Minimum order value in the online shop in an EU-compliant and user-friendly manner

What is a minimum order value?

Definition from the dictionary: The minimum order value is a certain value of goods that must at least be reached when ordering in online shops in order to be able to fulfil the order.

You have probably already noticed that a minimum order value is mainly used by retailers who offer their goods very cheaply in their shop.

Why is this the case?

Many online retailers want to cover their ongoing fixed costs with a certain order value . These fixed costs result from

• storage,
• logistics processing,
• accounting
• the packaging process and
• the dispatch of goods etc.

In principle, every shop operator can decide in favour of or against such a minimum order value for orders.

As a retailer, however, you should not only consider a few points from a competition law or legal perspective, but also from an SEO perspective.

After all, not everything you are allowed to do will increase the usability and sales of your shop.

Minimum order value vs. minimum quantity surcharge

Both a minimum order value and a minimum quantity surcharge are frowned upon by buyers.

I'll explain what you can do instead in a moment.

Shipping costs: a user-friendly alternative

Expert tip: In our opinion, it is much more user-friendly if you offer your customers on your website:

• offer free delivery from a certain order value or
• offer free standard delivery within your country after a corresponding price adjustment.

Implementing a minimum order value in WooCommerce and Shopify webshops

In the standard versions of WooCommerce and Shopify, it is not possible to set a minimum order value for orders.

For both webshops, however, the function can be

• be programmed by an expert and integrated into the respective shop system or
• be used after the installation of a specific tool.

I'll let you know which tools are suitable in a moment.

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Tool tips

Tips for WooCommerce:

We have two recommendations for your WooCommerce shop.

The WC Minimum Order Amount plugin and, as this has not been updated for a few months (which can change quickly, so just take a look anyway), the Minimum Purchase for WooCommerce plugin.

Tip for Shopify:

If you run a Shopify shop, we can recommend the Order Limits - MinMaxify app.

I'll now show you where you should place the minimum order value in your shop.

Online shops: Where should the use of a minimum order value be indicated for legal reasons?

To ensure that you are legally protected when implementing the minimum order value in your online shop, it is advisable to adhere to the individual points in our guide.

Failure to clearly indicate one or more of the recommended points can not only drive away potential website visitors, but can also lead to warnings.

1. Header or footer of a webshop page

As a retailer, you should clearly state in the header or footer of each shop page that a minimum order value has been stored in your system.

Example: Please note our minimum order value of xx euros.

2. Items with prices below the minimum order value

We also advise you to include a reference to the minimum order value for each item whose price does not reach this value.

It is best to place the note directly next to the relevant price details.

Example: 12.95 euros - including VAT plus shipping costs. Please note our minimum order value of 25.00 euros.

3. In the payment or shipping conditions

Information on the minimum order value should also be included in the payment or shipping conditions.

You can list it near the payment methods or shipping costs.

4. In the shopping basket area or on the way to checkout

If a customer is only made aware of an existing minimum order value in the final steps of the ordering process, this can lead to problems.

It is much better and more user-friendly to programme the shop so that the shopping basket is blocked if the product value does not reach the minimum order value.

5. In adverts and on price comparison sites

As a retailer, you will also place adverts outside your website or list your products on price comparison sites.

Paid adverts and product listings also require a reference to an existing minimum order value: otherwise you would lure customers with an advertised price to a product that is not available at this price due to the minimum order value.

6. Discount and voucher promotions

If you as a retailer offer your customers voucher and discount promotions, these promotions are often linked to a certain order value. If a customer does not reach this value, they cannot redeem the voucher or discount.

7. Advertising for free shipping that requires a certain order value

When advertising free shipping that is linked to a certain order value, you should also refer to the "free shipping limit".

Geo-blocking regulation: minimum order value for foreign customers only

A minimum order value for all buyers is perfectly permissible. However, if you are considering setting the minimum order value for foreign buyers only, this may be considered a violation of the European Union's Geo-blocking Regulation.

Conclusion

In today's article, I have introduced you to the term minimum order value and shown you the advantages and disadvantages of implementing it.

You have also learnt where you should include it in your online shop to avoid legal problems or annoying potential buyers.

If you would like to implement a minimum order value in your WooCommerce or Shopify webshop and would like professional support, simply contact us. Write to our email address This email address is being protected from spambots. You need JavaScript enabled to view it. call us on +43 1 353 2 353 or send us your enquiry using our contact form.