I've gone ahead and made free shipping a standard in my shop. It was such a big success for me I decided that the cut I take in my already low profit margin was worth it. I want my product in the hands of as many people as I can get it to, and I am willing to accept coming out of my pocket for this. Of course when I crunch the numbers it isn't a financially sound thing to do to run a business, but then neither is waiting months between sales but at least I won't get beat on shipping.
I've said before that the number one complaint of all customers who were reluctant to purchase handmade soap, was that shipping made the overall price unappealing. I understood where they were coming from. Soap such as this is viewed by many as a once-in-a-while treat, and not as a necessity. If they want to be economical, they wouldn't come to me to buy their household soap for that month. Even though free shipping doesn't mean people will now get soap from me rather than buy a pack of Dove (although that would be great), it does mean that they will now buy my soap. I couldn't give away a bar of soap until now. Mainly because with shipping a single bar can cost upwards of $7. Unless you have a set clientele most will not purchase it.
So have at it people. Come get soap free of the weight of shipping!