Shipping Insurance for Etsy Orders: Is It Worth It?
Discover when Etsy shipping insurance truly pays off, comparing seller protection, USPS coverage, Shipsurance rates, order value risks, and smart refund peace-of-mind.
I sell physical products on Etsy, and I’m reviewing my pricing to improve conversions. Right now I’m debating between listing an item at a lower price and charging shipping separately, or raising the item price and offering free shipping.
In your experience, does free shipping typically lead to better conversion on Etsy, or do buyers respond better to a clearly lower item price with shipping added at checkout? How do you decide which approach to use?
Hi! In most Etsy categories, “free shipping” (or at least low shipping) usually converts better because buyers hate getting to checkout and seeing an extra charge—so if you can keep your total price competitive, rolling shipping into the item price tends to help. That said, it’s not one-size-fits-all: Etsy has also been putting more emphasis on US domestic listings with lower shipping prices in search, so the practical goal is often “free or low shipping,” not necessarily free shipping on everything.
Here’s how I’d decide between the two approaches:
Go with “free shipping” (shipping baked into price) when:
Keep shipping separate (or use calculated shipping) when:
A really common “best of both worlds” setup (especially for US buyers):
How to pick confidently (without guessing):
If you tell me your average item price range, your typical US shipping cost, and whether items are light or bulky, I can suggest which option is more likely to lift conversions for your specific situation (and how much to bake into the price).
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