bare.gif\" alt=\"\" \/><\/figure>\n<\/div>\n\n\n<p>One of the <strong>easiest ways<\/strong> to make<strong> free shipping <\/strong>work for both you and your customers is by <strong>setting a minimum order<\/strong> threshold. This means, instead of offering free shipping on every single purchase, you make it available only for orders that hit a certain amount \u2014 say, RM50 or RM100.&nbsp;<\/p>\n\n\n\n<p>This isn\u2019t just about covering shipping costs. It\u2019s about creating a win-win situation where customers feel like they\u2019re getting a deal, and you\u2019re seeing a higher average order value (AOV). It\u2019s also how you can <strong>justify the cost of free shipping <\/strong>for your business, all while encouraging customers to add that extra item to their cart.<\/p>\n\n\n\n<p><em>Psst\u2026<\/em> if your <a href=\"https:\/\/www.investopedia.com\/ask\/answers\/021215\/what-difference-between-gross-profit-margin-and-net-profit-margin.asp#:~:text=A%20high%20gross%20profit%20margin,of%20revenue%20becomes%20a%20profit.\" target=\"_blank\" rel=\"noreferrer noopener\">profit margin<\/a> is on the higher side, set a lower threshold so it\u2019s easier for customers to qualify for free shipping and buy more.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>#2. Offer Free Shipping on Selected Products Only<\/strong><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><img decoding=\"async\" src=\"https:\/\/media1.tenor.com\/m\/xMWOUr3DRfkAAAAC\/i-have-been-chosen-claw.gif\" alt=\"\" \/><\/figure>\n<\/div>\n\n\n<p>Speaking of profit margins, if you\u2019re worried that offering free shipping across your e-commerce store might cut into your profits, consider limiting it to select products \u2014 especially those with higher margins.&nbsp;<\/p>\n\n\n\n<p><strong>By choosing items that already yield a solid profit<\/strong>, you can <strong>absorb the shipping costs <\/strong>without impacting your bottom line. This approach can also help you clear out slow-moving inventory by making it more attractive to buyers.<\/p>\n\n\n\n<p><strong>For instance,<\/strong> if you\u2019re an online store selling home decor, you could offer free shipping on larger-ticket items like furniture or rugs, which have a higher profit margin compared to smaller items. This way, you can leverage free shipping as a targeted strategy without risking profitability.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>#3. Include Shipping Costs in Your Product Prices<\/strong><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img decoding=\"async\" src=\"https:\/\/media1.tenor.com\/m\/8IzHhHL-XoIAAAAd\/crush-ohio.gif\" alt=\"\" style=\"width:448px;height:auto\" \/><\/figure>\n<\/div>\n\n\n<p>When it comes to the backbone of Malaysia\u2019s economy (the SMEs), <a href=\"https:\/\/www.reddit.com\/r\/ecommerce\/comments\/1few8x3\/free_shipping_is_the_silent_profit_killer_nobody\/\" target=\"_blank\" rel=\"noreferrer noopener\">offering free shipping<\/a> can feel like a financial stretch. For small businesses, a smart way to make free shipping feasible is by incorporating shipping costs directly into product prices. Sure, it may seem a bit sneaky, but hear us out!&nbsp;<\/p>\n\n\n\n<p>By <strong>adding just a few extra ringgits<\/strong> to each item, you can <strong>cover shipping expenses<\/strong> without hurting your bottom line, especially if you know customers tend to buy multiple items.&nbsp;<\/p>\n\n\n\n<p><strong>Picture this:<\/strong> if your products are priced at around RM9 each, adding just RM1 per item isn\u2019t gonna break anyone\u2019s bank. Now, when shipping costs RM5 and you offer free shipping, customers buying a few items won\u2019t mind the slight price increase. <\/p>\n\n\n\n<p>They still feel they\u2019re getting a deal with \u201cfree shipping,\u201d while you\u2019ve cleverly spread the shipping cost across their order. Problem solved!<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>#4. Use Free Shipping as a Limited-Time Promotion<\/strong><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img decoding=\"async\" src=\"https:\/\/i.giphy.com\/media\/v1.Y2lkPTc5MGI3NjExdm8xeWIzeWczM2JldzVkNWtsODJqOTU1OTVkZmQ0MG14azZxeXJyeiZlcD12MV9pbnRlcm5hbF9naWZfYnlfaWQmY3Q9Zw\/l2YWsOymHDRFYqyAM\/giphy.gif\" alt=\"\" style=\"width:384px;height:auto\" \/><\/figure>\n<\/div>\n\n\n<p>Another way to serve up free shipping without slicing into your profit margins is by making it a limited-time deal. Free shipping doesn\u2019t have to be a forever thing. Instead, offer it as a temporary treat during<strong> peak shopping seasons <\/strong>like <strong>Double-Digit Sales<\/strong> or<strong> Payday Sales<\/strong>.&nbsp;<\/p>\n\n\n\n<p>The best part? You\u2019re creating<strong> a sense of urgency<\/strong> and excitement that gets customers clicking \u201cAdd to Cart\u201d faster. Pair this with a minimum order threshold to get the most bang for your buck.&nbsp;<\/p>\n\n\n\n<p>If you\u2019re worried customers might take it for granted, throw in an \u201cextra step\u201d by making it a <strong>free shipping voucher<\/strong> with a <strong>minimum purchase requirement<\/strong>. This not only makes it feel like a special promo but also boosts the chances of a sale. <\/p>\n\n\n\n<p>The result? A short-term sales boost, plus all the perks of offering free shipping without it weighing down your profits long-term.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>#5. Partner with a Cost-Effective Courier Service<\/strong><\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><img decoding=\"async\" src=\"https:\/\/media1.tenor.com\/m\/y7X7gL9lO6YAAAAC\/team-work-dance.gif\" alt=\"\" style=\"width:418px;height:auto\" \/><\/figure>\n<\/div>\n\n\n<p>Despite all the strategies we\u2019ve covered, none of them will matter if you don\u2019t have a cost-effective courier partner who\u2019s also reliable. Why? Because <strong>implementing free shipping<\/strong> with<strong> high delivery costs<\/strong> will simply<strong> hurt your bottom line<\/strong>. Worse still, if your products are delivered in poor condition, you could end up with more returns than sales.<\/p>\n\n\n\n<p>Now that you know the importance of a solid logistics partner \u2014 heard of <strong>Ninja Van<\/strong>?<em> <\/em>Of course, you have, we\u2019re famous! <em>Hehe.<\/em> But jokes aside, partnering with a reliable service like Ninja Van, which<a href=\"https:\/\/www.ninjavan.co\/en-my\/logistics-solutions\/last-mile-parcel-delivery\/ninja-van-biz?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-ninja-biz-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\"> offers special discount rates<\/a> for frequent shippers, can make a huge difference.&nbsp;<\/p>\n\n\n\n<p>Besides having a wide range of delivery options, our <a href=\"https:\/\/www.ninjavan.co\/en-my\/logistics-solutions\/last-mile-parcel-delivery\/ninja-van-biz?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-ninja-biz-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\">competitive rates<\/a> help keep your shipping costs low, making free shipping much more sustainable.<\/p>\n\n\n\n<p>And if you have any doubts, just click <a href=\"https:\/\/www.ninjavan.co\/en-my\/logistics-solutions\/last-mile-parcel-delivery\/ninja-van-biz?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-ninja-biz-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a> to check us out!&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Free Shipping, No Problem! Here&#8217;s 2 Ways to Start!<\/strong><\/h2>\n\n\n\n<p>You\u2019ve got the free shipping game plan, now let <strong>Ninja Van take care of your deliveries!<\/strong> Whether you&#8217;re a <strong>small-scale seller <\/strong>or running a<strong> booming business<\/strong>, we&#8217;ve got just the right delivery solution to keep your customers smiling.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img fetchpriority=\"high\" decoding=\"async\" width=\"1200\" height=\"628\" src=\"https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/ninja-van-shipping-rate-price-as-low-as-rm5.50.png\" alt=\"\" class=\"wp-image-7989\" srcset=\"https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/ninja-van-shipping-rate-price-as-low-as-rm5.50.png 1200w, https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/ninja-van-shipping-rate-price-as-low-as-rm5.50-720x377.png 720w, https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/ninja-van-shipping-rate-price-as-low-as-rm5.50-768x402.png 768w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Ship as Low as RM5.50!<\/strong><\/h3>\n\n\n\n<p>Shipping under 150 parcels a month? Ninja Van\u2019s <a href=\"https:\/\/www.ninjavan.co\/en-my\/logistics-solutions\/last-mile-parcel-delivery\/ninja-van-biz?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-ninja-biz-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\">Individual Delivery Service<\/a> is made for you! <\/p>\n\n\n\n<p>Starting at just RM5.50, you&#8217;ll score 3x delivery attempts, parcel protection up to RM200, and <strong>up to 20% off<\/strong> with volume discounts. <\/p>\n\n\n\n<p>That means you can offer free shipping and still come out on top! <a href=\"https:\/\/www.ninjavan.co\/en-my\/logistics-solutions\/last-mile-parcel-delivery\/ninja-van-biz?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-ninja-biz-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\">Click here to get started<\/a>!<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"1200\" height=\"628\" src=\"https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/Ninja-Van-Dedicated-Account-Manager-02.png\" alt=\"\" class=\"wp-image-7990\" srcset=\"https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/Ninja-Van-Dedicated-Account-Manager-02.png 1200w, https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/Ninja-Van-Dedicated-Account-Manager-02-720x377.png 720w, https:\/\/blog.ninjavan.co\/en-my\/wp-content\/uploads\/sites\/3\/2024\/10\/Ninja-Van-Dedicated-Account-Manager-02-768x402.png 768w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>OR, Get an Account Manager!<\/strong><\/h3>\n\n\n\n<p>Shipping more than 150 parcels? Our <a href=\"https:\/\/www.ninjavan.co\/en-my\/logistics-solutions\/last-mile-parcel-delivery\/ninja-pro?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-business-delivery-service-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\">Business Delivery Service<\/a> gives you even juicier rates, along with all the perks of the Individual plan.<\/p>\n\n\n\n<p>Plus, you get a <strong>personal Account Manager<\/strong> to sort out any delivery hiccups for your bulk orders. It\u2019s the secret weapon to scaling up fast!<\/p>\n\n\n\n<p>So, what are you waiting for? <a href=\"https:\/\/www.ninjavan.co\/en-my\/signup?utm_source=blog&amp;utm_medium=organic&amp;utm_campaign=my-blog-business-delivery-service-body-link-5-smart-ways-to-provide-free-shipping\" target=\"_blank\" rel=\"noreferrer noopener\">Click here<\/a> to secure your account manager and let\u2019s make shipping a breeze!<\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Want to offer free shipping without losing profit? Check out these 5 smart ways to keep your margins healthy and make customers happy!<\/p>\n","protected":false},"author":31,"featured_media":7996,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"none","_seopress_titles_title":"5 Smart Ways to Provide Free Shipping and Still Make a Profit","_seopress_titles_desc":"Want to offer free shipping without losing profit? Check out these 5 smart ways to keep your margins healthy and make customers happy!","_seopress_robots_index":"","footnotes":""},"categories":[375,369],"tags":[220,122,343],"class_list":["post-7979","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-branding","category-marketing","tag-business-tips","tag-ecommerce","tag-entrepreneur"],"_links":{"self":[{"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/posts\/7979","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/users\/31"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/comments?post=7979"}],"version-history":[{"count":8,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/posts\/7979\/revisions"}],"predecessor-version":[{"id":8001,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/posts\/7979\/revisions\/8001"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/media\/7996"}],"wp:attachment":[{"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/media?parent=7979"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/categories?post=7979"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.ninjavan.co\/en-my\/wp-json\/wp\/v2\/tags?post=7979"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}