webkodingBrowse plugins

Free tool

Free shipping threshold calculator

Where to set “free shipping over…” so that the extra spending it encourages covers the shipping you give away.
Suggested threshold
US$57.00
Extra spend needed per order
US$12.00
Increase on current AOV
26.7%

How it is calculated

Extra spend needed = shipping cost ÷ gross margin — the additional sale whose profit pays for the shipping.

Suggested threshold = current average order value + extra spend needed, rounded up.

This is a starting point, not a law: test it, and watch whether average order value actually rises to meet it.

Questions

Why not set the threshold at my average order value?

Then most orders already qualify and you pay shipping on them without getting anything back. The threshold works when it sits just above what people usually spend.

Is free shipping worth it at all?

Unexpected shipping costs are the reason shoppers most often give for abandoning a cart. A threshold lets you remove that objection while making customers earn it.

What if the threshold is far above my AOV?

That means your margin is too thin to absorb shipping easily. Consider a smaller threshold with flat-rate shipping below it, or building part of the shipping into prices.

Related calculators

Every free tool

Marketplace and payment fees