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Should You Offer Free Shipping on Merch?

By The Merch Counter team · Updated · 2 min read

Bluewater Bottle from Bluewater Surf Shack, as listed on The Merch Counter
Bluewater Bottle from Bluewater Surf Shack, one of our demo shops.

Free shipping can help you sell more merch, because customers dislike seeing an extra charge at checkout. But shipping is never actually free: either you include it in your prices, or you pay it out of your earnings. It's usually worth it when your prices still look reasonable with shipping built in, or when you sell mostly small, cheap items where a separate shipping charge feels out of proportion.

How each option works on The Merch Counter

Option 1: customers pay shipping. Shipping is charged at cost and shown at checkout. Your earnings per item stay exactly the same.

Option 2: free shipping. We add each item's shipping to its listed price, so the price on your shop is higher and checkout shows shipping as free. Two details:

  • The 20% fee isn't charged on the shipping part of the price.
  • Each item carries its full single-item postage, because a listed price can't depend on what else is in the cart. A multi-item order ships in one parcel for less than that, so it collects more postage than it costs, and the difference goes to you. The one case that can cost you is an expensive destination, where the real postage can be higher than what was built into the price.

The case for free shipping

  • Fewer abandoned carts. A surprise charge at checkout is the most common reason people don't finish buying: in Baymard Institute's research, 40% of shoppers who abandoned a checkout blamed extra costs such as shipping, tax and fees.
  • A simpler offer. "$34, free shipping" is easier to say yes to than "$30 + shipping".
  • Small items make more sense. A separate shipping charge on a $5 sticker can feel out of proportion.
  • It's a selling point. You can say "free shipping" in posts and on your shop.

The case against

  • Higher listed prices. A tee that was $30 now shows a higher price, which can look expensive next to other shops.
  • Less transparency. Some customers prefer seeing what the product costs and what shipping costs.
  • Postage you absorb. On an order to an expensive destination, you may cover part of the postage.

When to choose which

Choose free shipping if…Choose customer-paid shipping if…
You sell lots of small items (stickers, mugs)You sell mostly higher-priced apparel
Your prices still look normal with shipping built inYour prices are already at the top of the local range
You want "free shipping" as a selling pointYour customers are price-sensitive and compare
You're running a holiday or launch promotionYou want maximum transparency

Try it, then decide

You can switch between the two in your shop settings. One approach: run your launch with customer-paid shipping, then try free shipping for a holiday season and compare orders in your dashboard.

Related: Merch Pricing Guide

Keep reading

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