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The most advanced pricing intelligence software, like Minderest, allow you to compare, not only the price of the product, but also the shipping costs. Before just focusing on the numbers, we should look further into this comparative to determine if we are measuring in the correct manner.
There are various reasons as to which adding the shipping cost directly to the product price could be a big mistake, for example:
- Different delivery times; 24h vs. 72h.
- Different companies with different service qualities.
- Home delivery service vs. pick up delivery points.
- Product delivery with or without collection of old item (Large electro-domestics).
- Insured or uninsured shipping.
As well as all these important differences, we can find some products that because of their nature are not purchased as a unit, for example in alimentation, with which it would not make sense to add shipping costs if we do not know the end price of the shopping basket.
Before studying the shipping prices incorporated, we should analyse our sector to get to know how our potential client acts, for the later determination if shipping costs are comparable or not. Once the study has been made, we will have the power to incorporate the shipping costs into our price strategy.
Find out how Minderest can take your business to the next level.
Contact our pricing experts to see the platform in action.
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