With the Marketplace app comes 4 different shipping options for the store owner to choose from.
If you have a Pro Shopify account or lower, you have access to 3 other shipping options as the store owner: No Shipping, Split Shipping and Full Shipping. If you have a Shopify Unlimited account or higher, you can use the 4th setting: Bold Managed Shipping. Bold Managed Shipping requires the "Real-time carrier shipping" upgrade in order to function properly. You can purchase this upgrade separately on some of the smaller plans however.
When using the No Shipping, Split Shipping or Full Shipping settings, the customer will be charged a flat rate pulled from the store's existing Shopify settings. So let's provide an example set of shipping settings, shall we? This image will be called Image #1, for reference.
Now let's give a generic example order:
This example will be called Image #2, for reference. As you can see, these are 3 products from 3 different merchants (notified by the red arrows). We're going to assume that this order would meet the 25-50kg shipping settings, seen in Image #1, giving it a flat shipping rate of $20.
As you can see, No Shipping means the store owner keeps the Shipping Fee. So in the example order provided in Image #2, the total shipping cost for the customer would be $20, of which the Store owner would keep it all, and the merchants would receive their portion after the commission has been taken. Merchants frequently account for shipping costs in the base price of the product when this setting is used.
Split shipping will divide the store shipping fee equally among vendors involved with a sale. So in the example order provided in Image #2, the total shipping cost for the customer would be $20, which would be divided equally among the 3 merchants, regardless of which product might cost more to ship proportionately.
Full shipping means that each merchant would get the full shipping fee, so in the case above, the total shipping cost for the customer would be $20, and each merchant would receive a full $20 as well. Full Shipping is often used when the store commonly sells larger products, where they want to make sure their merchants can account for all shipping costs, but is generally offset by taking a larger commission.
If you have a Shopify Unlimited account or higher, you have access to something called Bold Managed Shipping, which allows a merchant to choose individual shipping per product they create, which can also be specific to whichever zones the Shopify site has installed on their store. For a detailed breakdown on Bold Managed Shipping, click here!