In its second-largest acquisition, Amazon buys the company for $970 million.
45% of consumers rank free shipping a 10 on a scale of 1-10 if their purchase is under $25; 65% rank free shipping a 10 for purchases over $100, says new research from Valentine Radford.
Consumers’ expectations of free shipping for online purchases are deeply ingrained in online shoppers’ buying behavior and those expectations go up as the value of the purchase goes up, consulting and research company Valentine Radford reports in its quarterly iCustomer Observer study.
Even at the lowest purchases, consumers expect free shipping, with 45% of consumers ranking free shipping a 10 on a scale of 1-10 if their purchase is under $25. That number grows by nearly 50% when purchases are over $100, with 65% ranking free shipping a 10 for a purchase at that level.
How deeply shoppers hold that belief is reflected in the 67% that ranked free shipping an 8, 9 or 10 for purchases under $25, while 83% gave it an 8, 9 or 10 for purchases over $100. Only 7% ranked free shipping 3, 2 or 1 for purchases under $25; 4% for purchases over $100.