Checkout order bump for package insurance: 15-20% take rate

WinnerCheckout · 2024-01-16

A custom checkout order bump has reached a 15-20% take rate on other stores, according to Kasper Dolk. They estimate it added $100-200k in profit. The example shown offers shipping insurance for €2.95, and no split test data was shared.

Take rate 15-20%
  • Take rate of 15-20%, meaning that share of orders added the bump. This was seen on other stores, not measured for this client.
  • An estimated $100-200k in extra profit. The time period and store size behind this figure were not shared.
  • No conversion rate or revenue per visitor data was shared, so any effect on checkout completion is unknown.

The change

Control (A)
header
Express pay
checkout fields
order summary
Pay now
Variant (B)
header
Express pay
checkout fields
Add package insurance? €2.95NEW
order summary
Pay now

A package insurance order bump added to checkout.

Simplified mockup drawn by LiftArchive from the shared screenshots.

Control

A checkout without an add-on offer. The original layout was not shown.

Variant

A checkbox block titled "Add package insurance?" offering shipping insurance against damage, loss and theft for €2.95, with a short line on the delivery guarantee. In the screenshot the box is ticked.

Why it likely won

Our reading of the result, not the practitioner's claim.

Caveats: These numbers are from other stores and were not shown as a controlled test. Whether the box was pre-ticked for live shoppers is not clear, and pre-ticked add-ons are restricted in some regions.

Who ran it

Kasper Dolk (@kasper_dolk) shared this test on X. The numbers and screenshots are theirs.

How to run this test on your store

Hypothesis
If we offer a low-cost package insurance add-on at checkout, then revenue and profit per visitor will rise because some shoppers want protection for their order.
Primary metric
Profit per visitor
Guardrails
  • Checkout conversion rate
  • Refund and chargeback rate
  • Customer complaints about the add-on
Who should test it
Higher-volume stores that can edit checkout and can honour an insurance or delivery guarantee. Low-traffic stores will see small gains, and stores selling cheap items may find the add-on feels out of proportion.

Questions

What is a good take rate for an order bump?

Kasper Dolk reports 15-20% of orders adding this insurance bump on other stores. Your rate will depend on the offer, its price and how it is shown.

Should shipping insurance be pre-checked at checkout?

The screenshot shows the box ticked, but the post does not say if that was the default. Pre-ticked add-ons can lift take rates but may break consumer rules in some places and lead to refund requests.

Does an order bump lower checkout conversion?

This post did not share conversion data, so the effect is unknown here. Test it against a checkout without the bump and track completion rate.

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