R
Rishtaara
Shopify Fundamentals
Lesson 17 of 28Article15 min

Shipping Zones, Rates & Local Pickup

A shipping zone is a group of regions (countries, states, or postal codes) that share the same shipping rates — like 'Domestic' and 'International'.

Shipping zones

A shipping zone is a group of regions (countries, states, or postal codes) that share the same shipping rates — like 'Domestic' and 'International'.

You set up zones under Settings > Shipping and delivery, then define rates specific to each zone.

Real-life example: Shipping zones are like courier pricing tiers — 'within city', 'within state', and 'international' each have a different price sticker.

  • Domestic zone — usually your home country, often with the cheapest rates
  • International zones — grouped by continent or specific countries
  • Each zone can have multiple named rates (Standard, Express)

Setting shipping rates

Rates can be flat (a fixed price), weight-based (price changes by order weight), price-based (free above a threshold), or calculated live via a carrier integration.

Free shipping thresholds (like 'free shipping over ₹999') are a common tactic to increase average order value.

Real-life example: Weight-based shipping is like a courier weighing your parcel on a scale before quoting a price — heavier packages cost more to send.

Example shipping rate setup
Zone: Domestic (India)
  Rate: Standard Shipping — flat ₹60
  Rate: Free Shipping — condition: order total >= ₹999
  Rate: Express Shipping — flat ₹150

Zone: International
  Rate: International Standard — flat $15

Local pickup and delivery

Local pickup lets customers order online and collect in person at a physical location, avoiding shipping costs entirely — useful for local businesses with a shop or studio.

Local delivery is similar but you personally deliver within a set radius, often set up with a flat fee or free-above-threshold rule, same as shipping rates.

Real-life example: Local pickup is like a 'click and collect' counter at a supermarket — order online, walk in, grab your bag, skip the courier entirely.

  • Local pickup — customer collects at your address, no shipping fee
  • Local delivery — you deliver within a defined area
  • Both are configured alongside regular shipping zones and rates
Tip: Offer at least one clearly affordable shipping option and one free-shipping threshold — unclear or expensive shipping is a top reason for cart abandonment.