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- This topic has 11 replies, 10 voices, and was last updated 2 years, 10 months ago by Eugenia.
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September 3, 2020 at 10:19 pm #1000358Up::0
Hi all getting closer to launching my new small business. I make handmade furniture for pets.
My items are assembled and can be quite large. I’ve looked into courier companies and brokers And my two top for combined good service & price are interparcel and big post.The delivery fees are still quite large and I am concerned that if my customer has to pay the entire delivery fee they will opt out. Looking for opinions on whether I should have a set delivery fee for Melbourne e.g. $30 and just increase my sale price by $20 so the delivery fee does not seem quite scary? And cover the difference myself as a loss which is not a smart move . Most of my deliveries End up around $60.
Open to suggestions and ideas thanksSeptember 3, 2020 at 10:48 pm #1224039Up::0Hi [USER=64167]@lilmis[/USER] ,
It is a difficult choice isn’t it?
In your shoes, doing research to find evidence based conclusions relating to the psychology of buyer behaviour vis-a-vis shipping costs is where I would be headed.
I am sure there is a lot of material out there that can help.
Cheers
Paul BriceSeptember 4, 2020 at 12:22 am #1224040September 4, 2020 at 6:57 am #1224041Up::0Rowan@quaotic, post: 270787, member: 28171 wrote:Any chance of flat packing your furniture for customers to put together?
Hey. Nope, it’s custom haRowan@quaotic, post: 270787, member: 28171 wrote:Any chance of flat packing your furniture for customers to put together?Hey. Nope, assembled
September 4, 2020 at 7:48 am #1224042Up::0Totally different products and costs, but I was flat packing some furniture at one stage which ranged from between $30 and $50 shipping, I did an experiment and made some free postage with the shipping cost included in the overall price, and some with shipping extra. The result was totally inconclusive as I sold about 50% via each method.
Personally I settled on your other option of lowering the shipping fee to $20 I think it was, so there was still some shipping, and burying the rest in the sale price.
But I wouldn’t be going down the option you suggested of just wearing the cost, as thats not good business practice.
September 5, 2020 at 8:19 am #1224043Up::0bb1, post: 270791, member: 53375 wrote:Totally different products and costs, but I was flat packing some furniture at one stage which ranged from between $30 and $50 shipping, I did an experiment and made some free postage with the shipping cost included in the overall price, and some with shipping extra. The result was totally inconclusive as I sold about 50% via each method.Personally I settled on your other option of lowering the shipping fee to $20 I think it was, so there was still some shipping, and burying the rest in the sale price.
But I wouldn’t be going down the option you suggested of just wearing the cost, as thats not good business practice.
thanks for feedbackSeptember 7, 2020 at 6:10 am #1224044Up::0lilmis, post: 270775, member: 64167 wrote:Hi all getting closer to launching my new small business. I make handmade furniture for pets.
My items are assembled and can be quite large. I’ve looked into courier companies and brokers And my two top for combined good service & price are interparcel and big post.The delivery fees are still quite large and I am concerned that if my customer has to pay the entire delivery fee they will opt out. Looking for opinions on whether I should have a set delivery fee for Melbourne e.g. $30 and just increase my sale price by $20 so the delivery fee does not seem quite scary? And cover the difference myself as a loss which is not a smart move . Most of my deliveries End up around $60.
Open to suggestions and ideas thanksMight need to see how you can increase your price by increasing the perception of its value that way people might be willing to pay more for deliveries….but that is a stab in the dark.
September 8, 2020 at 1:14 pm #1224045Up::0“Custom” pet furniture.
How much is an average piece, and who is your target audience?
What percentage of the overall cost to the customer would be in shipping?
To really know the impact of shipping costs, probably need to understand how much you believe each customer will spend on the actual item and what they see as your value proposition.
You say your business is not yet launched, but have you made some samples and gotten feedback from potential customers or you already sell at local markets etc?
September 9, 2020 at 3:14 am #1224046Up::0Do you offer local pickup?
Splitting your shipping expenses (half on sale price, half as a shipping cost) gives people an incentive to pick up to save $30 or so, but you also have a bigger margin on those sales
October 30, 2020 at 12:42 pm #1224047March 3, 2021 at 8:38 pm #1225269Up::0That’s great, but in my opinion if you want to grow your business try to give free shipping on your furniture, because I got really bad experience about shipping, just last time when I bought pet supplies [Mod Edit To Remove Overly Promotional Links] they had give me free shipping and I completely satisfied with them, that why I tell you about free shipping services.
- This reply was modified 3 years ago by Paul - FS Concierge.
May 5, 2021 at 2:05 pm #1227372Up::0I believe shipping fee is really effects customers behavior, and mostly not in a good way.
A lot of online stores can suggest free or low cost shipping, its more attractive for consumers. its like they see it as a custom service. So it is better to raise the price for items, not shipping -
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