Posted: 12/8/2011By: Lindsey Graham
The holidays are approaching, and there's nothing worse than ordering a gift that doesn't arrive on time.
December 16 marks the third annual Free Shipping Day, when more than an estimated 2,000 participating retailers will offer free shipping and guaranteed delivery by Christmas Eve for shoppers in the continental United States. Big-name participants include Barnes & Noble, Bed Bath & Beyond, Radio Shack and Sephora.
But is Free Shipping Day a good fit for small business owners with lower profit margins? Jeffrey Dinslage, co-owner of Omaha, Nebraska-based Nature Hills Nursery, told Entrepreneur magazine that the primary reason his company participates is to engage in business marketing that attracts new customers. However, offering the deals may not be worth it for every merchant.
"Take a look at all the hard costs - the labor, their corrugation or box, the product, all the overhead - and make sure they are still making a profit," Dinslage advised, as quoted by the news source.
If entrepreneurs can afford to participate, the payoffs can be huge, notes Kristine Lewis of Crazyartgrrl Jewelry. In 2009, Lewis received 89 orders on Free Shipping Day - a significant increase from her usual two to five.