E-Commerce Shipping Cost Consideration

This guide covers the important factors in calculating shipping cost

  1. Actual Weight vs. Dimensional Weight

Carriers determine their charges by considering the actual weight of the package or the 'dimensional weight,' whichever is higher. Dimensional weight is calculated by multiplying the package's length, width, and height, and then dividing the result by a specific dimensional factor.

(Length x Width x Height)cm / Dimensional Factor = Dimensional Weight

Most express shipping carriers like UPS and FedEx typically utilize a dimensional factor of 5000, while standard shipping carriers such as Spaceship Air may use a dimensional factor of either 6000 or 8000.

When obtaining a quotation from Spaceship Pro, the platform will calculate the chargeable weight and provide you with the shipping costs from various carriers. For further information on how chargeable weight is calculated, we recommend checking out this article.

  1. Consider the Destination Cost

Most express carriers, such as UPS and FedEx, apply surcharges for residential and remote deliveries, which can reach up to USD7 and USD40, respectively. These extra fees may be invoiced after the delivery, according to the courier's scan. Be sure to review the additional surcharges for each courier before finalizing your decision.

  1. Dynamic fuel and peak season surcharge

Dynamic charges, which can account for 30-50% of the total cost, are common among carriers. By requesting a live quotation, you can secure the most cost-effective shipping option for both express and standard shipping services.

 

Last Updated:  14 Aug 2024