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How to Calculate Shipping On Shopify – Easiest Guide 2023

How To Calculate Shipping On Shopify - OneCommerce

How To Calculate Shipping On Shopify - OneCommerce

Shopify is considered to be one of the most prestigious E-commerce platforms for your store thanks to its excellent services, especially shipping services. When it comes to Shopify shipping services, you can save countless hours on your order fulfillment.

However, do you still hesitate about how to calculate shipping on Shopify in order to avoid risks?

Well, in the following article, we are going to provide a series of guides to determine the best shipping costs for your E-commerce business along with several recommendations.

Let’s discover this topic right now!

How USPS Calculates Shipping Costs

When it comes to shipping products through the United States the United States Postal Service (as known as USPS), it’s important to calculate the shipping costs accurately to avoid undercharging customers, which can cost you more in the long run.

The United States Postal Service is a well-known shipping carrier

When it comes to how to calculate shipping on Shopify, accuracy is a vital element that helps you avoid paying an extra cost.

Notes: If you have an oversized package that measures between 108 and 130 inches in length or girth, USPS will charge you extra based on the item’s weight.

Dimensional weight

The ratio of a package’s volume to its mass is known as the dim weight. You will be charged the greater of the package’s actual weight or its dimensional weight for each shipment.

If you know the exact dimensions of your product, you can calculate shipping charges with precision by measuring the package’s width, height, and length. Then, multiply them together.

However, this method is only applicable if your package is larger than 1 cubic foot (1,728 cubic inches).  Thus, to determine if DIM pricing applies, multiply the dimensions (L x W x H) by a value less than or equal to 1,728.

For instance, if your box has dimensions of 30 by 12 by 12, for instance, its volume is 4,320 cubic inches (the product of 30 by 12 by 12).

The current DIM divisor used by USPS, for example, is 166 cubic inches per pound. This applies to both domestic and international shipments. Using the preceding example, we can calculate the dimensional weight to be around 26 pounds by dividing 4,320 by 166.

Factors Affecting Shopify Shipping Costs

When running an e-commerce business on Shopify, shipping is a crucial aspect to consider. Not only does it impact the customer experience, but it also affects the bottom line of the business.

The fact that shipping management is already incorporated into the Shopify platform (Shopify Shipping) is among the most significant benefits offered by this e-commerce solution. However, the shipping costs vary from store to store due to different products, services, and even pricing tactics.

Read more: Shopify Review – Everything You Must Know About

Thus, in this section, we will explore the key factors that influence shipping costs on Shopify, so you can make informed decisions and optimize your shipping strategy.

How to Determine the Best Shipping Costs for Your E-Commerce Business?

After learning the main factors affecting Shopify shipping costs, you’ll need to consider the benefits of several approaches how to calculate shipping on Shopify.

The following section will provide you with 5 different ways, each with an in-depth explanation, to assist you in finding the optimal shipping prices for your online retail store.

1. Flat-rate Shipping

Flat-rate shipping is a method in which you charge a fixed price for your packages regardless of their size, weight (up to a predetermined weight limit), or destination.

Depending on the quantity of the products you often sell, the suggested price you should charge for flat-rate shipping may change, but it should generally range between $7.00 and $15.00.

2. Weight-based Shipping

The more-complex method in our how to calculate shipping on Shopify artcile is weight-based shipping.

Weight-based shipping approach asks to measure the package’s weight and dimensions to determine the cost.

The shipping calculator then uses the weight of the package to calculate the shipping cost.

3. Free Shipping

Free shipping will be the greatest strategy for your organization if you’re wanting to get a competitive advantage.

Customers are often attracted to the idea of receiving a product without having to pay additional shipping fees, and this can be a major factor in their decision to make a purchase.

Tips: Want to charge free shipping for your Shopify store? Click here to know how to remove shipping calculated at the checkout process!

4. Price-based Shipping

Lastly, price-based shipping is a shipping method that calculates the cost of shipping based on the total price of the order.

Applying price-based shipping means that the shipping cost increases as the total price of the order increases.

For example, a seller may offer free shipping for orders over $50, but charge $5 for orders under $50.

Best Apps for Calculating Shopify Shipping Costs

If you ask yourself “how to calculate shipping on Shopify” then you might have thought of using a third-party app. It is vital for Shopify store owners to determine the most accurate and cost-effective shipping options to ensure profitability while keeping customers happy. Luckily, there are numerous apps available on the Shopify app store that can help automate the process of calculating shipping costs.

These apps are highly opinionated thanks to a wide range of beneficial functions. They include extra roles like feedback gathering, label generation, and alerting clients of delivery times.

Specifically, owners of Shopify stores can use a shipping costs calculator tool to generate custom shipping options. A shipping software shows the delivery prices taking into account the variances for accurate pricing even when shipping methods vary by weight, quantity, and product price.

Here are the top Shopify shipping rate calculators as follows:

Final words

In this article, we have provided you with approaches to how to calculate shipping on Shopify along with a series of helpful recommendations. Hope that with all of our suggestions about the finest apps for calculating shipping costs, you can make it easier for your own business.

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