Articles on: SHIPAID Shipping Protection Program

What If We Rarely Have Lost Packages?

What If We Rarely Have Lost Packages?


ShipAid Still Adds Value by Creating a New Revenue Stream and Enhancing the Customer Experience
Even if your lost package rate is low, ShipAid still makes sense for your business. The Delivery Guarantee is not just about replacing items or issuing refunds. It is also a powerful revenue driver, a trust signal for your customers, and a smart way to differentiate your brand.

Why Low-Loss Merchants Still Use ShipAid


Many merchants with strong fulfillment operations or reliable carriers ask this question. If packages rarely go missing, is a delivery guarantee still necessary?
The answer is yes, because ShipAid helps in several key areas:

1. Creates a New Revenue Stream


The Delivery Guarantee is an opt-in upsell at checkout. Customers pay a small fee to protect their order, and ShipAid pays out claims when needed.
If your loss rate is low, the amount of guarantee revenue generated typically exceeds the cost of claims paid out.
This additional revenue:
Boosts overall order profitability
Helps offset shipping or support costs
Scales alongside your order volume

2. Builds Customer Confidence


Even if issues are rare, offering protection increases buyer trust. Customers see that your brand is proactive and transparent.
This trust helps:
Improve conversion rates at checkout
Increase average order value (AOV) through more confident buying
Support customer retention by offering peace of mind

3. Reduces Support Overhead


Even a small number of WISMO tickets can add up. ShipAid handles tracking, updates, and claims—reducing pressure on your team and allowing for faster resolutions when issues do arise.

Real-World Example


Boutique Apparel Brand
With a 0.4 percent package loss rate, this brand questioned whether ShipAid was necessary. After launch, they saw:
A 61 percent opt-in rate on the Delivery Guarantee
Thousands in monthly net revenue from the upsell
Fewer post-purchase support inquiries
Even with low incident volume, the program paid for itself within the first month.

You Do Not Need High Losses to Benefit


ShipAid is designed to work whether your loss rate is 0.5 percent or 5 percent. The Delivery Guarantee is customer-funded, meaning you create a reliable, low-touch revenue stream simply by offering it.
You do not need to change your carriers or fulfillment setup. You just add another layer of value to your customer experience.

Final Thoughts


Even if you rarely deal with lost packages, ShipAid offers real, measurable benefits. The Delivery Guarantee helps you:
Increase revenue
Build trust
Streamline support
Improve customer satisfaction
It is not about how often things go wrong. It is about how prepared and customer-focused your brand looks when things go right.
Want to see how much revenue ShipAid could add for your business?
We can run the numbers and show you a custom forecast based on your order volume and opt-in potential.

Updated on: 27/05/2025

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