There would be no more returns, warehouse fees, printing expenses, or shipping costs.

NEWYORKER: Publish or Perish

It is not uncommon for retailers to tout free shipping benefits, but then charge a higher price per item to cover their expenses as a result of the shipping policy.

FORBES: 7 Tips For Avoiding Shipping Costs When Shopping Online

What has been proven is that if you are one of the top spenders, innovation will impact gross margin (the percentage of revenue left over after subtracting the costs of materials, labor, manufacturing, and direct shipping, and after paying other expenses incurred in making the products or services sold).

FORBES: Innovation Law #3 - The Law of Resources

Wal-Mart may improve its sales by offering free shipping, but if there is no minimum purchase amount, small value purchases could lead to the retailer bearing higher expenses relative to sales.

FORBES: Web Shopping Gambit Could Bite Wal-Mart