Search Engine Marketing Pros

It is a fact that people like getting deals on whatever products they are buying. If I get a dollar for every time I see a sponsored ad that promises something along the line of “lowest price guarantee”, “price match guarantee”, or “we’ll beat any competitor prices”, I would be a trillionaire. Okay, that’s an exaggeration, but you get my point.

But in a price sensitive market, everyone is trying to offer the lowest prices, and there just isn’t much room for a price war, so what are the advertisers gonna do to get themselves an advantage on prices?

One of the ways is to offer free shipping. Shipping cost usually starts around $10 – $15 up to a ridicules amount depends on the product. By offering free shipping, customers are paying less for the total cost of the product.

But does stating free shipping in your ppc ad copies guarantee you more business? Not necessarily. There are a few reasons for that.

1. If you state free shipping in your ads, your competitors maybe spot that and quickly follow your strategy, and eventually you lose your advantage.

2. Some advertisers offers free shipping, but they bump the prices of their products by the same amount as the omitted shipping charge, which in the end, offers no saving at all.

3. Buy just looking at the ads, free shipping doesn’t state the actually amount customers are saving, which decrease the attractiveness of the deal. $20 off on every purchase probably sounds more attractive than free shipping (but obviously, it depends on the product too).

So, should advertisers resort to free shipping? Only if they can offer the lowest price (or same price as everyone else), and doesn’t pass on the shipping cost to the products. Otherwise, it just becomes another constrain when doing business.

Pitstop Media is a Vancouver based search engine marketing company which offers results oriented PPC services. If you need help with pay per click management and optimization please contact us for a free, no obligation quote. We’ve helped companies reduce their paid advertising cost by as much as 148% and increase AdWords conversion rates by as much as 410%.

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