Free Shipping Vs Paid Shipping | Shipping Candles & Other Products | Pros and Cons of Free Shipping
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- Äas pĆidĂĄn 1. 08. 2024
- Feeling pressured to offer FREE SHIPPING to your customers' online orders? Struggling to figure out when and how to setup free shipping, or whether or not you even should?
In this video I discuss the pros and cons of offering "free shipping" (building the cost of of shipping into the price of you products.) We will discuss the alternatives such as flat rate shipping and, my personal favorite, Real-Time Calculated Shipping. Free Shipping can be a great tool, but use it wisely and plan appropriately. Otherwise you may end up costing your customer, or yourself, more money.
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My Custom Labels, Stickers, and Tape: www.stickermule.com/unlock?re...
shipping label printer (Rollo): amzn.to/3b8Lqlk
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shipping label printer (Rollo): amzn.to/3b8Lqlk
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đ„//OTHER VIDEOS YOU MIGHT LIKE
Candle Making Supplies for Beginners: âą Candle Making Supplies...
All About Wicks: âą All About Candle Wicks...
Candle Making Business Basics: âą Candle Making Business...
Candle Testing: www.youtube.com/watch?v=pHNaa...
Making Candles at Home: âą Candle Making Tutorial...
Troubleshooting Candle Making Problems: www.youtube.com/watch?v=GTq7o...
Company Origin and Beginner Tips: âą Black Tie Barn Origin ...
00:00 - Discussion Points
02:04 - Calculated Shipping Overview
02:50 - Flat Rate Shipping Overview
04:00 - Free Shipping Overview
04:34 - Pros of Free Shipping
07:04 - Cons of Free Shipping
10:22 - Myth - cost to customer
11:53 - Example - shipping cost
14:40 - Why free shipping can cost more
16:05 - Abandoned Carts
17:20 - Customer Expectations
19:05 - My Current Method and Why
20:50 - First Impression Pricing
22:10 - Wrap up
NOTE: This description and video may contain affiliate links to products I enjoy using myself. Should you choose to use these links, this channel may earn affiliate commissions at no additional cost to you. I appreciate your support! - Jak na to + styl
Just scrolling and I noticed the name and Iâm like wait I love these candles is this the same candles I buy? And it is omg i love your candles đâ€ïžâ€ïžâ€ïž
†Thanks!
And, of course, this is all based on domestic-only customers (and, granted, lots of sellers only ship within the US). As an international buyer based in Canada, I absolutely make note of sellers who have free US shipping, b/c I know I'm then paying shipping twice, once in the item cost and then again for the actual Int'l shipping, and often leave that site and look elsewhere. So there's a big, big disincentive to Int'l buyers when those shipping costs are wrapped into the price, and we're more likely to order multiple items to make our steep Int'l shipping 'worth it'. Granted we might only be 10-25% of a US seller's customer base, but it can still make a difference if we're all bailing on a brand b/c we don't want to get double charged.
Very good point. I didn't even touch on that aspect in the video. Thank you!!
Hi Wade, This was super insightful. Youâre right! Thereâs a lot of videos out there that take aspects of shipping out of context. Thank you for taking the time to explain your line of thinking đ
Np. Thanks Christina!
This is a great video Wade! As always, very informative and well thought out. I also loved that you used an example from your own website/experience. Really helpful video!
Thank you! :)
I do real time shipping as well! It works well for me. I love your videos and would love to have a candle conversation one day when you have time. I thoroughly enjoy all the information you give out and youâve worked with so many different elements for candle making and have experience that is valuable. Iâm so glad you chose to make a CZcams.
Thank you. I appreciate that. And, absolutely!
THANK YOU sooooo much! I am launching our website next month and this is the ONE concern I keep going back and forth. This video clarified for me. Thank you!
đ good glad to help! :)
This was such an informative video. As new business, there are so many variables to just getting one order out. Thank you for your time and educating us.
Glad it was helpful!
Hi there again Wade.
Launching my business on instagram tomorrow after a full year of research and testing.
Am so excited but so nervous too.
This video has been really helpful.
Thank you for sharing your knowledge and experience. You are more helpful to those of us starting out than you may realise. You are doing such a great job.
Ty Mary so much. Happy to help!
That was so informative - thank you so much. I really appreciate all the detail you go into on each of your videos :)
Thanks Tallis!
Wow, such a helpful explanation. Thank you.
Yep totally with you on this.
đ I tend to use both... just depends. I think something will work differently for different businesses ya know
Thank you! So helpful and informative
No problem!
Thanks. This was helpful and provided insights.
No problem!
Ty so much for sharing. Very helpful
You're welcome!
Can you do a tutorial video on how to set up calculated shipping on shopify? Alot of people like myself don't know how to set that up.
Sure... will get it worked in when I can. Thanks Stephen
Love your vids. Building my company as we speak. Viva la deeeeecintivizzzzeee.
đ€Łđđ Yes. Lol. Good luck!
There are many companies that will offer free shipping if your order is over a certain amount- like $50. Seems like that would be a good incentive for customers to buy a little more than they may have anticipated. But I guess if you get a super large order, it may not be worth it if you don't increase your product prices by at least a little bit. I think the way you handle your shipping prices is the easiest even though I would be put off paying almost as much for shipping as the candle if I were to just buy one. But I would be much more likely to buy 4 or 5 if I got free shipping by spending $50. :) Love your videos.
Yep. Absolutely. That is why I do a hybrid today. I have flat shipping price up to $69. It doesn't cover the entire shipping costs but it helps without scaring customers away. My flat cost is $5.95. Then I do free shipping over $69. :)
I totally agree with this.
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Great Presentation.
Ty!
Thank You very much, very good and informative video đ
Thanks and you're welcome!
THIS. This is why I donât offer free shipping and I wish a lot more people would really think about this. They need to watch this video. đ
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Great information. đ
Ty!
tyvm great bunch of info. i never understood shipping before. since i am on ssid i cant buy alot of things. barely enough to save for house taxes and insurance isave all year to pay. ty and be blessed and safe for you and family
Thanke sandy
Free shipping and bundle pricing is always effective at getting me to purchase
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Thanks for video. I wondering about shipments for my business thanks. God Bless
You are so welcome
I absolutely agree about why to not offer free shipping. I'm a candle beginner but have an Etsy shop for an unrelated business and refuse to fold shipping into the product price because of everything you said. My primary reason being it artificially inflates the product value and I hate that. It doesn't feel right to me. However, Etsy doesn't allow live shipping rates through production partner integrations, so I have to use my production partner's flat shipping rates by category (more than one product does give discounted rates), and unfortunately that's the closest I can get to fair for the customer. đ€·ââ
Yup, 100% know what you mean. Etsy basically forces it on everyone instead of letting you choose
Shipping has been stressing me out trying to decide what I should do before I open up shop. Everyone has been telling me I need to do free shipping and add it to the cost, but I have been super hesitant about it. Thank you for this extremely helpful video! Explains all aspects perfectly and is going to be a good resource in assisting me make a final decision about shipping.
Hey Jessica. It's definitely a tough thing to figure out and it can be stressful. Just don't let it overwhelm you. You can always change later.
There IS a time and place for free shipping so I wasn't intended to discourage it. Just also point out the pros and cons of both it and calculated shipping. They have have pros and cons for sure. You just HAVE to setup free shipping correctly or it will cost you or your customer a lot more than it should.
if your good with figuring out numbers you can also offer discounts for multiple items, like "buy 2 candles get x% off, buy 3 get x% off, etc..." and make that % enough to reduce the built in shipping cost that their overpaying by. idk if it would work well for candles i used this method when i was selling photography gear.
Yes great tip!
Niceđ
Thanks!
Very informative video..I have not launched yet, because I want to make sure all my ducks are in a row, and shipping was one of them. I start overthinking because my product is different then the normal. (I do wax crumbles which is just a different variation of wax melts). Anyhow, thanks again for a very well put video.
Np at all! I think crumes could easily ship at rate or free shipping some because of the siz and weight. So you have some options for sure. :)
@@BlackTieBarn thanks and yes I have two different size options 1oz (for a sample size) and 3oz. ..so thatâs my delimma with the shipping.
. I donât want to up the price Iâm charging because I feel like they wonât purchase so I wasnât sure on the free shipping...I think Iâm just overthinking everything again lol so Iâm very appreciative of this video.
13:17 in. I've thought about this, and i've been thinking that free shipping with an automated discount on more than one item would be a good balance. So if they add another one to the cart they'll get that 2nd candle with 5% OFF. And continue to do that with more they add. That could incentivize customers to want to buy more since it's cheaper the more they buy. When you're just really lowering the shipping cost that's added into the product. Thoughts?
Sure! Hybrids really are good solutions, just take longer to figure out and implement.
I did free shipping on orders of $40 or more then added $2.00 per candle to cover it
Yep! Creating a plan thst makes sense and is thought out us perfect. Unfortunately, often that great planning and figuring out isn't always done. Sometimes this leads people to just add $6/ Candle for shipping.... or more. Becomes crazy expensive! Love your hybrid approach!
Free shipping on orders over 25, makes them pick up that second candle ;)
or 3rd or 4th. Just gotta make the margins make sense. ;)
Another highly informative video. I've abandoned many carts as a result of shipping charges. In fact, many of the major candle ingredient suppliers have led me to abandon carts because shipping costs are nearly 50% of the cost of goods. However, every vendor providing free shipping, has an increase in cost of goods of about 50% as well, so, it all balances, I suppose. Have you had to increase your prices as a result of supply chain and/or increased shipping charges in the current covid era or do you absorb those costs with reduced margins?
I do a hybrid. Charge ahipping up to certain amount and then free shipping after that. Whatever makes the most sense for you. Yes.... I have had to make a small increase and taking a small hit on the rest to ride it out.
tank you first comment.
đđ
Hey. I got one of those wick setters and Am struggling to use it correctly, make it be consistent with wick placement. Could you do a quick video or a #short or IG video? Iâm missing something. Wanting more consistent wick placement on my double wicked containers. Thanks for all your knowledge!
Sorry, just saw this. I occasionally missed one here and there. Especially as the comments increase. But no, it is straight forward assuming it fits your jar(s). It doesn't fit every jar though.
@@BlackTieBarn I got it figured out. Just took me a bit!
Your info tutorials are so informative. It is very understandable and easy to make sense of. Many are not. Thank you. My question is, Why? Is this r ee's ally just you wanting to help or is the candle business not as good as it was in the past. I'm 72 and I can't waste time . Thank you again.
Thank you. Not sure what you mean though. I used to help one on one only and that was not efficient. So, just another part of my business and what I do. It's separate from my retail side. :)
@@BlackTieBarn thank you.
kinda off topic question but when ordering inventory do you keep the price of shipping in the inventory price when loggin in the for cost of goods? thank you for your time once again!
Yes! That is part of the landed cost of your materials. Incoming shipping costs are always considered part of inventory costs/ value and cogs. :)
I struggle making shipping profiles . I donât know how to set that up to trigger for certain amount of candles ordered.
Yeah it's tough. I'll be working on a video to talk about this at some point. But I'm already so backed up! đ
What are your suggestions for Etsy, where they give priority to shops who offer free shipping over $35? Do you just add a few calculated dollars on top of all the products to cover that? Thank you! As always, a great video!!
Great question. I'll be honest, I wasn't considering etsy much as I don't use it and not a fan. đ€Ł But yes, you don't have a choice really..... higher priced products. Id figure out how much you need to increase per candle so at the $35 mark you aren't losing money. Basically rhetoric break even amount. :)
@@BlackTieBarn ooooh you should totally do a video on why you don't like Etsy, I'd love to hear why. Thanks for your perspective on the subject!! đđđ
@@samanthaanderson1281 Lol! Maybe. Just like most who left them or dont choose them. Its about their business operations. They cater to top 1% as well and charge sellers for every little thing. And they will straight up close shops down for unverified claims. They are all about their own profits and pushing the top 1%. Very unfair and unreasonable fees in my opinion as well. Just hard for me to justify them over my own site. But, just a preference. :)
@@BlackTieBarn Wow! Maybe I should research them a bit more. I just assumed that'd be the place to start, since the traffic is there, until I built my own following. Add it to the homework list from your channel... đđ
Don't let this discourage you from doing that. It is not a bad way to start at all. And it works out for many. Use it as launchpad, perse, with a future goal to have your own site. Or both. Not liking them or their fees doesn't mean not to use them at all. Especially over the alternative of nothing. :)
I'd start with it if that was your plan.
Thanks for this. I know it's an unrelated topic but what are you options of LX wicks with 4627 wax? I'm having issues with hangup, smoke and flickering. 3 inch wide container. I've tried lx 18,22,24,28 and 30. What an I don't wrong?
By the way you have quickly become my favorite channel about candles
4627 is a super intense wax and does soot and smoke more than many others I have noticed. I don't really use it nor do I use lx wicks much, but you're not alone in this problem that's for sure. Try sampling a few other wicks to see if you have any better luck. Also, 3" jars are touch to wick. Smaller is easier or larger but with double wicks.
@@BlackTieBarn I bought 6006 first and thought it was great but so many suggested I try 4627. I guess I've been doing everything I could to make it work but in the end I suppose it's just just the wax for me. I'll try more with the 6006. Would you suggest starting off with premier 700 wicks? I'll get smaller containers. I just want one bit of success to keep me motivated.
I use a mixture of htp and premier 700s. But zinc core can also work as well
Hello wade again my favorite candle mentor,
I would love to send you one my candles for free, to get your suggestions on it. even a small 4 oz
No problem. Anytime. Shoot me a message through hear or wherever and I'll send you address.
how does a seller selling candles deal with bulk candles if you give free shipping? Is there a max order or weight amt? Please answer here thanks.
Well typically speaking..... sellers include a little cost of the shipping into their prices. That is normal. No such thing as actual free shipping. All costs are accounted. Most of the time. The other reason is you are selling much more and making much more profit. So.... if you can price things in a way to offer free shipping, say.... after 6 candles (random example), then that means anything after that you should be able to do as well. Because you continue to make margin on each additional candle. But shipping costs don't increase linear for each additional candle. That is why it's barely more expensive to ship 3 candles as opposed to just 1 for example.
Do you use Pirate Ship or do you go straight through USPS?
I use shopify which builds in the discounts for me. I have pirate ship but it isn't cheaper than what I get with shopify so I don't use it except randomly for unrelated shipments.
I have a question, If I poured a set of candles and happen to pour one a little too low and thereâs no wax left to pour into it from my mixture. Would it be okay to just top the candle off with a bit of unscented wax? What do you do if you run into that at issue at times? I wish it was a better way for me to make sure I fill all my candles to the desired fill line besides eyeing it.
You technically can but I wouldn't. It will hurt your CT and your HT. Customer will see very little when picking it up. A better option is probably waiting until you make the next one or batch and make a tad more and fill thst one in. :)
@@BlackTieBarn thank you! Youâre awesome by the way!
Well thanks! đđ
There's an Etsy candle shop from the US that I would like to buy from but their intl shipping is 34 dollars and much more if you buy more than one candle. Phew.
Yah unfortunately international shipping is quite expensive
To counter that could you do a buy 4 get 1 free?
Absolutely. Done it before. :)
To sum it up : free shipping is NOT really FREE. Thank-you for this informative video.
Correct! đ it's costing someone. :)
Wade which FB group is yours? I think Iâm getting confused!
I am in a few like the DIY group and others, but I also run a new one called "The Candle Making Workshop (hosted by Black Tie Barn)". :)
@@BlackTieBarn Iâm all overlyour page I answered in another post đ€Łđ€Ł but I just signed up⊠Iâm Catrina Brown
Also, does anyone think that Etsy wants to give preferential placement to free shipping items because their % of income is higher if the item price is higher? They donât make anything off shipping. đ€đŹ
Yes. Etsy is know for shady practices or at least practices that hurt 99% of sellers to favor the top few or customers.
@@BlackTieBarn đ
What about free shipping on an order another over $50 etc.?
Yes sir. I actually meant that in the video as well as a hybrid model. I do the same thing. :)
@@BlackTieBarn I do apologize! I jumped the gun on asking this question. I was listening to the video while I was driving and I asked the question when I stopped at the gas station....You are great driving material!
Now I guess to rephrase, what would you suggest as far as a Hybrid like this? I know that the cost of candles will really set the Price level that I switch to free shipping at, but how far should I "Entice" the buyer? do I want to "encourage" an extra 2 or 3 candles or maybe just one or leave it at a price line that maybe a clamshell will make up the difference? Thank you for taking the time to respond and interact with viewers.
@@scottdavis5884 Hey Scott. No worries at all, I've done the same. And like you... I listen to videos non stop when on the road!
As far as how to price for hybrid solution. Honestly, I am working on some changes for this myself. I recently had to change things up on my site due to being so busy and having trouble keeping up. Plus some costs have gone up a bit for everyone (materials, shipping, etc).
But, I will be working through this as well. I think I might do something like this:
- Instead of selling my candles for $9 or $10/ea. I will bump to $12
- Leave calculated (or set a flat rate shipping option, haven't decided) for purchases under $30
- Free shipping over $30 (continental US only)
So with my particular candles in this model that would basically mean anything over $30 is roughly 3+ candles
The increase on price would net me about $6-9 extra for those candles and help offset the free shipping. Plus,
obviously any additional candle would offset even further.
The absolute worst case for me, using that model... would be someone buying exactly 3 candles and going all the
way across the country. In that case I might lose up to $5 total... but that is still worth it if it sold 3 candles.
* I could also do free shipping over $40 instead of $30 and this makes it even easier
Another option, but this depends on the your ecommerce site and the features of your theme or integrated apps:
But, I am experimenting with an app that created bundled pricing or qty discounts. So, the first candle or 2 would
be x amount. but, there is a price drop on additional candles after that point. this is a good option if you don't want to
offer as sweet of a shipping discount but still provide incentive to buy more.
i hope this helps. Sorry I don't have a definitive answer on this. It is a complex decision for sure.
@@BlackTieBarn this helps tremendously! Thank you