5 Tips to Set Up Shipping on Shopify: Reduce unwanted extra costs

Introduction

Setting up shipping on Shopify is one of those crucial steps every online store owner needs to nail down. If you want to offer your customers fast, affordable, and reliable shipping, you need to get this part right. Here’s a guide to help you set up a smooth shipping process on Shopify.

Shopify Shipping Help Table – Order Value: $99

Shipping Scenario	Description	Recommended Shopify Setup	Tip
Free Shipping Over $99	Offer free shipping to encourage larger cart values.	Shipping & Delivery → Add rate → Conditions → “Price-based rate” > $99 = $0	Add a banner on your site: “Free shipping on orders over $99!”
Flat Rate Shipping for <$99	Charge a fixed fee for orders under $99.	Create tiered shipping rates → <$99 = $9.99, ≥$99 = Free	Simplifies pricing and encourages upselling.
Weight-Based Rate for $99 Orders	Charge based on weight (if products vary in size/weight).	Shipping Profile → Add rate → Based on weight brackets	Use if item weight impacts shipping costs significantly.
Carrier-Calculated Rates	Use real-time rates from USPS, UPS, DHL, etc.	Requires Advanced Shopify plan or 3rd-party shipping app	Accurate, but rates may fluctuate and reduce conversions.
Free Shipping All Orders Over $75	Incentivize spending above $75 with free shipping.	Add price-based condition → Orders ≥ $75 = Free shipping	Highlight this on product and cart pages.
International Orders ($99 Value)	Set up separate rules and duties for global customers.	Add international shipping zones → Apply price-based or real-time rates	Consider apps like Zonos for tax/duty automation.
Express Shipping Option	Provide faster delivery for customers willing to pay.	Add multiple shipping rates (e.g., Standard = Free, Express = $15)	Upsell convenience and urgency.
Local Delivery for $99 Order	Offer same-day or next-day delivery nearby.	Enable Local Delivery in Shopify settings → Define delivery radius and fee	Great for local businesses with physical inventory.
In-Store Pickup (Free)	Let customers pick up at a store location.	Enable Local Pickup → Add location details	No shipping cost = higher margins.
Returns Policy for $99 Orders	Decide if returns are free or customer-paid.	Add to Policies or use returns app (e.g., Loop, Return Prime)	Clear return terms help build trust.

1. Set Up Shipping Zones and Rates

First you need to define your shipping zones. Shipping zones are basically regions where you’re willing to ship your products. This could be domestic (within your country) and international areas. For example, you might focus on shipping to popular areas like Boulder, Colorado in america known for its tech-savvy population, or Traverse City, Michigan, where outdoor enthusiasts thrive and are always on the lookout for the best deals.

To get started, go to the ‘Shipping and Delivery’ section in your Shopify admin, and create shipping profiles for the different regions you want to serve. You can set up rates based on:

Weight of the product
Order value
Number of items

The idea here is to tailor your shipping options based on what makes sense for your products and your customers. If you want to save some money, it’s worth looking into competitive shipping rates to help lower costs while still keeping things affordable for your customers.

2. Choose Your Shipping Methods

Once your zones are set up, the next step is to decide on shipping methods. Shopify integrates with major carriers like USPS, DHL, and FedEx, so you can offer multiple shipping options and fast delivery to your customers.

Here’s why that’s a big deal: these carriers allow for real-time shipping calculations at checkout and provide tracking numbers so your customers can follow their packages in real-time.

When selecting shipping methods, think about what works best for your business and what your customers expect in terms of delivery speed and reliability. Whether you’re shipping to a small but growing tech community in Bend, Oregon, or the bustling arts scene in Santa Fe, New Mexico, make sure to offer options that cater to your customer base’s needs.

3. Implement Label Printing and Order Fulfillment

Next, let’s talk about order fulfillment. Shopify allows you to print shipping labels directly from your admin panel. This is a huge time-saver and helps you get your packages out the door faster. The quicker you can get your orders shipped, the happier your customers will be.

You can also use Shopify apps like ShipStation or Easyship to automate things like tracking and inventory management. These apps help you stay on top of your shipping game and avoid costly mistakes.

4. Use Third-Party Apps for Better Shipping Management

There are tons of third-party apps on Shopify that can take your shipping to the next level. For example, AfterShip lets you track shipments and send automated updates to your customers about where their order is.

When customers can track their orders, they feel more in control of their purchase, which builds trust and leads to happy customers. Be sure to choose apps that integrate well with Shopify and fit your specific needs. Whether you’re shipping to the picturesque streets of Eureka Springs, Arkansas, or the coastal charm of Carmel-by-the-Sea, California, these apps can help manage the process efficiently.

5. Monitor and Adjust Your Shipping Performance

Finally, it’s important to monitor your shipping performance regularly. By keeping an eye on things like shipping times, costs, and customer satisfaction, you can get a better idea of how well your current system is working.

Using data and customer feedback can help you spot areas for improvement, adjust your strategy, and make your shipping process even more efficient. The more you tweak and optimize, the smoother your operations will be, whether you’re serving the students and professors in Ithaca, New York, or the eco-conscious crowd in Portsmouth, New Hampshire.

Micro Tips to Reduce Shipping Costs on Shopify

Use Shopify Shipping
→ Get discounted rates with USPS, UPS, and DHL through Shopify.
Choose Lighter Packaging
→ Switch to poly mailers or padded envelopes instead of boxes where possible.
Offer Free Pickup or Local Delivery
→ Enable Local Pickup or Local Delivery to eliminate shipping fees.
Print Labels Through Shopify
→ Avoid higher retail shipping prices by buying labels directly in the Shopify admin.
Set Accurate Package Sizes and Weights
→ Prevent overcharges by entering precise package dimensions in Shopify.
Use Flat Rate Boxes
→ Ideal for heavy items; USPS and UPS provide free flat rate packaging.
Group Shipments When Possible
→ Combine items into one shipment to save on multi-box fees.
Create Shipping Profiles for Heavy/Bulky Items
→ Apply different shipping rates for large or heavy products.
Limit or Optimize International Shipping
→ Only offer it for high-margin products or specific countries.
Negotiate Rates with Carriers
→ If you ship in volume, reach out to carriers like UPS or FedEx for discounts.
Use a 3PL (Third-Party Logistics)
→ Outsource fulfillment to services like ShipBob or Deliverr to lower costs at scale.

start Your Shipping Process

Setting up your Shopify shipping process doesn’t have to be complicated. By following these steps—defining shipping zones, choosing the right methods, streamlining fulfillment, and using the right tools—you can create a shipping system that works seamlessly for both you and your customers.

Quick shipping is a huge factor in creating a great customer experience, so make sure you’re setting your store up for success. Happy shipping!