It’s week two of our Holiday Blogging Event, and in our last blog of the week, we ask, what one incentive do online consumers want more than anything else?

According to Forrester Research, 75% of customers prefer to shop with an online retailer that offers this incentive, and The Conference Board Survey supports these same findings, reporting that 90% of consumers say this would also entice them to spend even more online.

The incentive here is free shipping. It’s an attractive enticement, and most consumers have come to expect it, especially around the peak holiday season.

Many merchants debate whether offering free shipping or a discounted purchase price will be more attractive to the consumer. David Bell, marketing professor at the Wharton School observes that

For whatever reason, a free shipping offer that saves a customer $6.99 is more appealing to many than a discount that cuts the purchase price by $10.

Bell also concludes that 60% of online retailers cite “free shipping with conditions” as their most successful marketing tool.

So why is a free shipping offer so important to an online retailer?

  • 78% of online customers say that exorbitant shipping costs discourage them from online purchases. (Source: E-tailing Group, 2008)
  • 75% of people prefer to shop with online retailers that offer free shipping, compared to 61% in 2007. (Source: Forrester Research, 2008)
  • 43% of shoppers abandon their shopping carts because of unexpectedly high shipping charges. (Source: Paypal, comScore, 2008)
  • 61 of the largest 100 online retailers offered free shipping as of the week of Monday, November 10, 2008. (Source: Internet Retailer)
  • 90% of respondents say free shipping offers would entice them to spend more online. (Source: The Conference Board Survey, 2008)
  • 72% of consumers say that if an e-commerce site eliminated free shipping, they would use another e-commerce site that did offer free shipping. (Source: comScore Survey, 2008)
  • People are searching for ‘free shipping’ earlier in the Christmas shopping season, and for longer. Searches for free shipping began to rise in October of last year, and actually peaked in the first week of January. (source: eConsultancy.com, 2009)

Need more reasons to offer free shipping this holiday season? Check out Free Shipping.org for a list of retailers who are incorporating this incentive into their marketing strategy—and succeeding!

Is your affiliate marketing campaign ready for the holiday season? If not, this is the blogging event to get you ready for the busiest season of the year. Check out last week’s blogs, and make sure to tune in again next Wednesday, Thursday and Friday for more tips and techniques to help you end Q4 with your most successful campaign yet!

Read more:
Do Free Shipping Offers Attract Customers?