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When we ask retailers what would get them to spend more with brands on Faire, the first answer is almost always the same: free shipping. In fact, retailers are actually 30% more likely to make a purchase when free shipping is on the table.
But we also know free shipping on wholesale orders is incredibly difficult for independent brands to offer at scale. Not only is it expensive, but brands say the unpredictability of shipping costs can eat into margins, and individual agreements are time-consuming and tedious to track.
This is why we’re launching Insider free shipping in Australia! Insider is our program where retailers see more free shipping on the brands they love and brands get more free shipping shown on their products–without having to cover all the cost themselves.
Starting today, we’re inviting brands to become Insider Partners so even more retailers see free shipping on their brand when the Insider program officially launches in October. When brands opt-in to become an Insider Partner, we’ll pay the shipping costs on eligible marketplace (commission) Insider orders, and partnering brands will pay the shipping costs on eligible Faire Direct (0% commission) Insider orders. Together, we’ll be able to offer higher levels of free shipping to retailers than either of us would be able to offer alone.
How does the Insider Partnership work?
We designed the Insider Partnership so that brands can partner with us to offer more free shipping to top buyers—with Faire covering a lot of the costs. If you are an Insider Partner, starting October when Insider is available to Australian retailers:
- More Insiders will get free shipping on your brand in the marketplace, in addition to a baseline level of eligible Insiders–both paid by Faire.
- Eligible 0% commission Faire Direct Insiders will also qualify for free shipping, which you will pay for as part of the partnership. You’ll only pay when you sell.
Insider uses estimated shipping costs to offer free shipping when it makes financial sense as a way to drive conversion. More specifically, when you become an Insider Partner, Insiders will be eligible for free shipping on your brand when the estimated cost to ship to their location is less than 13% of the total order amount. Eligible Insiders will see free shipping on your brand before they decide to order, so these shipping-cost estimates are based on their location and your prior reported shipping costs.
If actual shipping costs exceed 13% of the order amount, Faire will cover the difference. (If you’d like to offer less free shipping to Insiders, at a lower cost to you, you can choose the Insider Partner Basic option, which uses 10% as a guardrail instead of 13%.)
How becoming an Insider Partner can benefit your business
The quality of a product is always going to be the most important consideration for retailers when making a purchase. After that? It’s free shipping. It’s no wonder then that free shipping is the number one request we get from retailers in Australia and beyond.
Offering more free shipping to Insiders can help you:
- Convert more new customers. Retailers are 30% more likely to make an initial purchase when they see free shipping is offered.
- Build loyalty with existing customers. Retailers reorder 30% more when they get free shipping. They not only place larger orders but also order more often.
- Get more exposure to top buyers on Faire—domestic and abroad: As an Insider Partner, more Insiders in Australia and in North America will see free shipping on your products. Insiders globally drive 80% of Faire sales and buy 2x more overall than non-Insiders, and most of their spend is with brands who have free shipping.
Brands have repeatedly told us that it’s challenging to understand when free shipping will result in a positive return on their investment. To see what this could mean for your business specifically, visit the Insider Partnership page in your brand portal. We’ve crunched the numbers for your brand so you can see estimates for what your free shipping coverage, sales impact, and costs could look like as an Insider Partner—all based on your brand’s data from July 2023 to June 2024.
What else do I need to know about the program?
When is the best time to join the program?
As you consider whether an Insider Partnership is right for your brand, consider opting in before October 6–that’s when we’ll kick off a retailer marketing campaign encouraging US Insiders to shop eligible Australian brands!
What is the difference between Insider Partner and Insider Partner Basic?
We created two partnership options brands can choose from:
- The Insider Partner option offers the most Insider free shipping on your brand. Insiders with estimated shipping costs below 13% will be eligible for free shipping. If actual shipping costs exceed 13%, we’ll cover the difference.1
- The Insider Partner Basic option lets you offer a more limited amount of Insider free shipping, at a lower cost to you. Insiders with estimated shipping costs below 10% will be eligible for free shipping on your brand. If actual shipping costs exceed 10%, we’ll cover the difference.1
While we recommend the Insider Partner option as the most cost-effective way to maximize your growth with free shipping, we recognize every business is different and encourage you to consider your specific business’s needs in choosing your partnership option.
What happens if I don’t opt in?
If you choose not to opt in to the Insider Partner program, eligible Insiders in the marketplace will still see free shipping on your brand at a baseline level and your 0% commission Faire Direct customers will not have free shipping on your brand through Insider. (Faire will still cover 1 year of free shipping for new retailers you bring to Faire as part of the Faire Direct sign-up offer, separate from Insider).
How will Insiders know if my brand offers free shipping?
An Insider free-shipping badge, like the one above, will show up on your brand’s products and shop page. Insider free shipping requires that a retailer place an order of at least AUD $450 or AUD $750 to qualify for free shipping. These minimum order amounts allow us to offer free shipping on a wider range of orders and are different from the order/reorder minimum you set for your store.
How much more free shipping will Insiders see on my brand if I become an Insider Partner?
When you opt to become an Insider Partner, we’ll expand your Insider eligibility so that more Insiders can enjoy free shipping on your brand. Insiders will see free shipping when the estimated cost to ship is below a certain threshold: 13% of the order size if you select the Insider Partner option and 10% if you select Insider Partner Basic.
We use the retailer’s location and your prior reported shipping costs in our estimate, and this eligibility applies to both marketplace and Faire Direct relationships.
Whether you opt in or not, Faire Direct commission will remain at 0%, and Faire will continue to pay for sign-up discounts and one year of free shipping for any new retailers you bring to Faire.
For more FAQs related to the Insider Partnership, visit our help center.
- Note that if you’re using Ship on your own, we’ll only be able to reimburse the shipping cost on your payout up to an approved amount for those orders. ↩︎
- Note that if you’re using Ship on your own, we’ll only be able to reimburse the shipping cost on your payout up to an approved amount for those orders. ↩︎
