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Shopify shipping settings explained: zones, rates and delivery times

By the Shoply Apps team · · 10 min read

Shopify shipping profile with domestic, Europe and rest of world rates and delivery times

Key takeaways

  • Shopify shipping settings are built from shipping profiles (groups of products), locations (where you ship from), zones (where you ship to) and rates (what customers pay).
  • Every zone needs at least one rate; if a customer's address is in no zone, or the zone has no rate, they cannot check out.
  • Use flat rates when products weigh about the same and weight-based or carrier-calculated rates when weights vary; carrier rates depend on your plan and region.
  • Enter a real weight for every variant, include packaging, and set rates that cover what shipping actually costs you.
  • Show processing plus transit time on product pages and at checkout, and say who pays duties on international orders.

Shopify shipping settings decide which customers can buy from you, what they pay for delivery and what they are told about when it will arrive. If they are set up badly, you either lose money on every parcel or lose the sale at checkout. This guide walks through how it all works in plain language. Menu names change over time, so if a label looks different in your admin, look for the closest match under your shipping and delivery settings.

How does shipping work in Shopify?

Shopify works out a shipping price at checkout by matching the products in the cart, the customer's address and the rates you have created. It all lives in the shipping and delivery section of your settings.

The building blocks, from biggest to smallest:

When a customer enters their address, Shopify finds the matching zone and shows the rates that apply to the cart. If no zone covers the address, the customer cannot complete the order.

What are shipping profiles, and when do you need a custom one?

Every store starts with a general shipping profile, which new products join automatically. You only need a custom profile for products that ship differently from the rest.

Typical reasons: heavy or bulky items that cost far more to send, fragile items that need special packaging or a specific courier, products shipped from a different place, and products you only sell locally, such as fresh food.

Keep it simple: each extra profile is another set of zones and rates to maintain. Many small stores only need the general profile.

Which locations do you ship from?

A location is any address that holds stock or fulfills orders. Shopify uses it as the ship-from point, and carrier-calculated rates use it to work out distance.

Check that each address is correct, including the postal code, and that locations which should fulfill online orders are set to do so.

How do you set up shipping zones?

A shipping zone is a list of countries or regions that share the same rates. You create zones inside a shipping profile, then add at least one rate to each zone.

A sensible starting set for a small store:

  1. Domestic: your own country.
  2. Nearby countries: neighbours or a trading region where delivery is cheaper and faster.
  3. Rest of world: only if you are ready to handle longer delivery times and import charges.

Only add countries you can really serve, and give every zone at least one rate.

What types of Shopify shipping rates can you use?

Shopify shipping rates come in two broad families: rates you set yourself, and rates calculated by a carrier at checkout. You can mix them in the same zone, for example a free standard option and a paid express option.

Rate typeHow it worksBest for
Flat rateOne fixed price per order, such as $6Products of similar size and weight
Based on order priceRate applies only within a price range, such as orders $0 to $49.99Encouraging bigger orders; free shipping over a threshold
Based on weightRate applies only within a weight range, such as 0 to 1 kgCatalogs where weights vary a lot
Free shippingA rate with a price of $0, often with a minimum order valuePromotions and higher-priced products
Carrier-calculatedLive prices from a carrier, based on weight, origin and destinationStores with varied parcels and many destinations

Carrier-calculated rates are not available on every plan or in every country, so check whether they are available on your plan. Free shipping still costs you; our guide on setting a free shipping threshold that protects your margin shows how to pick the minimum order value.

Should you offer local delivery or local pickup?

If customers can reach your shop, studio or stock room, local options are worth turning on. You set them up per location.

Why do product weights matter for shipping?

Weight-based and carrier-calculated rates both depend on weight, and Shopify uses the weight entered on each product variant. If a weight is missing or zero, the cart looks lighter than it is and the customer is charged too little.

What is dimensional weight?

Dimensional (or volumetric) weight is a weight carriers calculate from a parcel's size. Many carriers charge for whichever is higher, real or dimensional weight, so a large, light box can cost more than you expect. Use the smallest box that protects the product and check your carrier's rules.

Flat rate or weight-based? A worked example

For a small store, flat rate is simplest when products weigh about the same; weight-based rates are safer when weights vary widely. Here is an example with made-up numbers for a candle store that ships domestically.

Example postage costs the store pays its carrier (including packaging):

Parcel weightExample postage costExample orders per month
Up to 0.5 kg$560
0.5 to 2 kg$830
2 to 5 kg$1410

Monthly postage cost = (60 × $5) + (30 × $8) + (10 × $14) = $300 + $240 + $140 = $680

Option A: flat rate of $6. The store collects 100 × $6 = $600 and pays $680, losing $80 a month. Every heavy order loses $8, while light-order customers pay $1 more than the real cost.

Option B: weight-based rates of $5, $8 and $14. The store collects exactly $680 and breaks even, and light-order customers see a lower price.

Here weight-based rates fit best because parcels range from under 0.5 kg to 5 kg. If nearly all orders were under 0.5 kg, a flat rate would be simpler and just as good. Packaging matters too: a 0.45 kg candle in a 0.1 kg box ships as 0.55 kg and lands in the next band.

How should you show delivery times?

Show realistic delivery times on your product pages and at checkout, and add your processing time to the transit time. A vague or missing answer makes shoppers hesitate.

Unclear delivery information is one of the conversion problems covered in our guide on how to increase your Shopify conversion rate.

What should you know about international shipping?

International orders take longer, cost more and may be charged duties and import taxes when they arrive. Decide who pays them and tell customers clearly.

How should dropshippers set up shipping?

Dropshippers should set rates that cover what their supplier really charges for delivery. New to the model? Our step-by-step guide to starting dropshipping on Shopify covers the basics.

Shopify shipping settings: a setup checklist

Run through this when you first set up shipping, and again whenever you add products, suppliers or countries.

StepWhat to checkDone when
1. LocationsShip-from addresses are correct and can fulfill online ordersEvery active location has a full, accurate address
2. ProfilesProducts that ship differently are in a custom profileHeavy, fragile or locally-only items are grouped
3. ZonesOnly countries you can really serve are addedNo unwanted countries listed
4. RatesEvery zone in every profile has at least one rateA test checkout to each zone shows a rate
5. WeightsEvery variant has a real weight, and your default package matches what you useNo variants at zero weight
6. CostsEach rate covers what you actually payMargin checked with shipping included
7. Delivery timesRate names and product pages show processing plus transit timeTimes match what customers really experience
8. Policy pageShipping policy explains times, costs and who pays import chargesLinked from the footer and product pages

What are the most common Shopify shipping mistakes?

Most problems come from a few gaps that are easy to miss.

Shipping only stays affordable when product prices leave room for it. Shoply: Item Scan & Analytics, free on the Shopify App Store, flags products sold below cost or under your margin target, where shipping is most likely to push an order into a loss.

FAQ

Why can't some customers check out on my Shopify store?

Usually their address is not in any shipping zone, or the zone has no rate for the products in their cart. Add the country or region to a zone and give every zone in every profile at least one rate.

Does Shopify use product weight to calculate shipping?

Yes. Weight-based and carrier-calculated rates use the weight entered on each product variant, plus any packaging weight you set. Missing or zero weights make shipping look cheaper than it is.

Should I use flat rate or weight-based shipping?

Use a flat rate if your products are similar in size and weight. Use weight-based rates if weights vary a lot, so heavy orders do not cost you more to ship than the customer pays.

Who pays duties and import taxes on international orders?

It depends on how you set up your store and checkout: either they are included in the price or the customer may be charged on delivery. Decide up front and state it in your shipping policy.

Make sure shipping never turns a sale into a loss

Shoply: Item Scan & Analytics, free on the Shopify App Store, scans every product for pricing and margin problems, such as items sold below cost, under your margin target or missing a cost per item, and ranks them by the money at stake each month.

Install free on Shopify