Shipping is one of the easiest places for an online store to quietly lose money if rates aren't set carefully.
Flat Rate vs Real-Time Carrier Rates
Flat rates are simple for customers but risk undercharging on heavy or distant orders; real-time carrier rates are more accurate but can feel unpredictable to shoppers at checkout.
Factor in Packaging, Not Just Postage
Box, padding, and handling time all cost money — a shipping price that only covers postage quietly loses margin on every order.
Consider Free Shipping Thresholds
Offering free shipping above a minimum order value often increases average order size enough to offset the shipping cost itself.
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