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Old 03-13-2002, 12:13 PM   #1 (permalink)
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Food shipping costs

I've used a number of the highly rated stores. In general, there seem to be two approaches
1) low price but high(er) shipping costs
2) higher prices, lower shipping costs

For example, compare Allstar (http://www.allstarshop.com/shop/shop.asp) vs newegg (http://www.newegg.com)

I priced out system components (no case, CD, kpd, mouse) from each and with shipping, they suprisingly came within $1 of each other on an approximately 400 order. The newegg prices were about 6% lower but their shipping costs were more than double. Given that Allstar uses UPS (which I like better than FedEx) and their online system seems to be more efficient, they'll get my order. Neither company has ever let me down.

So the lesson here is that you have to look at the total cost before making a decision. Personally, I dislike low product cost, high shipping cost companies - it feels slightly dishonest.

Phil


Last edited by philba; 03-13-2002 at 12:19 PM.
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Old 03-13-2002, 01:55 PM   #2 (permalink)
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Phil, I could not agree more. I work for a company that has FREE Ground Shipping on all orders within the contiguous 48 states. Our costs are very competitive and we think our clients appreciate NOT having hidden prices once you are at the website. If you need some LCD/CRT Monitors or Plasma TVs take a look at our site.

Jared


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Old 03-13-2002, 02:22 PM   #3 (permalink)
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I'd prefer low cost and actual shipping; and shipping is not expensive by UPS Ground compared to what most sites charge. If an actual amount is charged, customer feels more confident.
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Old 03-13-2002, 02:53 PM   #4 (permalink)
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shahani,

That sounds good but what do you mean by actual shipping? Do you mean you use your own shipping account? Or do you rely on the company to tell you what the actual shipping is. I am only asking to get a better understanding so we can provide our clients the best service.

Jared

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Old 03-25-2002, 08:33 PM   #5 (permalink)
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I don't mind paying shipping costs. Shipping from LA,CA to Burkesville, KY is going to be more than LA, CA to SF, CA.

but I object to "handling" which is a cheesey way to take advantage of customers.

Handling should be built into the price of the goods sold.
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Old 03-25-2002, 08:51 PM   #6 (permalink)
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I had to send a package to Australia today.
It was about 16" by 12" by 6", and weighed about 3 lbs.....

SEVENTY-FIVE DOLLARS!!!

So I think maybe I oughtta go into the shipping biz. You know, visit some interesting places, and get paid for it!

grrrrrrr...
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Old 03-25-2002, 09:20 PM   #7 (permalink)
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Quote:
Originally posted by ejsanford
I don't mind paying shipping costs. Shipping from LA,CA to Burkesville, KY is going to be more than LA, CA to SF, CA.

but I object to "handling" which is a cheesey way to take advantage of customers.

Handling should be built into the price of the goods sold.
On a personal note ... I don't do much in the way of shiping as most of my customers are walk in's ... I am in the process of starting an online store though. My shipping will be the actual shipping cost that ups charges me plus a $0.50 handling fee to cover the box and peanuts ... I know alot of places charge extra for shipping and thats where they make there profit.

Wouldn't most people be happy knowing what they are paying for ? I am going to make a statement on my site saying exactly what shipping is and what the $0.50 surcharge is for .. I think making money off shipping is slightly immoral but surely a company is allowed to cover its costs ?
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Old 03-25-2002, 09:44 PM   #8 (permalink)
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john80y

.50 upfront is Fair & Square.
Folks would know what they are paying for.
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Old 03-27-2002, 07:25 PM   #9 (permalink)
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I think your right john80y. I know I always look at shipping on a site. And if I have to click buttons to figure it out, I'm gone...

My online sales almost always includes shipping (most of my stuff is small). Not only do the customers like it, it's easier for me to keep up with and less work to get into my shopping cart. Plus previously when people went through the payment process on an auction they would forget what the shipping was when they went to pay (now most of the payment services provided that info to the seller).
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Old 03-27-2002, 09:27 PM   #10 (permalink)
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A question upon which there has actually ben research about (D. Kahneman & A. Tversky) ..well actually a variant.

Co. A: Product $5 + shipping $15 = $20.

Co. B: Product $15 + Shipping $5 = $20.

Co. C: Product $20 + Free shipping = $20.
----------------------------------------------------

Who do you buy from ?

What's the diff?

DOOOG

---------------------------------------------------
Errr....Knothead: I'll be your "courier". If DooGs aren't good for carryying packages, who is
No charge. Just pay my airfare , one-way, on Quantas.

Last edited by MegalosSkylaki; 03-27-2002 at 09:32 PM.
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