Discussions | Announcements | Konga Seller Academy | Go back to Konga Mall
  • The Power of FREE SHIPPING.

    Selling on Konga Created 3 years ago | Updated 3 years ago
  • Bret E Bret E Konga Moderator
    Dear Merchant,
    
    It is very important you read this message and I'll be very happy to explain if anything is unclear.
    
    WHY FREE SHIPPING?
    Consider the following two scenarios for the same item - 
    
    1. Item X is sold by Merchant “A” for N20,000 with a shipping charge of N1000. Total Price is N21,000.
    
    2. Same product is sold by Merchant “B” for N21,000 with “Free Shipping”. Total Price is N21,000.
    
    Konga's internal data shows that the power of the free shipping message increases sales volumes by over 130% in some instances.
    
    There are exceptions:  This strategy does not necessarily work for very low-priced items (less than N1,000). There are however other options even in this case e.g. Seller can create a bundle a multiple of these low cost items and sell them as one while offering Free Shipping.
    
    WHAT NEXT?
    Konga would recommend the following approach to allow Free Shipping is every major Nigerian city based on the K-Express Shipping Rates
    
    STEP 1 - PRODUCT WEIGHT: You will need a good understanding of the weight of your items. You should have previously entered this on SHQ so lets assume you already know this.
    
    STEP 2 - INCREASE THE PRICE OF PRODUCTS: Add N1,000 for the first KG and additional N100 for each additional KG to the cost of your products. When you have updated the price of products, proceed to reduce shipping charges.
    
    STEP 3 - INCREASE SHIPPING CHARGES. In Delivery Settings, set Every Major City to Zero Naira for the first Kg and Zero Naira for additional Kg. 
    
    For the outlying areas of Nigeria (E.g. Rest of Oyo, Rest of Plateau, Rest of XXXXX etc) set N500 for the first Kg and N100 for additional Kg.
    
    FOR EXAMPLE:
    Product “C” currently retails at N5000 and weighs 3KG. 
    Add N1,200 (First Kilo is N1,000 and next two Kilos are N100 + N100)
    So new retail price would be N6200 with FREE SHIPPING
    
    The effect of this is that you will be able to see substantially higher orders while not subsidising shipping.
    
    Good luck trading. Let us know if any thing is confusing and we will be happy to explain.
    
    Bret
Discussion has been closed

Comments

  • tF
    teju F Konga Moderator
    Posted 3 years ago
    Hello all,
    
    We appreciate all feedback and concerns shared. While we encourage you to offer free shipping to your buyers to increase sales, the decision to do this rests solely on you. However note that Konga Mall does not encourage hidden charges on any product sold on the platform. 
    
    For shipping charges included in the product price, note that Konga will charge for commissions based on the total product price.
    
    Subsequently, we will be sharing with you ways to factor your shipping costs into your product prices putting into consideration the commission charges that will be deducted without making a loss.
  • OA
    Olajoke A S
    Posted 3 years ago
    @Bret
    I have been waiting for you to answer Jumoke question but seem there is some delay. Will be happy if I can a response to how konga will charge commission when free delivery is offered. Is it after delivery deduction or is it in selling price. It not a lot of difference but every little helps.
  • AD
    Adebanjo D B
    Posted 3 years ago
    Hello Bret, 
    
    as much as I am eager to read of your response to Jumoke's question, I will also need clarification to an issue
    
    talking about this free shipping; how do we get to deal with buyers who reject an item when it gets to them, of which the buyer already paid for the shippibg?
  • EI
    Emeka I S
    Posted 3 years ago
    Dear Moderator,
    If i set my shipping to FREE and of course increase my product price, what will Konga commission be based on?
    A. Commission based on Product price
    B. Commission based on Product price - Hidden shipping rate
    or...?
    
  • DA
    Dare A S
    Posted 3 years ago
    Without trying to sound like a parrot, I support the totality of Jumoke J's comment
  • oo
    olabisi o B
    Posted 3 years ago
    Hi,
    If Konga needed to make changes, they should have gradually. @ Konga has beaten more than they can chew with this new shq and if u ain't quick to find solution or go back to the way it was, u will be surprised that customers might not revisit Konga platform again because new platform keep springing up by the day. Stop trying to convince sellers to engage in free shipping! When you haven't put everything in place for that. The self fulfillment won't work for some category of pple that have shops or sell on large scale just a minority hustlers wouldn't mind. (transport of #500 isn't cost effective for everywhere in lagos + traffic and if I may add, customers will start negotiating with you in person what they would hv easily paid for if it was delivered by courier).
    Also sending automated msg to customers to confirm orders won't work because they have received orders and won't revisit till they need to buy something else. Instead, offer incentive to customers to rate product bought from their platform irrespective of whose store it was bought e.g Konga should send qualify for % off your next purchase if you leave a review. This is week 2 that orders gave reduced drastically most merchants nd buyers will start seeking for alternative. You guys can learn from amazon for example group merchants selling same items together but merchants will be differentiated with their cost nd shipping rate so that comparison can be easy and mouse over to see various sizes nd colours especially in shoes. You can then add your own extras customized pod for naija!, charges will be different for pod and prepaid customers where the former will be higer.
    I fall under baby category nd get lots of returns especially with shoes, you need to create more product sizes like 4 uk(21.5) nd 4uk(32), newborn sizes, 0-6 months, 6-12m etc. so buyers dnt keep buying shoes based on age( lol) yeah I get that a lot and that makes me cancelled a lot of orders without actual Shipment after calling to confirm with buyers. The least is endless!. Konga needs to look out for merchant satisfaction before moving to customers otherwise you won't be hearing nice things from customers Bcos the platform is preaching communication BTW both parties. I will stop here for now.
  • Bret E Konga Moderator
    Posted 3 years ago
    @oluwatoyin. It may take a little bit from your SHQ settings to synch with the catalog. Give it a bit of time and it will reflect soon.
  • oe
    oluwatoyin e S
    Posted 3 years ago
    Hello,
     I set free shipping to my lagos orders and it still comes up with shipping charges when buyers try to check out.How do I go about that?
  • Bret E Konga Moderator
    Posted 3 years ago
    @Nnamdi...clever point also. This will be part of the functionality. You will be able to offer free shipping on a product. 
    
    Please keep the input coming.
  • Bret E Konga Moderator
    Posted 3 years ago
    @Arinze...strong point. We are working on a free shipping badge now. Its in the pipeline.
    
    It will let buyer see if free shipping is offered by a seller. on hover over, it will show what city free shipping is offered to.
    
    See attached.
    
    Should be ready in two weeks.

Howdy, Stranger!

It looks like you're new here. If you want to get involved, login with your konga credentials!