Flat Rate Shipping Arrives: Press Release

Posted July 11, 2013 – 12:56 pm in: Wholesale Closeout News

This week we rolled out our new policy of $5 flat rate shipping on all orders. Check out this press release that went to media outlets detailing this new opportunity


Headline: Flat Rate Shipping Arrives at Leading Wholesale Apparel Distributor

Unforeseen shipping and handling costs can be very frustrating for online shoppers. In an unprecedented move, Madison Avenue Closeouts is now offering $5 flat rate shipping on all orders, while still maintaining their prices at well below wholesale.


Madison Avenue Closeouts, an online wholesale apparel distributor, always seeks new ways to bring customers upscale, quality products at below wholesale prices. The MAC team has found a way to give customers even more value by eliminating pesky shipping and handling charges that creep into customer’s shopping carts. Too many customers abandon their online shopping carts due to unforeseen shipping charges, clearly indicating the need for a change. Making an unprecedented move in the wholesale apparel industry, Madison Avenue Closeouts rolled out a new policy this week offering a $5 flat rate on every order.


Research has shown that nearly 63% of customers abandon their purchases when faced with excessive shipping charges1. Madison Avenue Closeouts takes pride in understanding their customers and recently noticed that some were leaving their shopping carts during the checkout process. Knowing that customers use shipping charges as the second highest factor (behind product price) when comparison shopping online2, the MAC team was challenged to find a solution for the abandoned cart problem.

flat rate shipping

The team spent time investigating industry practices and marketing research about company’s shipping policies and consumer behavior. One study found that 54% of respondents chose free or flat rate shipping as the most favorable discount or special leading to their future purchase intention3. Considering this, the idea was raised, “What if we could make shipping a flat rate, so our customers know exactly what they will pay before they ever get to the checkout?” This might seem crazy but the MAC team felt it could be done, and done well so both parties would benefit.


The first step was finding the shipping cost per piece of apparel on an annual average. Then determining if the shipping and handling cost could be incorporated and leveled out with a flat rate per order. The wholesale distributor concept is to buy large quantities of overstock apparel at liquidated prices, break down this apparel into logical collections perfect for the independent retailer or small boutique, and offer these collections at below wholesale prices. Because Madison Avenue Closeouts is able to work with their apparel sources to ensure the lowest price per item, it was possible to offer customers a $5 flat rate per order to cover shipping charges.


The wholesale apparel company believes in offering the best value in the industry with a personalized touch. Setting a flat shipping rate of $5 per order allows the MAC customer to find perfect merchandise for their store without being deterred by sneeky shipping fees. This also aids in keeping the price per piece lower for the retailer. Madison Avenue Closeouts knows there is nothing more frustrating than a customer going to their shopping cart and realizing the final cost is more than expected because of shipping and handling. That is why from this point forward: MAC Customer Final Cost = Product Price + $5, every time they order!”


Check out the great wholesale collections and take advantage of $5 flat rate shipping from Madison Avenue Closeouts @ www.madisonavenuecloseouts.com


1. David K. Williams, “What is the ideal method to charge for shipping.” (15 May 2013). Forbes.com. Accessed 10 July 2013.


2, 3. “Shipping costs heavily affect online customer behavior, loyalty.” (5 June 2012). Marketingcharts.com. Accessed 10 July 2013.



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