Price & marginFree
Free Shipping Calculator
Shows from which order value free shipping pays off. Simulates 7 scenarios (R$ 99 to R$ 299) with higher conversion and average order value, shows the margin left per order and recommends the lowest minimum that keeps at least 70% of your current margin.
- No sign-up
- Runs in your browser
Current operation
Free shipping scenario
How to estimate the order value increase
- Impulse purchases (fashion, beauty): 15% to 25% increase
- Durable goods (furniture, appliances): smaller increase, 5% to 12%
- Replenishment (supplements, pet, grocery): 10% to 15%, because customers already place large orders
If you have never offered free shipping with a minimum, start at the low end of the range. Overestimating the order value increase is the most common mistake.
What this model does not consider
- Carts abandoned by customers who came close to the minimum
- Brand effect: removing free shipping later tends to cause complaints
- Competitors already offering a lower minimum (use the marketplace comparator for context)
- Return costs, which grow with order value
How it works
How to set your free-shipping minimum
The goal is to find the lowest order value at which free shipping pays for itself. The math starts from the contribution margin per order (average ticket minus product cost, taxes and fees) and subtracts the shipping cost you now absorb. Free shipping still makes sense while the residual margin stays close to your baseline margin, because it also lifts conversion and nudges shoppers to add more items to reach the threshold.
Example: an average ticket of R$ 150, a 30% contribution margin (R$ 45) and R$ 22 in shipping. With no incentive you keep R$ 45 per order. Offer free shipping above R$ 199 and the shopper raises the cart to R$ 210; the margin becomes R$ 63 and, after the shipping cost, R$ 41 per order remains, nearly the full margin, with more orders converting.
The practical rule is to preserve at least 70% of your baseline margin: above that, free shipping tends to be worth it; below it, the perk is eating into profit. That is why the tool simulates seven thresholds from R$ 99 to R$ 299 side by side and points to the lowest one that holds ≥70% of the margin, already accounting for the conversion lift and ticket uplift in each scenario.
FAQ
Frequently asked questions
What is the free shipping break-even point?
It's the minimum order value at which offering free shipping still preserves your margin. The calculator simulates 7 scenarios (R$ 99 to R$ 299) and recommends the minimum that keeps at least 70% of your baseline margin per order.
How do I calculate the free shipping threshold?
Add product cost + the shipping cost you'll absorb and compare it to the order value: residual margin = price − product cost − shipping. The tool runs this across all 7 scenarios and weighs the conversion lift and ticket uplift to find the healthy floor.
Does free shipping actually increase sales?
Usually yes: free shipping tends to lift conversion and raise the average order value (uplift), because customers add more items to hit the minimum. The calculator factors in both effects to show whether the gain offsets the margin lost on shipping.
What's the difference between conversion lift and ticket uplift?
Conversion lift is the increase in completed orders driven by free shipping; ticket uplift is the rise in average order value when customers buy more to reach the minimum. The tool models the two separately in each scenario.
Is the free shipping calculator free?
Yes, it's 100% free and runs right in your browser with no signup. Set your cost, shipping and baseline margin, and instantly see all 7 scenarios with residual margin per order and the recommended minimum order value.
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