As a non-US Etsy seller, implementing a free shipping guarantee can be quite beneficial. This means that your US customers get to enjoy free shipping on orders over $35 USD. But how do you balance this without incurring extra costs? By adjusting your item prices appropriately, you can recover the cost of shipping effectively.
Your pricing strategy is entirely personal to your business and should reflect the uniqueness of your brand as well as the value it offers to customers. We’re here to offer some guidance and give you tips on how best to approach this.
Will Adjusting My Item Prices Increase The Total Price For Other Countries?
Adjusting your item prices can indeed raise the total price of your items for other countries (non-US). However, you can choose to review and adjust your shipping prices for non-US buyers. This way, you can distribute the difference across, so that your non-US customers pay roughly the same total as they did before free US shipping was offered.
Pricing Items Over $35 USD
As a seller outside the US or India, to recover shipping costs effectively, consider adjusting your item list prices to cover these costs. Choose a pricing strategy that aligns with your primary customer base as this will apply universally. To adjust the prices of items over $35 USD manually, simply edit your listings. You also have the option of setting up different listing prices for domestic orders and international orders - thus pricing items differently based on shipping costs for local and overseas shipments. Learn how to set this up here.
When considering how best to adjust your item prices to account for shipping costs, here are some strategies:
- Domestic Shipping Price: This works well if most of your sales come from local buyers.
- US Shipping Price: If covering US shipping costs is a concern, use this approach – particularly useful if most of your sales are from US customers.
- Middle Ground Price: If there’s a significant difference between domestic and US shipping prices, meet halfway. For instance: with a domestic price at $3 and US at $10; consider adjusting by $6.
To find out what you currently charge for shipping:
- Click Settings in Shop Manager.
- Click Shipping settings.
- Click Edit next to a frequently used shipping profile.
- Note the shipping charge in that profile – consider adjusting your item prices by this amount to recover shipping costs.
After determining the adjustment value, you can now update your item list prices.
Pricing Items Under $35 USD
For items under $35 USD, here are some ways to adjust your prices:
- Average Shipping Cost for orders over $35 USD: Adjust your item prices by the average cost of shipping these items. A calculation will soon be available in Shop Manager for this.
- Current Shipping Charge: Adjust item prices to what you currently charge for US shipping. Find out how much this is just like with items above $35 USD.
Remember, pricing isn’t all about covering costs – there are other factors to consider as well such as rounding up or down to a whole number. Once decided on an adjustment value, you can update your item prices accordingly.
How To Adjust Your Item Prices
To update your item list price:
- In Shop Manager, click Listings.
- Select the checkbox at the top left to edit all listings, or choose individual listings.
- Click Editing options.
- Click Edit prices.
- Enter your chosen adjustment value next to Increase prices by or Decrease prices by.
- Click Apply to update selected listings.
Remember, if you’ve added domestic & global pricing, the “Everywhere else” price can be changed for multiple listings at once – but domestic & global prices need to be edited individually.
How To Modify Shipping Prices for Other Countries
If you decide to adjust item prices to recover shipping costs and want your non-US customers’ total price to reflect actual costs:
- Decide how much lower your non-US shipping price should be (usually by however much you increased item prices).
- Use this adjustment value; if it’s $3: US shipping becomes free, Domestic shipping becomes free (if previously $3), and international shipping becomes $2 (if previously $5).
To update the shipping profiles for your listings:
- In Shop Manager, click Listings.
- Select all or some of your listings.
- Click on Editing options
- Choose Change shipping profile
- Select appropriate profile(s)
- Click on Apply
Remember that offering free US shipping for orders totaling $35 USD or more is all you need for a free shipping guarantee for your shop.
Wrapping Up:
Offering a free shipping guarantee is an excellent strategy that can give your Etsy shop a competitive edge, particularly in engaging U.S. customers. However, without effective pricing strategies, this could impact your overall profitability. As a non-U.S seller, adjusting your item prices is key to balancing between offering such incentives and maintaining profitability. By implementing these strategies effectively and regularly reviewing them to suit changing market dynamics and customer preferences – you’ll not only cover your free shipping costs but also enhance the competitiveness of your shop in the bustling Etsy marketplace.