UPS Ground and FedEx Ground Home Delivery have modified their shipping rates starting in 2015. Rates will be based on the size of the package. This pricing program is known as Dimensional Weight Pricing, also referred to as DIM Weight.
Dimensional weight reflects package size, which is the amount of space a package occupies on a delivery truck in relation to actual package weight. Carriers want to fill those little trucks with as many packages as possible.
A 5 pound box of lead versus a 5 pound down filled sleeping bag in a box weigh the same but are very different sizes. With the previous pricing method, shipping carriers charge by weight. So, the cost to ship the box with lead is the same as the cost to ship the box with the sleeping bag.
Here’s an example of a domestic shipment. Take a domestic ground package in a 25 x 26 x 18 cardboard box. It only weighs 40 pounds.. Your calculation would be (25 x 26 x 18) / 166 = 70.48 dim weight (carrier will round up to 71 lbs). The dimensional weight of 71 lbs is greater than the actual weight of 40 lbs. You will be billed for an 71 pound shipment. Not only are you paying for 31 additional pounds now, you also get above the threshold for additional handling fees. If you don’t remember why this is bad, check out our 2013 blog post, Why 71 Lbs.can be bad news.
To combat the cost, consider seeking out a dimensional weight waiver or working to negotiate a higher stands dimensional divisor. Gone are the days of just grabbing the closest box and sending it out the door. size DOES matter.
Contact Refund Retriever to help reduce your shipping costs. Let us show you your DIM weight packages and get refunds on your late packages and billing mistakes.