CRO & Landing Pages
Free shipping can increase conversion because it removes one of ecommerce's most disliked surprises. It can also destroy margin if the business pays too much to make every order "free."
A $50 product with $10 shipping and a $60 product with free shipping may be economically identical. Psychologically, they can feel different because the shipping charge appears late and feels like an added penalty.
Suppose free shipping raises conversion by 12% but adds $8 cost to every order. The extra sales may or may not compensate for the reduced contribution margin. Calculate: shipping cost per order; gross margin; conversion lift; AOV change; repeat purchase impact.
"Free shipping over $75" can encourage customers to add an item while avoiding full subsidy on small baskets. The threshold should be based on economics, not a competitor's number.
If shipping is free or free over a threshold, tell customers before checkout. Hiding the benefit until the last step wastes part of its conversion value. Free shipping is an offer decision, not merely a CRO trick. The best version improves both customer confidence and total order economics.
If shipping cost is hurting checkout conversion but universal free shipping would damage margin, contact us. We can model a threshold around your AOV and acquisition costs.