Add shipping costs to product price

If you sell a physical product on Digistore24, you can add shipping costs to the product price according to the country of destination instead of including them in the product price.

This has the following benefits:

  • Increased transparency as your customers can see all components of the product price
  • Country-specific shipping costs (a specific shipping cost policy is possible for each country of destination)
  • The shipping costs are fully credited to the vendor (your affiliates or joint venture partners will not have any claims)
  • Reduced risk and increased planning reliability lead to more profit
Shipping products may only be shipped from Germany!

For VAT reasons, it is not permitted to ship shipping products from outside of Germany via Digistore24 since the change in VAT law of 1.1.15. More information can be found here.

How is the shipping cost policy displayed?

When a customer clicks on your order form with an address in a country for which you have created a shipping cost policy, the shipping costs are displayed in addition to the product price and VAT.

For tax purposes, shipping costs must be treated in the same way as the shipped product.

In Germany, VAT is 19%.

However, there are special cases:

For example, books, magazines, audio books (on physical media only) and food supplements are taxed at a rate of 7%. For mixed orders, shipping costs are proportionately taxed at the respective tax rates.

You can find more information about VAT in this article.

Are the shipping costs displayed as gross or net prices?

In the payment plans of your product you can set whether all prices on the order form should be displayed as a gross price (incl. VAT) or as a net price (VAT will be added in necessary). Please note that this also affects the shipping costs that are displayed.

An example:

You sell a physical product and have specified in your payment plan that your product costs 10 € and is displayed as the net price. Your customer accesses your order form and enters a German address. You have specified in your shipping cost policy for German customers that 5 € for shipping costs will be charged.

The customer will now see the following on the order form:

Price (EUR): 10 €

10 € product price (net)

Postage and packaging1: 5 €

5 € shipping costs (net)

VAT (19%): 2.85 €

German VAT is 19%. The VAT of the product price and the shipping costs are added together.

Total: 17,85 €

Product price + shipping costs + German VAT

Create shipping cost policy

If you sell your products across the globe, it makes sense to create a separate shipping cost policy for each country of destination.

You can add any number of countries to a shipping cost policy. For example, if the shipping costs of three countries are the same, it is most practical to create just one policy for the three countries.

If no shipping cost policy applies to a country, the order cannot be processed.

Step-by-step guide

An example of a shipping cost policy:

The vendor Max Mustermann sells a physical product.

Max now wants to set the following:

  1. The product can only be shipped to the EU (incl. Germany).
  2. Shipping to Germany is free of charge.
  3. Shipping to other EU countries is charged with six Euro.

Max creates two shipping cost policies:

  1. He creates the first shipping costs policy for Germany by ticking "Germany" at "For countries". He specifies 0.00 Euro at "Shipping costs".
  2. He creates the second shipping costs policy for all EU countries (excluding Germany) by ticking "EU (excluding Germany)" at "For countries". He specifies 6.00 Euro at "shipping costs".

Since Max does not want his product to be shipped to countries outside the EU, he does not create a shipping cost policy for those countries. If a customer wants to order a product outside the EU, he will be informed that shipping is not possible.

Disallow shipping to specific countries

If you do not want every customer - regardless of their country - to be able to order your product, you can exclude individual countries from the shipping cost regulation.

It is sufficient if you do not create a shipping cost policy for the country of your choice.

An example:

A customer from Iceland wants to order your product.
Since Iceland is not subject to any shipping policies, the customer is notified that shipping to Iceland is not possible and the order cannot be processed.

You do not necessarily have to create shipping policies!

If there aren’t any shipping cost policies for your product at all, the order can be processed normally. Adding shipping costs is only optional.

What happens if a customer makes a package change?

By “package change” we mean an increase or reduction in the quantity of products ordered within a subscription.

If a package change takes place, the old subscription is normally (= without shipping cost policy) interrupted and the cycle is restarted on the day of the package change.

However, if the package change is carried out for a product that is subject to the shipping cost policy, the old subscription cycle is retained.

An example:

A customer called John Smith has a monthly subscription for your product and orders 10 units every month. The debit is always carried out on the first day of the month.

On February 15th, John Smith makes a package change and increases the number of units per month to 15.

With shipping cost policy: The increased debit takes place as normal on March 1st.

Without shipping cost policy: The increased debit takes place on February 15th and from now on the monthly debit will take place every 15th day of the month (i.e. March 15th, April 15th).

  1. You can also enter a different text here (see step 12 of this guide).

Updated on 17. January 2020

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