Shipping Rates Explained

💸 Understanding Shipping Rates in ShipGenius Lite

When you ship through ShipGenius Lite, you’re getting access to deeply discounted rates — often lower than what you'd get walking into a USPS or UPS store. This article explains how those rates work, what determines shipping costs, and how ShipGenius is able to offer lower pricing.

📦 Types of Shipping Rates

Carriers like USPS and UPS have several pricing tiers. Here's a breakdown:

1. Retail Rates

• These are the default rates charged when you go into a post office or UPS Store.

• Also apply when using the carrier's website as a guest.

• Most expensive tier.

• Example: USPS Ground Advantage (2 lb) = $11.90

2. Commercial Base Rates

• Discounted rates available through third-party online postage providers.

• Lower than retail, but still not the best available.

• Requires shipping online through an authorized platform.

3. Negotiated/Commercial Plus Rates (Used by ShipGenius)

• These rates are only available to businesses or platforms that ship large volumes.

• Carriers offer reduced pricing in exchange for guaranteed volume.

• ShipGenius Lite uses these rates by default.

🤝 Why Are ShipGenius Rates Lower?

ShipGenius holds negotiated contracts with major carriers like USPS and UPS. This allows users to:

• Access Commercial Plus rates immediately — no individual contracts or volume required.

• Avoid account setup with carriers.

• Benefit from built-in discounts for fuel, residential delivery, dimensional weight, and zone-based pricing.

You do not need to do anything special — these rates apply automatically when you use ShipGenius to buy a label.

📈 How Are Shipping Costs Calculated?

Carriers use multiple inputs to calculate a shipment’s cost:

• Weight (in pounds or ounces)

• Dimensions (length × width × height)

• Shipping zone (determined by the distance between origin and destination ZIP codes)

• Package type (box, soft pack, carrier-provided packaging)

• Surcharges (fuel, residential delivery, delivery area)

The rate you see in ShipGenius includes these variables and is calculated in real-time using carrier APIs.

🏷️ Can I Use My Own Carrier Account?

Yes. ShipGenius Lite supports connecting your own UPS or FedEx account if you’ve negotiated better rates directly with a carrier.

You can:

• Use your own account for billing and rate access.

• Continue using ShipGenius to manage shipments, addresses, and tracking.

If you don’t have your own account or haven’t negotiated rates, it’s recommended to use the ShipGenius negotiated rates.

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