A pricing method that charges based on a package's volume rather than its actual weight, calculated as length × width × height divided by a carrier's DIM divisor.
DIM Divisor
The number used to convert a package's cubic size into a dimensional weight. A lower divisor produces a higher billable weight for the same box.
Zone Skipping
A shipping strategy that consolidates packages and moves them closer to their final destination before handing off to a local carrier, reducing the zones (and cost) of the final leg.
Incoterms
Standardized international trade terms (like DDP or DAP) that define who is responsible for shipping costs, duties, and risk at each stage of an international shipment.
De Minimis
The value threshold below which an imported shipment is exempt from duties and formal customs entry. Thresholds vary by country and are subject to change.
Manifest
A document listing the contents, weights, and destinations of packages included in a single shipment or pickup, used by carriers for tracking and customs.
Rate Shopping
The practice of automatically comparing rates across multiple carriers for a given shipment before selecting one, typically done through shipping software.
Accessorial Charges
Additional fees carriers apply for services beyond standard delivery, such as residential delivery, signature confirmation, or address correction.
Negotiated Rates
Shipping rates lower than published retail rates, obtained either directly from a carrier based on volume or through a shipping platform's aggregated commercial rates.
Last-Mile Delivery
The final leg of a package's journey from a local distribution facility to the recipient's door — often the most expensive segment of a shipment relative to distance covered.