Total Retail | How Online Retailers Can Make Free Shipping Profitable

In this episode of Retail Right Now, Total Retail editors Kristina Stidham and Joe Keenan discuss an article recently published by Total Retail titled, "Will Free Shipping Boost E-Commerce Sales Enough to Be Profitable?," authored by Mitchell Nikitin, founder and CEO of Via.Delivery. There's no disputing how powerful the words "free shipping" are when it comes to driving e-commerce sales, but e-tailers know someone has to cover shipping costs. Finding the right shipping strategy — one that's both attractive to customers and profitable for retailers — takes careful calculation and testing.

It may seem obvious, but it's easier to subsidize shipping when the cost of shipping is low to begin with. It's smart for e-commerce brands to consider offering free shipping, but what matters for businesses is that free shipping is profitable. To read more on this subject, click the link to the full article here.