" Case Studies "
How Deskify Offered Free Shipping
and Grew Their Customer Base
- DelGate Team
About Client
Deskify, a small to medium-sized enterprise within Canada’s competitive furniture market, faced a significant challenge: the high cost of shipping, which prevented the brand from offering free shipping—a key sales driver in the industry. This case study examines how Deskify overcame this hurdle by partnering with DelGate, a company specializing in delivery, fulfillment, and distribution services, to implement a free shipping strategy that expanded their customer base.
The Challenge
Before collaborating with DelGate, Deskify struggled with the high operational costs associated with shipping large items like furniture. These costs made it economically unfeasible to offer free shipping, which in turn limited their competitive edge and market growth. Their primary goal was to find a cost-effective way to offer free shipping to attract more customers and increase sales volume.
DelGate’s Innovative Solutions
DelGate provided strategic solutions tailored to reduce shipping costs and
streamline Deskify’s distribution network:
streamline Deskify’s distribution network:
Optimized Logistics Network
DelGate analyzed the existing shipping routes and logistics to optimize the distribution paths and reduce transportation costs. This included centralizing warehouses and partnering with local carriers for last-mile deliveries.
Volume Discounts
By consolidating shipments and increasing the volume of deliveries, DelGate negotiated lower shipping rates with carriers, which made it economically viable to absorb shipping costs without impacting profit margins.
Technology Integration
DelGate implemented advanced logistics software that optimized routing and inventory management, reducing wasted space and improving delivery times.
Marketing Strategy Alignment
DelGate worked closely with Deskify to develop marketing campaigns centered around the new free shipping offer, targeting both new and existing customers to maximize market penetration.
Results
The implementation of DelGate’s solutions brought remarkable results
within the first year:
within the first year:
Increased Customer Base
The introduction of free shipping led to a 50% increase in new customer acquisitions. Existing customers also increased their purchase frequency, attracted by the enhanced value proposition.
Boosted Sales Revenue
Despite the initial concerns about cost, the overall increase in order volume resulted in a 30% rise in annual sales revenue, offsetting the increased operational expenses.
Enhanced Competitive Position
The free shipping offer allowed Deskify to effectively compete with larger retailers, improving its position in the market and enhancing brand loyalty.
Conclusion
The partnership between Deskify and DelGate transformed a significant barrier—high shipping costs—into a strategic advantage, enabling free shipping and catalyzing growth in both customer base and revenue. This case study demonstrates the effectiveness of leveraging optimized logistics and strategic partnerships to overcome market challenges and drive business growth.
Future Outlook
Moving forward, Deskify plans to continue refining its shipping strategies with DelGate’s assistance, exploring sustainable shipping options and further enhancing customer service capabilities to support its expanding market presence. This ongoing commitment to innovation and customer satisfaction is poised to keep Deskify at the forefront of Canada’s furniture market.
