I've been selling tons of stuff and need to find out what is the best shipping solutions. I have decided that I will not go with the FREE SHIPPING method. I just don't have time to edit 1000 + items and calculate the shipping price into the item. So right now I have it setup as calculated based on weight and location it's going to. USPS First Class and USPS Priority are the 2 options. Now USPS first class is only up to 13 ounces. When people buy more items from me that total over 13 ounces it will show USPS First class mail price as doubled. USPS Priority shows it right but it doesn't understand that USPS First class can only go to 13 ounces. Also at checkout in the new cart you have to press the other shipping method to even see it. Basically my problem is that on combined packages buyers are getting overcharged. I see some people also do flat rate. $4.95 flat rate on all items no matter the size. Is this a good way to go with? On small items like earrings where it's 1 ounce to ship it almost doesn't make sense to charge $4.95 as it will raise my price and i'll lose sales. On the bigger items i might be losing money. Also how would i deal with international mail? I can't do a flat rate on that since it varies so much based on weight. Anything over 4lbs and it can't be USPS First Class mail and then it costs so much to ship. If you're a big show how are you managing your shipping costs? Any suggestions?
My last E-commerce store I had a flat rate £3.95 and then free over £99.00, so it encourages people to spend more. Before that I used weight. I'm honest in saying its a mine field, I've never really come to a conclusion what is the best. What you need to find out is what you're most common order sizes are. For instance, if 50% of your orders are between £49-59, set delivery at say £65.00, and it encourages people to always spend more.
We sell on eBay and found that sales increased dramatically when we offered free shipping. Obviously you are not selling via eBay, but may still be something to consider as it seems to draw in the customers. This article may be useful in discussing why free shipping is useful: http://www.seohosting.com/blog/marketing/why-you-should-offer-free-shipping-to-your-customers
I think that Free shipping is best... i've read studies that more more and more stores are switching to this model as it boosts conversion rates. The shipping price should just be inside the product cost (meaning that if someone orders 3 products, you are in extra profit)... Check out the site in my signature as an example... the sites I link to convert very well because they don't have the shipping issue
I use free shipping for US and Canada only.(for over $150 in purchase)For the rest of the world I have taken a estimate quotation per country in accordance to the items I sell.It depends on the nature of your product too.