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Many eBay sellers have debated the effectiveness of free shipping in driving sales over the years. It’s time to face facts and put this argument to rest.
eBay’s search algorithm prioritizes listings with free shipping so listings that fulfill this criteria are more likely to show up higher and more prominently on the search results page.
Why? Because buyers tend to filter their search results to omit listings without free shipping.
Most buyers are so used to enjoying Free Shipping that they no longer expect to be charged for it. What is the solution then? Show your final price up front with Free Shipping.
References: *Primary reason why digital shoppers in the United States abandon their carts in 2016 and 2017, Statistica, 2017
We know international shipping options are expensive, but here’s the open secret: Free Shipping isn’t really “free” – the costs are just shifted around so you can still earn enough while keeping your buyers happy. If you’re not able to absorb the cost for your buyers completely, there’s a way you can still offer free shipping. Simply price competitively and list under “Free Shipping” to enjoy additional traffic and views.
There is a common perception that eBay only recommends free shipping to earn more fees. Let us prove you wrong.
Here’s an illustration of how the eBay fee works. You have a selfie stick valued at $10. You can list it as $10 with an add on $5 shipping charge, or $15 with “Free Shipping”. If the Final Value Fee (FVF) is based on 10% of the total sale price, including shipping, then this is the outcome:
Selfie Stick Price
$10
$15
Shipping Fee
$5
$0
Total Paid by Buyer
$15
$15
eBay FVF (10%)
$1.50
$1.50
As you can see, the FVF due is the same! eBay does not earn additional fees from this listing optimisation method. We’re promoting this best practice simply because it’s proven to help our sellers sell more!
Listing a New Item: Under “Shipping Details”, select a Flat fee. “Flat: same cost to all buyers” of $0 for Domestic and International Shipping.
On the Seller Hub Listing page, select “Edit all listings” from the dropdown menu.
Select “Shipping (Domestic)” and “Shipping (International)” and edit as you would when you list a new item.
Change your listings to “Free Shipping” with these few simple steps and see your business boom!
