Are shipping prices a dealerbreaker for your shoppers? Customers who don’t see a low-cost option during checkout may look to a competitor, abandon their cart, or think twice about buying from you in the future.
To encourage higher conversion rates and maintain your brand reputation, consider adding budget-friendly economy shipping to your online store. It’s ideal for customers who want to save on shipping and don’t mind waiting a few extra days to receive their purchase.
We’ll go over what economy shipping is, how it works, and best practices for e-commerce businesses.
What’s Economy Shipping, and How Long Does Economy Shipping Take?
Economy shipping is a low-cost service that prioritizes affordability over speed. All major couriers, including USPS, FedEx, UPS, and DHL, offer some version of economy delivery, typically through ground-based transport.
Average Delivery Times
Since deliveries may take 2–8 business days domestically, it’s best for purchases that aren’t time-sensitive. The same is true for economy international shipping times, which range from 1–4 weeks, depending on the courier and destination.
Here are the average economy shipping times broken down by carrier.
Core Characteristics of Economy Shipping
Along with more relaxed delivery deadlines, economy shipping has several other core features. Let’s take a look at what separates this delivery method from others.
Lower Shipping Costs
Economy shipping is the most affordable way to send packages. For smaller parcels, starting prices may be under $10, though pricing will depend on the courier, destination, and package weight.
Standardized Carrier Networks
For shipments abroad, couriers such as USPS, FedEx, UPS, and DHL depend on their local partners to fulfill delivery. Although the final to-door carrier depends on the destination, carrier partnerships tend to be well-established and reliable.
Weight and Size Thresholds
If you sell larger products, be aware of different weight and size limits for economy shipping. In general, the maximum weight runs between 70–150 pounds and the maximum length between 108–165 inches. For up-to-date weight and size limits, you’ll want to check your preferred courier’s site.
Minimal Tracking Features
All major couriers offer simplified tracking for their economy shipping services. For example, tracking is unlikely to include real-time updates and instead will show the basic steps, like in transit, out for delivery, and delivered.
Suitable for Non-Urgent Orders
Not all purchases will be suitable for economy shipping. Perishable or otherwise time-sensitive items require a faster service. Economy shipping is intended for non-urgent orders, allowing customers to save on shipping in exchange for a longer delivery time.
Economy vs. Expedited and Standard Shipping
Though delivery takes additional time, economy shipping is the best low-cost option. But what if customers need orders quickly? Let’s compare to other shipping solutions so you can select the right option for your online store.
Economy Shipping vs. Expedited Shipping
Expedited shipping, also known as priority shipping, is the exact opposite of economy. It offers faster delivery for a premium price tag. Most commonly, shoppers and businesses use it for perishable goods, urgent orders, and high-value items.
Economy Shipping vs. Standard Shipping
Standard shipping is the middle ground choice between economy and priority. It offers a balance between affordable shipping costs and semi-quick delivery. On average, shipping takes between 2–5 business days domestically and 1–2 weeks internationally.
While standard and economy delivery windows are similar for domestic orders, they can be much shorter for international shipments. This makes standard shipping a good choice for customers abroad who want an affordable service without too long of a wait.
Economy Shipping vs. Free Shipping Offers
E-commerce stores may throw in free shipping to add value for customers, increasing the likelihood of conversion and repeat business later on. Since business owners pay for shipping in this case, they often choose economy options to save a little money.
Benefits of Using Economy Shipping for E-Commerce Stores
Here’s how economy shipping can impact your e-commerce store:
- Lower cart abandonment: With lower shipping costs, customers are more likely to follow through with purchases.
- Predictable shipping costs for budget buyers: Customers can count on economy shipping to offer them the lowest possible price.
- Scalability for small items: Economy shipping scales well for small, lightweight products, where the per-unit shipping costs stay low even with more orders. This makes it easier to scale fulfillment without increasing shipping expenses.
- Cost control for businesses: Affordable shipping options make it easier for e-commerce stores to offer competitive or free shipping, helping manage expenses and keep customers satisfied.
Limitations and Challenges of Economy Shipping
Shipping can influence the customer fulfillment experience—for better or for worse. Although some customers are keen to save money on shipping when checking out, they may be dissatisfied by some limitations:
- Slow delivery times: Even though they know they’ve picked the slower option, customers may still get inpatient, causing frustration and impacting your brand reputation.
- Risk of increased returns or cancellations: Customers may be more prone to buyer’s remorse when waiting for their purchases, resulting in more returns and cancellations.
- Limited tracking and support: Basic tracking doesn’t give a lot of detail. If the parcel is stuck on one step for too long, customers may lose confidence and reach out to support, creating an uptick in inquiries.
- Not suitable for high-value or urgent orders: If your store inventory mostly contains perishable, urgent, or high-value items, economy shipping options probably aren’t a good fit.
As a best practice, offer a range of shipping options to meet your customers’ expectations for transit times, balancing their needs for shipping costs, timing, and overall reliability.
When to Use Economy Shipping in Your E-Commerce Business
Ready to start implementing shipping fulfillment into your online store? Here are the best use cases for economy shipping.
Budget-Friendly Product Categories
If you offer low-cost products in your store—such as phone accessories, pet toys, and custom art—economy shipping will fit right in with your budget-conscious target customers. However, keep in mind that it doesn’t align well with online store models based on luxury or high-end products, like fine jewelry or electronics.
Non-Urgent Orders
Economy shipping is ideal for non-urgent orders. Customers may not mind a longer wait time for non-essential purchases like home decor, hobby materials, and personal accessories.
Free Shipping Strategies
An effective strategy is to offer free shipping if customers meet a certain cart value, driving conversions while still maintaining profit margins. You can also incentivize e-commerce sales through free shipping on specific items or for first-time customers.
Affordability for International Customers
Shipping costs can rack up for international customers. Economy shipping may help reduce fees while still providing reliable service. To keep costs down, bundle customer purchases into a single parcel, and optimize packaging to be as lightweight as possible.
Cut Shipping Costs and Scale Faster with Genstore
Shoppers who prioritize lower costs often opt for economy shipping. This helps e-commerce stores increase conversions without forcing free-shipping expenses.
Whether you want to add an economy tier to your online store or hand off shipping to a low-cost dropshipping supplier, Genstore simplifies the process. Centralize your shipping operations with us by setting up automated product listing, inventory, and product fulfillment that fits your e-commerce goals and satisfies customers.
Try Genstore today, and custom-build shipping options that drive conversions.