I'd like to add a handling fee per transaction but can't find the ability to do so within the Shopify back-end. I'd also not like to pay for the Order & Product Fees app, as that would null the necessity of the handling fee. Any help would be appreciated!
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This is an accepted solution.
Morgan here from the Social Team at Shopify.
Thanks for reaching out to discuss the idea of charging a handling fee on your shop. Although natively you are correct, there isn't a way to add this, there are a few things that can be done. Whether that is to make up those funds elsewhere, or possibly manipulate your settings to add it.
However, before diving into some options I want to double check the reason for adding a handling fee? The main reason we don't offer this in the admin by default is generally the more additional charges added on to an order at checkout, the more likely the checkout will be abandoned. In turn, lowering conversion rates.
Have you considered increasing your product cost directly, or even increasing shipping rates if you need to include your operating costs there? If you have the option to do either, I recommend adding to your product price. The reason being, it is easier to build value in the price someone is paying for a product they already want and they likely won't think twice about a few dollars here or there on a products actual cost.
If a customer thinks the product they are buying is $20 and then get to the checkout and have added shipping, handling and taxes, that $20 product can easily come out to $35+. Which generally could result in them abandoning the order entirely. This is also likely for higher ticket items as well, but with higher ticket items it is ever easier to hide those extra costs in the product price.
Ultimately, if you want to add this extra cost at the checkout level, and can't just change your flat rate shipping prices (if you use carrier calculated shipping rates) you just need to add a flat $ value on top of the estimated rates at checkout. This way the customer will just see the one total which includes the shipping and handling fees. Here's a bit more on how to do that.
Lastly, the only other solution I can think of is adding the handling fee at the variant level of the product pages. Ie. Customer choose a "4 drawer nightstand" the variant drop down could be (+$10.00), but if they add a "2 drawer nightstand" the variant dropdown could be (+$5.00). This would work if the handling fee differs based on product.
Feel free to let me know if there's another reason for wanting to add a handling fee and we can look at other options. However, as of now, these are the main ways to regain that operating cost.
All the best,
Not a problem, @aarleomal . Happy to help!
That makes sense! Aligning prices with your B&M store and online shop is a very good reason to not absorb the cost within your product pricing, for continuity sake. Thanks for replying back to share what worked out for you.
All the best,
This is one of the things that bothers me about Shopify, they're always trying to insert themselves into dictating how you should run your business instead of just being a tool that your business uses. Who are they to decide "generally the more additional charges added on to an order at checkout, the more likely the checkout will be abandoned" and tell us to how to set our pricing.
It's more of a cop-out answer. The reality is it takes extra design, logic validation, business model validation, dev, QA, support, etc. in multiple cycles to add more functionality. Lots of features, and not enough man-power to get it all done. Life as usual for any dev house. So it becomes someone's job to get impatient customers to simply accept the current limits.
While much of the accepted answer's limitations do apply to many use cases, it does not apply to all. For example, we're trying the "just markup the products" approach, which we can't continue if we're expected to price match other vendors online. For some items, Shopify has actually disabled the items because it violates price gouging policies, when all we're doing is exactly what the accepted answer suggested! (Damned if you do, damned if you don't, sigh). We also can't use the "just use a flat shipping rate" approach, because we already use that for another purpose.
The only correct way for our business model to handle this is to leave the product price exactly as it is on other sites, leave the shipping rate as it is, and add a variable service fee (which is basically a % applied to selected products). However, Shopify does not offer the mechanics (or at least none I've found yet on my plan) to do this. Per the API, /cart/update is limited to "note, attributes, or line item quantities", /cart/change is limited to qty, and /cart/add requires an existing variant_id. So there is absolutely no way I can add a custom item on the fly with my precise unit_price, or adjust an existing variant_id to update the unit_price for a cart.
It's possible I've just outlined an edge case, aka "low priority", aka "will never get done".
So, how can I add a flat $2.00 for handling if I'm not charging for shipping? That is a terrible flaw Shopify doesn't allow for a handling fee. So basically I can increase all my prices to cover for the $2.00 but I don't know which items or how many when all I need is $2.00. Most people will not bail on a $2.00 handling fee especially when they are getting free shipping.