DTC 384: How to calculate and implement a free shipping threshold on Shopify

Here’s how Pilothouse Meta team improved a client's AOV by 5.38% instantly by adding a free shipping threshold into the checkout cart.

Remember, Q4 (aka the crazy busy shopping season) is right around the corner. So, it's the perfect time to slap that shipping threshold right there in your cart for that extra boost in revenue.

How to calculate your what your free shipping threshold should be

To actually calculate what your free shipping threshold should be, first determine your median order value (MOV) by finding the midpoint in your order values that has an equal number of orders below and above it. 

Set your free shipping threshold higher than your MOV but not too high to avoid cart abandonment

How to implement a free shipping threshold

Create a free shipping rate in your Shopify admin under Settings > Shipping and delivery > Manage rates

Add a condition to the free shipping rate based on the order price and enter the minimum amount for free shipping.

Some more common Shopify apps that show your customers how close they are to free shipping are:

X Away From Free Shipping: This app adds a message and a progress bar to the cart page when the order total is below the free shipping threshold.

Free Shipping Bar: This app displays a fully customizable bar on your website that shows how much more customers need to spend to get free shipping.

Free Shipping Popup: This app shows a popup window on the cart page that tells customers how much more they need to add to their cart to qualify for free shipping.

You can find these apps and more on the Shopify App Store.

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