Neiman Marcus Free Shipping provides great benefits after the entry of the promotional code “NMSUMMER” in its promotional code box during checkout. This offer applies to all Internet shopping done at the Neiman Marcus website, but is restricted to the bridal registry items, NM Gift Card®, monogrammed items, out-of-stock items, , items that state “Additional Delivery & Processing” or “Delivery & Processing Only, and items that include additional shipping charges. An additional $8 per item is applicable to all additional shipping addresses, and another 5 dollars when shipped to Hawaii, Alaska or other U.S. territories. Furthermore, this offer does not apply to purchases already made, and all non-Canada based international orders must be made over the telephone. Also, free shipping does not apply to such international countries. The Neiman Marcus Free Shipping offer expires on the 29th of June, 2009, at 11:59 PM (EST).
The advantages free shipping provides are many: customers can look into it as additional incentives to place orders that are above a certain dollar level. This breeds customer loyalty, and items that otherwise have lower purchase rates are more likely to be bought with the additional advantage free shipping provides.
Additionally, when free shipping is applied to products in bulk quantities, it reduces the shipping charges. A study showed that online buyers wanted free shipping above all other perks provided. There is a measurable increase in sales after free shipping is included, and it is a very profitable approach. Furthermore, it boosts the value and the impact of the item, which would have otherwise been limited.
Free shipping brings in more customers, by not only encouraging the customers to buy more, and its time-limit constraint is known to create a sense of urgency in encouraging the customer to take immediate action. Neiman Marcus makes free shipping a regular feature of its online website, and functioning on the huge scale that it does, it can easily afford to subsidize the cost of free shipping, much more easily than smaller retailers can. But regardless of its size, giving away shipping is known to cut into profits somewhat, and cause financial problems. However, Neiman Marcus has developed a customer base that is loyal enough to make the required purchases and keep coming back for more, which is why its free shipping policy is more successful than that of many other online retailers. Another reason for its success is that Neiman Marcus’s profit margin is high enough to justify its free shipping costs.
Neiman Marcus has utilized this marketing tool very well. It is a known fact that customers will move on to an online retailer that does offer free shipping to make a purchase as opposed to one which may offer better products, but has no free shipment policy. This well developed marketing strategy has more and more online retailers thronging to it, but none masters its art as well as Neiman Marcus does. The benefits it provides put Neiman Marcus well ahead of its competitors on many different levels.