Dive Brief:
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Mobile shopping app Spring announced Monday that anyone shopping there will enjoy free shipping “on everything. Forever,” meaning there are no limits on size of order and the deal isn't just for a limited time, two common caveats for free shipping.
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The startup will also honor existing free shipping deals from retailers, like free two-day shipping, that best its own policy.
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The company garnered $25 million in a funding round in April.
Dive Insight:
This is the kind of move that could propel more retailers to find ways to make it easier for customers to get free shipping on orders. And it could drive more shoppers to Spring and away from retailers' own sites or apps.
Target earlier this year drastically lowered its free shipping minimum, for example, and more e-commerce-minded retailers like Zappos and Warby Parker have long considered shipping costs to be their problem and not their customers’.
When a company unveils a costly new feature shortly after a lucrative funding round, it’s hard to know what the costs will do to the bottom line. But shipping and delivery are already a tense area for retailers — a way to lure shoppers as well as a significant cost. This move is likely a further breakdown of retailers’ ability to pass that significant cost onto consumers, at least not explicity through shipping fees.