Discover how strategic free-delivery thresholds can reduce cart abandonment, boost conversions, and increase average order value for your ecommerce store.
Shipping cost is one of the biggest deciding factors for online shoppers — and one of the most common reasons customers abandon their carts.
Whether they realize it or not, the moment customers ask themselves “How much will delivery cost?” or “Is this worth paying extra for?”, their purchase decision changes instantly.
Today’s customers expect fast delivery, predictable timelines, and above all — free shipping thresholds.
Studies show that a major portion of online shoppers back out when unexpected delivery fees appear at checkout. With cart abandonment rates hovering around 70%, offering strategic free delivery can dramatically improve conversions, customer satisfaction, and average order value (AOV).
Below, we break down how and when to use free delivery to your advantage — without hurting your margins.
“Free delivery” isn’t truly free — the cost has to be absorbed somewhere. But when used carefully, it becomes a powerful growth lever.
Instead of offering blanket free delivery all year, businesses can use it strategically to:
Here are smart ways to use free delivery as a promotional tool:
Still the most popular method — and one that directly lifts AOV.
Great for converting email or SMS sign-ups into paying customers.
A powerful alternative to discounts, especially during holiday sales.
Ideal for clearing excess inventory or boosting new product visibility.
And yes — shoppers do change their behavior to qualify.
Nearly half of online customers add extra items just to reach the free delivery threshold.
Setting the right threshold is crucial. If it’s too low, you lose profit. Too high, and customers won’t bother.
A good starting point is analyzing:
If your AOV is $50, setting free delivery at $65–$70 often nudges customers to add one more item.
MOV helps avoid being skewed by unusually large or unusually small orders.
You can also use order patterns, customer location, and product type to create smarter thresholds.
Many merchants A/B test multiple thresholds until they find the “sweet spot” that increases AOV without hurting margins.
Place subtle reminders throughout the shopping journey — banners, cart messages, or checkout nudges — to show customers how close they are to free delivery. This alone can meaningfully increase overall basket size.
Offering free delivery becomes much easier when you reduce your cost per order.
Many online businesses find that relying solely on national carriers leads to high fees, surcharges, and unpredictable delivery times. Customers also experience delays — especially during holidays or peak seasons.
To reduce costs and speed up fulfillment, brands often explore:
Local delivery is often faster and cheaper than outsourcing to large carriers — and customers love supporting nearby businesses.
Shopify data consistently shows higher cart sizes when local pickup is available.
These can offer better rates, personalized service, and more flexibility.
Beyond cost savings, local delivery creates opportunities for branded experiences. Businesses can add personalized thank-you cards, premium packaging, or custom notifications — all helping build stronger emotional connections with customers.
Tools like Scrollengine help automate local delivery workflows, optimize routes, and create branded delivery notifications that elevate the entire customer experience.
Faster fulfillment becomes possible when inventory is stored near your buyer base.
Analyzing order data can reveal:
When merchants store products in strategically located fulfillment centers or micro-warehouses, delivery becomes cheaper and faster — making free delivery much easier to sustain.
However, new storage locations come with added costs.
Before expanding, evaluate:
As your store scales, outsourcing logistics to a fulfillment network or using hyperlocal delivery partners can significantly improve checkout conversions.
Free delivery can dramatically increase conversions, reduce cart abandonment, and motivate customers to spend more — but only when implemented strategically.
Your ideal free delivery threshold will depend on your margins, inventory, and customer behavior, and it will evolve as your store grows.
Test different thresholds, keep an eye on your AOV and costs, and refine your strategy during peak seasons.
If you want to make local delivery faster, cheaper, and easier to manage — Scrollengine can help.
Offer smarter, faster, and more reliable local delivery — while keeping costs low and customers happy.
👉 Try Scrollengine’s Local Delivery + Pickup – SE for your Shopify store today.