Why the free shipping threshold lift calculator matters
Free shipping thresholds trade margin for volume and basket size, and the right level is a function of your AOV distribution, not a round number. This page turns that decision into a handful of inputs you can defend in a budget review: volume, unit cost, rate of adoption, and time. The output is a planning baseline, not a promise — it tells you whether the idea deserves a vendor quote, a pilot, or a pass.
- • Biggest swing factor: the subsidy you absorb per qualifying order
- • Second-order factor: conversion lift
- • Often ignored: how much the threshold actually raises basket size
What actually changes the answer
the subsidy you absorb per qualifying order moves this number first, then conversion lift. Run a conservative case and an upside case before you commit. If the maths only works in the upside case, treat it as a time-boxed test with a kill date rather than a line in next year's plan.
What to do with the result
Set the threshold roughly 25% above current AOV, then watch the share of orders landing just above it. If that share does not grow, the threshold is too high.
FAQ
What does the free shipping threshold lift calculator work out?
It applies Net gain = sessions × base conversion × lift × order value − cost to the values you enter for sessions per month, current conversion rate, conversion lift from the threshold, average order value at the threshold, monthly shipping subsidy absorbed. Free shipping thresholds trade margin for volume and basket size, and the right level is a function of your AOV distribution, not a round number.
How accurate is this free shipping threshold lift calculator?
Treats subsidy as a flat monthly cost. Model it per qualifying order for a sharper answer at high volumes. Replace the defaults with your own invoice, usage export, payroll data, statement, or vendor quote before making a commitment — the maths is exact, so the answer is only as good as the inputs you feed it.
Which input should I stress-test first?
the subsidy you absorb per qualifying order. Re-run with a pessimistic value for it; if the decision flips, that assumption is the thing you need real data on before signing anything. After that, check conversion lift and how much the threshold actually raises basket size.
Which scenario should I start from?
Start with the preset closest to your situation — lean case, expected case, scaled case — then edit the sliders. Presets are realistic starting points, not benchmarks to match, and every change updates the result instantly.
What should I do after running the numbers?
Set the threshold roughly 25% above current AOV, then watch the share of orders landing just above it. If that share does not grow, the threshold is too high. A useful planning benchmark to compare against: Thresholds set 20–30% above current AOV usually maximise contribution.
Can I share or save this calculation?
Yes. Your inputs are written into the page URL, so copying the link shares the exact scenario you are looking at — the person who opens it sees the same numbers. You can also export the inputs and results to CSV or PDF from the result card and keep it with the rest of your workings.
How this calculator is built
Independently maintained
Written by Sam Doshi and the RevenueLab editorial team. We don't sell the data feeds this tool is built on.
Sourced from primary data
Benchmarks come from public AdSense / Stripe / IRS disclosures and reader-submitted data — never third-party "$X per view" claims. Full methodology.
Last editorial review
Reviewed on a rolling quarterly cycle. Dated reviews are published on the methodology record for each calculator.
Editorial standards
See our editorial policy and disclaimer. Results are estimates, not advice.