One of the essential elements in an ecommerce is the price of the products, and their perception by the potential buyers is a key factor to encourage the purchase. That is why the pricing strategy of an online store should not only focus on issues related to the economic value of the product, but should also be concerned about how to submit their prices on the product page.
The price can be presented in different ways, depending on the costs involved. We will analyse the 3 aspects of the price that most influence the perception of the buyers.
1. With or without shipping costs. This is an important decision that an ecommerce must take: are the shipping costs associated with each particular product or do they represent a fixed amount for the purchase? In the first case, the experts recommend to break down the price by 'product price + shipping costs'; In this way the customer will be clearly presented the value of the product and it will be easier to identify the price differences of different products and different brands, or make a comparison of competitive prices. If you can filter the results by 'price higher or lower' in the category page of the catalogue of your ecommerce, it includes the option of 'price + cheaper shipping costs' so that the customer has access first to the products that they will be cheaper on the whole.
If the price of the shipping costs is applied to the total of the purchase, it is better that it only appears added in the shopping cart. Therefor there will be no distractions as to the real price of each product. A little extra advice? Include in your pricing strategy a discount on shipping costs if the purchase exceeds a certain amount. Your customers will appreciate it!
2. With or without taxes. The presentation of prices with or without taxes depends to a large extent on the buying habits of the consumers of each region and, in any case, of what the regulation indicates. In Spain, the most common is to present the price of the product including the amount corresponding to VAT or IGIC. In an exercise of transparency, you can indicate below the general price what the tax applied is. Generally, not including taxes in the price of the product will be counterproductive for the image of your ecommerce, since the consumer will find themselves later with added expenses when they finalize the purchase.
3. With or without discount. Always with discount. Few things call so much more the attention of a user than to know that they can buy at a cheaper price than usual. Here the question is how to present the prices on offer.
a. With percentage or through the amount. In this case, the recommendation is clear: if you can include both formulas, much better. Why? The numerical dimension of the amount makes it much easier for the customer to compare the price with other brands, and the percentage helps you become aware of the savings you are getting with your purchase. Our product may not be the cheapest a priori without being discounted, but if the amount is somewhat lower than the competition when applying a good discount, it will surely be the one chosen by consumers.
b. Per unit or pack. If the campaign of offers that you are promoting in your ecommerce depends on the purchase of a minimum of units, it is advisable that you indicate what the discount is when choosing a pack. Always point out at what price each unit finally ends and what the discount that is enjoyed in that case. Also, in the dropdown of units to be added to the cart, clarify how many would correspond to a pack. For example, '1 unit, 2 units or pack of 3 units'.
If you still have doubts about how to submit the prices of your ecommerce, we recommend that you take a look at what the competition does. Competitive price monitoring software can help you be clearer about how they manage their prices. In any case, the best way to ensure which pricing strategy works best in your online store is to test the options that you consider most appropriate and analyse the results by campaign. After all, the goal is to promote conversion in your ecommerce, and to achieve it the only key is to see what is most attractive to your customers.