Free Shipping Statistics: Key Findings

  • 66% of consumers expect free shipping on every purchase
  • 73% of people are more likely to decide to buy an item if it includes free shipping.
  • 80% of consumers expect free shipping when ordering a certain dollar amount of products.
  • 90% of consumers say that free shipping is their biggest incentive to shop online
  • Orders with free shipping average around 30% higher.
  • 74.4% of retailers have some sort of free shipping
  • High shipping costs are cited as the number #1 reason for cart abandonment.
  • 76 percent of Generation Z (1995 and later) expect free shipping
  • 77 percent of Generation X (1965-1980) expect free shipping
  • 61 percent of millennials (1981-1994) expect free shipping

Source: (Small Business Trends LLC, SaveMyCent, PR Newswire, Whiplash, Invesp, Digital Commerce 360, Convertcart, National Retail Federation, Air Cargo News, The Dead Pixel Society.)

66% of Shoppers Demand Free Shipping on All Purchases

Important takeaway:

Adoption of Free Shipping is EssentialCustomers now consider free shipping a baseline expectation.
Price Strategy Requires Adjustment2 out of 3 customers may abandon carts if shipping isn’t free.
Competitive Advantage through Free ShippingBusinesses offering free shipping could outperform those that don’t.

This data suggests a strong consumer preference for free shipping, indicating it’s essential to maintain competitiveness and customer satisfaction. Consequently, businesses should strategize to absorb shipping costs without impacting profitability.

Source: Small Business Trends LLC

Free Shipping Influences 73% of Buyers’ Purchasing Decisions

Important takeaway:

Free Shipping as Purchase IncentiveMajority of customers’ buying decisions are swayed by free shipping.
Reconsider Business StrategyWithout free shipping, sales may significantly decline.
Maximize Conversion RateOffering free shipping can effectively boost conversions.

The statistic indicates that free shipping heavily influences consumer buying decisions. Thus, to maximize sales and conversion rates, businesses must incorporate free shipping into their offerings, ensuring it aligns with their overall profit strategy.

Source: SaveMyCent

80% of Consumers Desire Free Shipping for Large Orders

Important takeaway:

Implement Minimum Purchase ThresholdsConsumers accept conditions for free shipping like spending minimums.
Drive Higher Order ValuesFree shipping thresholds can boost average transaction size.
Customer Loyalty and SatisfactionMeeting expectations for conditional free shipping increases loyalty.

This statistic implies that consumers accept certain conditions, like a minimum purchase amount, for free shipping. Thus, businesses can drive higher order values through minimum purchase thresholds for free shipping, effectively boosting profits while ensuring customer satisfaction and loyalty.

Source: PR Newswire

Free Shipping Lures 90% of Online Shoppers, Says Study

Important takeaway:

Free Shipping as a Primary IncentiveIt is the most significant driver of online shopping.
Increasing Online Market ShareTo attract more online consumers, free shipping is crucial.
Impact on E-commerce StrategyPrioritizing free shipping could significantly improve online sales.

The data strongly suggests that free shipping is the most potent incentive for consumers to shop online. Therefore, it should be a central element of e-commerce strategies to boost online sales, attract a larger online customer base, and gain a competitive advantage in the online market.

Source: Whiplash

Orders with Free Shipping Boost Sales by 30%

Important takeaway:

Higher Order Value with Free ShippingConsumers tend to buy more when shipping is free.
Positive Impact on RevenueHigher order values significantly improve overall business revenue.
Strategy Shift toward Free ShippingImplementing free shipping could enhance business profitability.

The statistic underlines that orders with free shipping typically have a 30% higher value. This suggests that consumers are encouraged to buy more when offered free shipping. For businesses, this strategy can lead to higher revenues and profitability, justifying a shift toward including free shipping in their customer offerings.

Source: Invesp

Free Shipping Policies Adopted by 74.4% of Retailers

Important takeaway:

Free Shipping: A Common PracticeMost retailers recognize the importance of free shipping.
Competitive NecessityTo remain competitive, free shipping is a requirement.
Strategic Alignment with Market TrendsRetailers not offering free shipping might be at a disadvantage.

The data suggests that free shipping is a widely adopted practice among retailers, highlighting its significance in contemporary e-commerce. Businesses not offering free shipping may be at a competitive disadvantage. Therefore, alignment with this trend is necessary to maintain a strong market presence.

Source: Digital Commerce 360

High Shipping Costs: Top Reason for Cart Abandonment

Important takeaway:

Shipping Costs and Cart AbandonmentHigh shipping costs significantly deter online purchases.
Necessity of Free ShippingFree shipping can reduce cart abandonment rates.
Enhancing Conversion RateLowering shipping costs can lead to improved conversion rates.

The data underscores that high shipping costs are the primary reason for cart abandonment, implying a strong deterrent for online purchases. To reduce cart abandonment and improve conversion rates, businesses must consider implementing free shipping as a part of their e-commerce strategy. 

Source: Convertcart

76% of Generation Z Consumers Insist on Free Shipping

Important takeaway:

Targeting Generation Z’s PreferencesFree shipping is a key expectation among this demographic.
Adjust Strategy for Younger AudienceGen Z’s preferences must shape e-commerce strategies.
Long-term Customer AcquisitionCatering to Gen Z’s demands could secure future market share.

This statistic emphasizes that the majority of Generation Z expects free shipping, suggesting it’s a vital aspect of their online shopping experience. Businesses should adjust their strategies to meet these expectations to attract and retain this younger demographic, which could lead to sustained growth and profitability in the long run.

Source: National Retail Federation

Free Shipping Expected by 77% of Generation X

Important takeaway:

Generation X’s Shipping ExpectationsFree shipping is a crucial factor for this demographic.
Modifying Business StrategyCatering to Gen X’s expectations is critical for customer retention.
Building Loyalty with Established ConsumersMeeting Gen X’s demands could ensure a loyal customer base.

The data indicates that a substantial majority of Generation X expects free shipping. To retain this well-established consumer segment, businesses should modify their strategies to include free shipping. Fulfilling these expectations could enhance customer loyalty, and thus, maintain a steady revenue stream.

Source: Air Cargo News

61% of Millennials Expect Free Shipping, Reveals Survey

Important takeaway:

Implement Free ShippingMajority of millennials expect it, not offering could lead to lost business
Evaluate Shipping Cost StructureIntegrate cost into pricing if free shipping is offered
Target Marketing for MillennialsLeverage their expectations in marketing messages

The high percentage of millennials expecting free shipping highlights the importance of adjusting business strategies. Free shipping is no longer an add-on, but a requirement to engage and retain this demographic in the current ecommerce climate.

Source: The Dead Pixel Society