"Free shipping on orders over $50" is one of the most reliable ways to raiseaverage order value. The trick is setting the threshold at the right number — high enough to grow orders, low enough that shoppers actually reach it.
Why a threshold works
Shoppers hate paying for shipping more than they mind spending a little more on product. A threshold turns "pay $6 shipping" into "add $8 of product and shipping's free" — and most people take the deal, adding margin-rich product instead of paying a flat fee.
How to set the threshold
Anchor it to your current average order value, then nudge up:
Threshold ≈ Average order value × 1.15 to 1.3
If your AOV is $42, set the threshold around $50–$55 — a reachable stretch (one more small item), not a wall. Setting it at $90 just makes shoppers pay for shipping or abandon.
Make sure it still profits
Free shipping isn't free — you absorb the cost. It only works if the extra product added covers the shipping you give away. Check the maths against yourmargin:
Shipping costs you $6. A shopper adds $10 of product at a 55% margin = $5.50 of gross profit — roughly covering the $6, and you've grown the order and the customer relationship. Add more, and it's pure upside.
Show progress to the threshold
The threshold only works if shoppers know about it. A cart message — "You're $8 away from free shipping" — is one of the highest-converting nudges in ecommerce. Pair it with a relevantcross-sell so the shopper can close the gap in one click.
Combine with bundles
A free-shipping threshold works even harder next tobundles andvolume discounts: shoppers reach the threshold and get a bundle deal at the same time. Packmate puts those offers on your product pages so more carts clear the bar.