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Free shipping threshold and shipping cost should be reviewed together.
Shipping cost tells you what fulfillment costs. The threshold tells you how much extra order value you need before offering free shipping.
If the threshold is too close to current AOV, the store may pay shipping without gaining enough extra gross profit. If the threshold is too high, customers may ignore it.
Use the Shipping Cost Calculator at /tools/shipping-cost-calculator to estimate fulfillment cost, then use the Free Shipping Threshold Calculator at /tools/free-shipping-threshold-calculator to set the offer.
Free shipping threshold vs shipping cost: what to compare
A free shipping threshold should be compared with shipping cost, gross margin, and average order value.
Shipping cost tells you what fulfillment costs. The threshold tells you how much extra order value you need before offering free shipping.
If the threshold is too close to current AOV, the store may pay shipping without gaining enough extra gross profit. If the threshold is too high, customers may ignore it.
Use the Shipping Cost Calculator at /tools/shipping-cost-calculator to estimate fulfillment cost, then use the Free Shipping Threshold Calculator at /tools/free-shipping-threshold-calculator to set the offer.
Free Shipping
Shipping Cost
Ecommerce Profit
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Calculate profit, cost, and margin for ecommerce, Shopify, Amazon, Etsy, or independent store products.
Markup Calculator
Use this free markup calculator to compare cost, selling price, markup, profit, and margin before publishing a product price.
Discount Calculator
Use this free discount calculator to find discount amount, final price, and savings before running a sale or promotion.
Break Even Calculator
Use this free break-even calculator to estimate break-even units, contribution margin, and revenue before launching or pricing a product.
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Use this free shipping cost calculator to estimate carrier cost, packaging cost, and total shipping cost before setting product prices.
Ecommerce Profit Calculator
Calculate profit per order after product cost, shipping, fees, and ad cost.