In a lot of blogs that have been given before, we have discussed on the importance and the conveniences that come along with buying crackers online. This advantage might be a great bliss for the consumer. However, it was a great challenge for the retailer and the business. It is important for any business to arrive at a fine line that will stand at an advantage both for the consumer and the business alike. This can be achieved by a concept called the minimum order value.
To understand the importance of the minimum order value, it is mandatory that we understand the pressure that the retailer has with respect to buying crackers online. One of the key advantages of buying things online, including crackers, is that it gives you a comfort and convenience of buying it from the confines of your home. This would mean that there is an increased cost when it comes to the logistics. Earlier, with physical retail, the logistics would be confined to just one physical point. With the advent of e-commerce, the delivery points have increased so much in number, making every household and every address a potential delivery point. This would mean that there is a considerable cost involving Logistics. In all this, there is also a certain profit associated with the sales. For a business to be successful, it is essential that the business makes the profit. If the losses that are incurred because of the cost of the logistics are lower than the prophets that are minted by selling the product, or in this case, the cracker, then the business is running successfully.
To ensure that there is a higher profit compared to the laws, and assuming that the profit margin of the product is almost a constant, it is essential to set a threshold order value above which there can be profits. This particular threshold is called the minimum order value.
Now that we are familiar with the concept of the minimum order value, we would definitely understand the relevance and the importance of this particular quantity in the realm of e-commerce. Some of your business perspectives, it only makes sense for the business to take its shipping costs from the customer who is ordering the product if the cost of the logistics involved is not recovered by the prophets.
Therefore, to get the best deal for the transaction, both for the buyer and seller, especially when it comes to E-Commerce, it is very essential to have a minimum order value. The minimum order value comes with a host of other advantages as well. The seller will include a few packages and combos that will be profitable for the buyer. The buyer will also consider buying the crackers in bulk because of the savings in terms of shipping. Given that there is really an occasion wear crackers are required in loose quantities, it makes a lot of sense for the buyer to buy the crackers in bulk as well. This puts a very light load on the seller and it also makes it comfortable for the buyer in terms of both cost and delivery.
Therefore, when you buy crackers online, it is always a good practice to consider the minimum order value for free shipping of the crackers.