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🛒 E-commerce & Pricing

Set a Free-Shipping Threshold That Earns Back Its Own Delivery Cost

Estimate the extra merchandise revenue needed to fund shipping while preserving a target margin buffer.

Decision result

Inputs modeled

4

10% more first input

Model status

Editable estimate

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How the calculation works

Business inputs4 editable valuesExplicit modelNo hidden averageDecision result$71.67Change one assumption at a time and compare the result with source-system data.

How to Use This Tool

Estimate the extra merchandise revenue needed to fund shipping while preserving a target margin buffer. Calculate the incremental basket value needed to fund free shipping from contribution margin and a protected profit buffer.

The failure Free Shipping Floor is designed to catch

The threshold should sit above current AOV by enough contribution to fund postage, not merely above the postage amount itself. The boundary is the job stated in Set a Free-Shipping Threshold That Earns Back Its Own Delivery Cost; Free Shipping Floor is not intended to score or transform a different workflow.

Recorded inputsNamed operationChecked output
The executable example for Free Shipping Floor expects out: $71.67; changing an input must produce a correspondingly reviewable result.

The Free Shipping Floor input contract

The fields used for this specific operation are Average shipping cost, Contribution margin %, Protected margin %, Current average order value. Keep the source values beside the Free Shipping Floor result, because replacing the original would remove the evidence needed to reproduce or reverse the operation.

  • For Free Shipping Floor, Average shipping cost starts at 8 in the worked case; replace that example with the matching source value.
  • For Free Shipping Floor, Contribution margin % starts at 40 in the worked case; replace that example with the matching source value.
  • For Free Shipping Floor, Protected margin % starts at 10 in the worked case; replace that example with the matching source value.
  • For Free Shipping Floor, Current average order value starts at 45 in the worked case; replace that example with the matching source value.

Worked result for Free Shipping Floor

The executable case called Default decision scenario expects out: $71.67. Verify that observation before entering real material, and then change one Free Shipping Floor field at a time so an unexpected direction or formatting change can be traced to a specific input.

Reading the Free Shipping Floor output

It combines average shipping cost, contribution margin %, protected margin % and current average order value into one decision result using the formula explained on the page. Apply that answer only when Average shipping cost, Contribution margin %, Protected margin %, Current average order value describe the same scope and format as the worked operation. If the source uses different units, quoting, nesting, timing or account rules, a plausible-looking Free Shipping Floor output is not sufficient validation.

Assumptions attached to Free Shipping Floor

  • Free Shipping Floor assumes that all inputs describe the same unit or reporting period unless the field explicitly says otherwise.
  • Free Shipping Floor assumes that the model includes only the four visible inputs and does not infer hidden platform charges.

If one of these Free Shipping Floor assumptions is false, keep the result as a diagnostic rather than production or decision data, and choose an implementation that explicitly supports the missing rule.

Evidence maintained for Free Shipping Floor

The recorded reference is US SBA — marketing and sales. Reopen that source when the definition, format, fee or policy behind Free Shipping Floor changes; private configuration and downstream acceptance still have to be checked in the user's own system.

Where Free Shipping Floor runs

The named operation executes in browser JavaScript without an ecech calculation API. For Free Shipping Floor, local execution reduces transmission but does not control browser extensions, device security or the destination where the result is pasted, so sensitive inputs still require the user's normal handling rules.

Sources & assumptions

Tool Spec v2 · verified 2026-08-18. Platform rules and fees can change; the editable inputs remain authoritative for your account.

Official references

Model assumptions

  • All inputs describe the same unit or reporting period unless the field explicitly says otherwise.
  • The model includes only the four visible inputs and does not infer hidden platform charges.
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Frequently Asked Questions

What specific job does Free Shipping Floor perform?
The Free Shipping Floor scope is: Calculate the incremental basket value needed to fund free shipping from contribution margin and a protected profit buffer. Anything beyond that stated operation needs a separate model or validator.
Which inputs determine the Free Shipping Floor result?
For Free Shipping Floor, the visible inputs are Average shipping cost, Contribution margin %, Protected margin %, Current average order value; their units, format and reporting scope must match the case being tested.
What result does the Free Shipping Floor example verify?
The Free Shipping Floor executable case expects out: $71.67, which is a regression check for this operation rather than an industry benchmark.
What problem should Free Shipping Floor prevent?
The threshold should sit above current AOV by enough contribution to fund postage, not merely above the postage amount itself.
Which source should I check for Free Shipping Floor?
The Free Shipping Floor reference is US SBA — marketing and sales; reopen it when the underlying format, policy or definition changes.
Does Free Shipping Floor send input to a server?
No ecech. calculation API receives the values used by Free Shipping Floor; browser extensions, the local device and any destination where you paste the result remain separate risks.

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