StoreOps Directory"Free shipping is a marketing cost, not a logistics cost."
Why this matters in practice
Account for it in CAC, not COGS, to align incentives correctly.
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Related Operational Failures
This insight often shows up when these failures occur:
Operational Readiness Check
These checklist items can help prevent this situation:
- Returns policy is clearly accessible
Reduces pre-purchase anxiety.
- Fraud rules are reviewed weekly
Balances risk vs revenue.
- Refunds are processed within 48 hours
Builds trust for future purchases.