Articles on: Shipping Guarantee: Promise

What If We Rarely Have Lost Packages

SHIPAID Still Drives Revenue, Trust, And A Better Experience


If your lost package rate is low, SHIPAID can still deliver meaningful value.


The Shipping Guarantee is not only about replacing items when things go wrong. It is also:

  • A new, customer funded revenue stream
  • A visible trust signal at checkout
  • A way to differentiate your brand and simplify support


Many of our strongest programs are run by brands with very low loss rates.


Why Low Loss Merchants Still Use SHIPAID

Merchants with solid operations often ask if they really need a Shipping Guarantee. The answer is yes, because the value goes well beyond lost or stolen shipments.


1. You Create A New Revenue Stream


The Shipping Guarantee is an opt in upsell at checkout. Customers pay a small fee to protect their order. Claims are funded from that pool.

If your issue rate is low, the net revenue from the Shipping Guarantee typically exceeds what you pay out in claims.


That extra revenue can:

  • Boost order level profitability
  • Help offset shipping costs or customer support overhead
  • Scale naturally as your order volume grows


2. You Build Customer Confidence

Even when issues are rare, customers appreciate proactive protection. Seeing a branded Shipping Guarantee at checkout signals that your brand:

  • Stands behind its delivery experience
  • Is ready to help if something goes wrong
  • Cares about clarity and fairness


That added confidence helps:

  • Improve conversion at checkout
  • Support higher average order value as customers feel safer spending more
  • Reinforce retention by offering peace of mind


3. You Reduce Support Load

Lost packages are not the only source of post purchase friction. Delays, confusion around tracking, and “Where is my order” questions all add up.

With SHIPAID, tracking, updates, and claims are handled through a clean, branded experience. Your team spends less time manually chasing issues and more time on higher value work.


Real World Example

A boutique apparel brand with a 0.4 percent loss rate questioned whether they needed a Shipping Guarantee at all.


After rolling out SHIPAID they saw:

  • A 61 percent opt in rate on the Shipping Guarantee
  • Consistent, meaningful net revenue each month from the upsell
  • Fewer post purchase support requests


Even with very few incidents, the program paid for itself in the first month and continued to grow with their volume.


You Do Not Need High Losses To Benefit

SHIPAID is designed to work whether your issue rate is 0.5 percent or 5 percent.


The Shipping Guarantee is funded by customers who opt in, which means you can:

  • Add a predictable, low lift revenue stream
  • Enhance the perceived quality of your brand
  • Keep your existing carriers and fulfillment setup intact


You are not paying for a static insurance product. You are activating a flexible, branded program that supports both your margins and your customer experience.


Final Thoughts

Even if you rarely lose packages, SHIPAID can still deliver real, measurable upside.


The Shipping Guarantee helps you:

  • Increase revenue at checkout
  • Build trust and confidence with buyers
  • Streamline support and reduce manual work
  • Improve satisfaction when issues do occur


It is not only about how often shipments fail. It is about how prepared and customer focused your brand looks all the time.


If you want to see what Shipping Guarantee revenue could look like for your business, we can run a forecast based on your volume and likely opt in rates.


Updated on: 03/12/2025

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