For e-commerce site shipping fee setup issues

robin222 said:

#1. I should increase the price of my products a bit by offering Free shipping (4-6 days delivery) and paid shipping (2-5 days, $12.99).

#2. i price the product lower and offer flat rate paid shipping ($5.99 fee for orders under $50.)

Currently I am using the #2 strategy and by looking at Google analytics, I see that there are a lot of add to cart events, but the percentage of final payment success is very small. Should I change the shipping method to #1?

I used the #1 strategy before, and I have only been using the #2 strategy for two weeks. Under the same traffic conditions, the conversion effect of the #1 shipping fee method is better (finally completing the payment).

Should I continue to use the #2 shipping fee method to observe? Or is it recommended to change back to the #1 shipping fee method?

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Aryastark007 said:

Since #1 worked better for conversions, I'd switch back. Extra fees at checkout can turn people away, and "free shipping" just feels better to customers. If you’re unsure, you could A/B test for another couple of weeks, but if sales dropped with #2, it’s probably not worth waiting. Have you checked if people are dropping off specifically at the shipping stage?
Once you tried dont forget to let me know what happens robin222!

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robin222 said:

Yes. The customer gave up as soon as they reached the checkout page.
I changed back to shipping method #1

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hideath said:

You've made your tests, and got the results, that's the answer lol,
I'm not an expert in CRs optimizations by any means, but free shipping seems like the obvious winner here,

You might want to do some research for this as well,
Ideally, genuine case studies, there are a ton of data you can learn from without investing to test yourself,
ex:
https://www.shopify.com/blog/free-shipping-and-conversion
https://growthrock.co/ecommerce-free-shipping-case-study/
https://www.goinflow.com/blog/ecommerce-free-shipping/
https://devotedigital.com.au/blogs/...shipping-offers-on-ecommerce-conversion-rates

Results may vary depending on the target audience,
But there are always common practices that works on almost all of them

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robin222 said:

After switching to free shipping, there was a significant increase in conversions for completed purchases today

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de4dot said:

Yeah it's obviously ! People ( customers ) are "stupid", they don't understand that there isn't nothing free in this world. FREE = some commission, in this case price product increase ( that is legitimate )

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Aryastark007 said:

Maybe you should always remember: 'Never underestimate the power of stupid people in large groups.' The more you under stand, its better for your business.

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