FROM CACHE - en_header
Return management just got easier! We’ve launched Customer Self-Serve Returns to all Shopify merchants. Click here to learn more!

Free Shipping Question

Crosby19_sean95
New Member
3 0 0

Still new to ecommerce and dropshipping in specific. If I offer free shipping to my customers how does that work? For example, right now I'm looking at a product that has a listing price of $14. The shipping time is 4-7 days and it costs $10 to ship. The suggested retail price is $28. If I want to offer free shipping, am I essentially purchasing the product from the supplier for $24? If I want to maintain a $14 profit, should I bump up the price to $38?

Replies 2 (2)
JoesIdeas
Shopify Expert
1769 154 462

Yes that's correct.

 

I would experiment with free shipping thresholds, for example free shipping for orders > $50. That can help you increase your average order value because people will add more products to unlock the free shipping bonus. That also helps you maintain profit margin for single item orders.

• Creator of Order Automator (app to save time + automate tasks, monitor orders, tag, fulfill, FBA)
• Shopify developer for +10 years
• Contributor on the Speed Boostr blog
• Guy who likes to help people
Crosby19_sean95
New Member
3 0 0

Thank you for the confirmation! I just wanted to make sure I was going about it the right way. I sent you a dm in regards to another issue I'm running into. I would appreciate the help. Thanks!