Free shipping threshold raised from $25 to $35: +1.3% revenue/visitor
Commentary byLiftArchiveOur analysis, not theirsRaising the free shipping threshold from $25 to $35 lifted revenue per visitor by 1.3% at apparel brand Life is Good, even though conversion fell 4.7%.
Life is Good's in-house team ran the test, which was published as a Shoplift case study. It reached statistical significance in 13 days.
- Revenue per visitor: +1.3%. This was the main metric and the variant won.
- Average order value: +6.3%, as many shoppers added a second item to reach $35.
- Conversion rate: -4.7%. Fewer people bought, which the team expected.
- Shipping fees paid by shoppers more than covered a new carrier fuel surcharge, per the brand.
The change
The free shipping threshold moves from $25 to $35; exact on-site messaging not shared.
Simplified mockup drawn by LiftArchive from the shared screenshots.
Control
Orders of $25 or more shipped free.
Variant
The free shipping threshold was raised to $35 across the site.
Why it likely won
Our reading of the result, not the practitioner's claim.
- A $35 bar is within reach of a second tee, so many shoppers topped up their basket.
- Many single-item buyers paid for shipping instead of leaving, a sign they really wanted the product.
- The order value gain was larger than the drop in buyers, so revenue per visitor came out ahead.
Caveats: No sample size was shared. The test ran during a period of higher shipping costs, and the margin effect depends on Life is Good's print-on-demand cost structure.
Who ran it
Life is Good ran this test for Life is Good and published the results (Shoplift case study). The numbers are theirs; the summary and commentary on this page are ours.
Read the original case study on Life is Good →
How to run this test on your store
- Hypothesis
- If we raise our free shipping threshold to just above the price of two items, then revenue per visitor will rise because more shoppers add a second item and the rest still buy.
- Primary metric
- Revenue per visitor
- Guardrails
- Conversion rate
- Average order value
- Profit per order after shipping costs
- Who should test it
- Stores with low-priced items where two items clear the new threshold. It probably won't work if the gap needs an expensive extra item, or if competitors all ship free at a lower bar.
Questions
Will raising my free shipping threshold lose sales?
It may lower conversion. At Life is Good, conversion fell 4.7% but bigger orders still lifted revenue per visitor 1.3%.
How do I pick a free shipping threshold?
Start a little above your typical order value, so one more item gets shoppers there.
Then test it and judge it on revenue per visitor and margin.
Which metric should I use for a shipping threshold test?
Revenue per visitor, because it nets fewer orders against bigger ones.
Conversion rate alone will make a higher threshold look like a loss.
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