0 comments / Posted on by Tammie McClure

 

Which would you rather get? Free shipping or a percentage off your order total? 

A 20% discount for example, would more than cover the cost of shipping on 1 t-shirt at South of Memphis. In fact, you'd come out 29 cents ahead if you purchased an $18,95 shirt and used a 20% discount code. Shipping on the average shirt is roughly $3.50. Subtract 20% from $18.95 and you save $3.79. So technically you just saved 29 cents more than you would if you only got free shipping. 

The real question is...does anyone notice that extra change they'd save? Or does the free shipping trump the discount because of the word FREE and the immediate gradification it gives us? No one does math in their heads anymore so most would probably think that free shipping would save them more because of that word we all love to hear, Free.

But it really is never actually free. Most companies bump up the price or take less profit to give a free shipping option, or they make you buy a certain dollar amount to get free shipping. I.E. Amazon.com and their $25 minimum they offered for years. Now they have Prime which you pay a fee to use.

As much as Amazon.com ships though their rates are incredibly low for shipping so really, you aren't saving much if anything at all in the long run.

A report from Marketing Land (the graphic above is from them) stated that people are 2x more likely to choose free shipping over a percent discount (even if the discount would save them more!) 

However, South of Memphis' demographic is a younger customer, teens - mid 40s for the most part. Those customers tend to go for the % discount where older shoppers 45 and up choose Free Shipping.

So, the question remains, as a customer of South of Memphis, which would you rather get from us that would influence your buying decision? An occasional 15%, 20%, 25% discount or free shipping and no other discounts or lower discounts like 10% and 15% only?

We want to give people what they want most so we can sell more so let us know!

Thanks,

Tam McClure
President
www.southofmemphis.com

 

 

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