The Shopify shipping discount is the reduced label price Shopify merchants get when they buy USPS, UPS and other carrier labels through Shopify Shipping in the Shopify admin, and Shopify says the size of that discount varies with your Shopify plan. If you want a second option, ParcelPath’s official Shopify app is free and offers up to 85% off UPS and up to 89% off USPS retail rates, so many merchants compare both before choosing where to buy labels.
This guide explains how Shopify Shipping discounts work, which carriers and services they cover, how your plan affects them, and how Shopify Shipping compares with ParcelPath on carriers, insurance, pickups and printer-free labels. For the wider picture of running a store, see our complete guide to building a Shopify store.
How Does the Shopify Shipping Discount Work?
Shopify Shipping lets you buy discounted labels directly from an order in your Shopify admin, individually or in bulk, as long as you ship from an eligible fulfillment location. Shopify negotiates the carrier rates, and the price you pay depends on the carrier, the service and your plan.
From the same screen you can print or reprint labels, void unused labels for a refund, track shipments and schedule carrier pickups. U.S. and Canadian locations can create domestic return labels, and for international orders with duties and taxes you can buy Delivered Duties Paid (DDP) labels so the recipient isn’t billed on arrival. You need a desktop printer or a supported label printer to print Shopify labels.
Which Carriers and Services Get Shopify Shipping Discounts?
For U.S. stores, the main Shopify Shipping carriers are USPS and UPS, with other carriers such as DHL available depending on where you ship from and to. The services offered through each carrier are listed below.
| Carrier | Services through Shopify Shipping | Notes |
|---|---|---|
| USPS (domestic) | Ground Advantage, Priority Mail, Priority Mail Express, First-Class Mail, Media Mail | Cubic pricing on Priority Mail and Ground Advantage for small, heavy packages |
| USPS (international) | First-Class Package International, Priority Mail International, Priority Mail Express International | Requires a U.S. fulfillment location |
| UPS | Several domestic delivery speeds from U.S. and Canadian locations | Free package pickups from U.S. locations; Canadian locations drop off |
USPS cubic pricing is where small, dense packages save the most. Through Shopify it applies to Priority Mail packages up to 20 lbs and 0.5 cubic feet, and to Ground Advantage packages up to 20 lbs and 1 cubic foot; rolls and tubes don’t qualify. Domestic USPS packages are limited to 70 lbs and 108 inches in combined length and girth.
Does Your Shopify Plan Change the Shipping Discount?
Yes. Shopify’s help center states that discounts for shipping labels vary by Shopify plan, so the same package can cost less on a higher plan. Shopify does not list a single discount percentage per plan in its help documentation, so the practical way to compare is to price a few of your typical packages in the admin.
Your plan also affects insurance. On the Grow, Advanced and Plus plans with Shopify Payments active, Shopify includes up to $200 of shipping insurance on each eligible label at no extra cost. On other plans you can add insurance to U.S. shipments and file claims for lost or damaged packages.
How Does Shopify Shipping Compare With ParcelPath?
Both let you buy discounted labels for Shopify orders without leaving your store workflow. The differences are in carrier choice, how the discount is set, printer-free options and freight.
| Feature | Shopify Shipping | ParcelPath (official Shopify app) |
|---|---|---|
| Cost to use | Included with your Shopify plan | 100% free: no subscription, no per-label fee, no minimums, no contract |
| How the discount is set | Varies by Shopify plan | Up to 85% off UPS and up to 89% off USPS retail rates on any Shopify plan |
| Parcel carriers | USPS, UPS and others depending on location | USPS and UPS |
| Printer-free labels | Printer required | UPS Mobile Barcode at The UPS Store; USPS Label Broker at the Post Office |
| Pickups | Carrier pickups can be scheduled from the admin | Free USPS pickups |
| Insurance | Included on eligible labels on Grow, Advanced and Plus with Shopify Payments | Shipsurance coverage available |
| Freight | Parcel labels only | LTL pallet freight through PalletPath |
Shopify Shipping is the simplest option if you are on a higher plan and want everything in one admin. ParcelPath tends to fit merchants on lower plans, sellers without a printer, and stores that also ship pallets. Our guide to Shopify shipping integration explains how a connected shipping app syncs orders, addresses and tracking with your store.
How Do You Get the Biggest Shopify Shipping Discount?
The discount you get depends as much on how you pack and which service you pick as on where you buy the label. A few habits make the biggest difference.
- Enter real weights and box sizes. Accurate product weights and saved package dimensions keep checkout rates and label prices aligned.
- Use cubic pricing for small, heavy items. Dense products in small boxes often price lower on cubic Priority Mail or Ground Advantage than by weight.
- Right-size your packaging. Oversized boxes trigger dimensional-weight pricing on UPS and on larger USPS parcels.
- Match the service to the promise. Ground Advantage delivers in 2–5 days, Priority Mail in 2–3 days and UPS Ground in 1–5 business days, so don’t pay for speed the customer didn’t choose.
- Compare before you buy. Compare live UPS and USPS rates in the ParcelPath rate calculator against the label price in your Shopify admin for a handful of typical orders.
If you send many Priority Mail packages, our complete guide to USPS Priority Mail covers Flat Rate, cubic and weight-based options. For high-value orders, the USPS insurance guide explains coverage limits and claims, and if you ship UPS daily, see UPS pickup scheduling options.
Should You Use Shopify Shipping or a Separate Shipping App?
Use Shopify Shipping when your plan’s discount is competitive for your packages and you value having labels, tracking and insurance inside the admin. Use a separate app when another provider beats the label price, when you need to print labels without a printer, or when you ship freight as well as parcels.
Many merchants use both: Shopify Shipping for some services and ParcelPath for others, depending on which is lower for each package. Because ParcelPath is free and works on any plan, testing it costs nothing beyond the time to compare a few orders. For more guides on selling online, browse our eCommerce shipping hub or return to the ParcelPath home page.
Frequently Asked Questions
How much is the Shopify shipping discount?
Shopify doesn’t publish one fixed percentage in its help center. It states that discounts for Shopify Shipping labels vary by Shopify plan, carrier and service, so the best way to know your discount is to price a typical package in your admin. For comparison, ParcelPath’s free Shopify app offers up to 85% off UPS and up to 89% off USPS retail rates.
Which carriers offer discounts through Shopify Shipping?
For U.S. stores, USPS and UPS are the main Shopify Shipping carriers. USPS labels cover Ground Advantage, Priority Mail, Priority Mail Express, First-Class Mail and Media Mail domestically, plus three international services. UPS labels are available from U.S. and Canadian locations. Other carriers, such as DHL, depend on where your store ships from.
Does Shopify Shipping include insurance?
On the Grow, Advanced and Plus plans with Shopify Payments active, Shopify includes up to $200 of shipping insurance on each eligible label at no extra cost. Merchants on other plans can add insurance to U.S. shipments and file claims for lost or damaged packages. ParcelPath users can add Shipsurance coverage to their labels instead.
Can I use ParcelPath with Shopify?
Yes. ParcelPath has an official Shopify app that lets you buy discounted USPS and UPS labels for your Shopify orders. It is 100% free, with no subscription, per-label fee or minimums, and it offers up to 85% off UPS and up to 89% off USPS retail rates. Labels can also be printed without a printer at The UPS Store or the Post Office.
Sources
- Shopify Help Center, Shopify Shipping (help.shopify.com/en/manual/fulfillment/shopify-shipping)
- Shopify Help Center, Shopify Shipping with USPS (help.shopify.com/en/manual/fulfillment/shopify-shipping/shipping-carriers/usps)
- Shopify Help Center, Shopify Shipping with UPS (help.shopify.com/en/manual/fulfillment/shopify-shipping/shipping-carriers/ups)
- Shopify, Shipping product page, insurance footnote (shopify.com/shipping)
- USPS Ground Advantage
- USPS Priority Mail
- UPS Ground
Part of our Shopify guide.
