All examples for Shipping Cost Analyzer

Multi-Carrier Zone Routing Optimization

Compares costs across FedEx, UPS, and USPS by destination zone to determine optimal carrier routing rules, with anomaly detection and negotiation leverage analysis.

Input

What you provide to the skill

I ship 300 packages monthly using FedEx, UPS, and USPS. I have CSVs with origin/destination zips, service levels, and fuel surcharges. Which carrier should I use per zone and where am I overpaying?

Output

What the skill generates for you

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SHIPPING COST ANALYSIS - November 2025

EXECUTIVE SUMMARY

  • Total Shipments: 300
  • Total Spend: $19,109.92
  • Average Cost per Shipment: $63.70
  • Average Cost per Pound: $8.84

CARRIER PERFORMANCE COMPARISON

Carrier Shipments Total Cost Avg $/Shipment Avg $/lb Market Share
FedEx 113 $ 8,035.39 $ 71.11 $ 9.32 37.7%
UPS 112 $ 7,970.16 $ 71.16 $ 9.05 37.3%
USPS 75 $ 3,104.37 $ 41.39 $ 7.78 25.0%

COST BY DESTINATION ZONE (Ground/Priority Services Only)

Zone FedEx $/lb UPS $/lb USPS $/lb Best Choice Your Current Split
2 $4.98 $4.58 $4.90 UPS (-8.0%) USPS 44%, FedEx 33%, UPS 22%
3 $4.83 $5.85 $6.71 FedEx (-28.0%) UPS 47%, USPS 28%, FedEx 25%
4 $7.40 $6.19 $5.72 USPS (-22.7%) FedEx 41%, UPS 35%, USPS 24%
5 $7.11 $5.62 $5.46 USPS (-23.2%) FedEx 38%, UPS 36%, USPS 26%
6 $8.73 $9.72 $6.84 USPS (-29.6%) FedEx 36%, UPS 36%, USPS 27%
8 $7.69 $6.96 $12.45 UPS (-44.1%) FedEx 67%, UPS 17%, USPS 17%

CARRIER ROUTING OPTIMIZATION ANALYSIS

By routing each shipment to the lowest-cost carrier for its zone:

Zone Shipments Current Cost Optimal Cost Monthly Savings Switch To
5 50 $ 2,549.37 $ 2,329.06 $ 220.31 USPS
6 22 $ 1,179.19 $ 1,045.09 $ 134.10 USPS
4 34 $ 1,274.59 $ 1,165.31 $ 109.28 USPS
8 6 $ 296.38 $ 263.84 $ 32.54 UPS
2 36 $ 1,328.86 $ 1,310.65 $ 18.21 UPS

Total Monthly Savings Potential: $514.45
Annual Savings Potential: $6,173.38

DIMENSIONAL WEIGHT ANALYSIS

  • Packages charged at dim weight: 68 (22.7%)
  • Average dim weight penalty: 3.6 lbs per package
  • Estimated monthly impact: $1,842.16

ANOMALIES DETECTED

Found 12 shipments with abnormally high costs

Top 5 by overpayment amount:

  1. FedEx-2025-11-01: $107.65 for 5.7 lbs to Zone 4

    • Cost: $18.89/lb (expected ~$7.40/lb)
    • Overpayment: $65.47
    • Action: Review invoice for unexpected surcharges or address corrections

  2. UPS-2025-11-02: $109.79 for 8.3 lbs to Zone 4

    • Cost: $13.23/lb (expected ~$6.19/lb)
    • Overpayment: $58.39
    • Action: Review invoice for unexpected surcharges or address corrections

  3. USPS-2025-11-23: $92.91 for 10.0 lbs to Zone 2

    • Cost: $9.29/lb (expected ~$4.90/lb)
    • Overpayment: $43.93
    • Action: Review invoice for unexpected surcharges or address corrections

  4. FedEx-2025-11-07: $54.18 for 3.0 lbs to Zone 4

    • Cost: $18.06/lb (expected ~$7.40/lb)
    • Overpayment: $31.98
    • Action: Review invoice for unexpected surcharges or address corrections

  5. UPS-2025-11-12: $43.32 for 2.0 lbs to Zone 3

    • Cost: $21.66/lb (expected ~$5.85/lb)
    • Overpayment: $31.62
    • Action: Review invoice for unexpected surcharges or address corrections

================================================================================
OPTIMIZATION RECOMMENDATIONS

Priority 1: Carrier Routing Optimization

Estimated Monthly Savings: $514.45
Annual Savings: $6,173.38

Action Steps:

  • Zone 5: Route 50 shipments/month to USPS
    Currently using: FedEx (19), UPS (18), USPS (13)
  • Zone 6: Route 22 shipments/month to USPS
    Currently using: FedEx (8), UPS (8), USPS (6)
  • Zone 4: Route 34 shipments/month to USPS
    Currently using: FedEx (14), UPS (12), USPS (8)

Priority 2: Dimensional Weight Reduction

Estimated Monthly Savings: $921.08
Annual Savings: $11,052.96

Action Steps:

  • Test smaller packaging for 68 shipments currently hit with dim weight
  • Focus on packages with penalties >4 lbs first (20 shipments)

Priority 3: Carrier Negotiation Leverage

Your negotiating position:

  • Volume: 300 shipments/month
  • Annual spend: $229,319.04
  • You have competitive alternatives (using all 3 carriers)

Recommended asks:

  • FedEx: Request 8-10% discount on Zones 5-8 Ground rates
  • UPS: Request volume discount tier upgrade (currently 112 shipments/month)
  • USPS: Negotiate Commercial Plus pricing for Priority Mail

================================================================================
TOTAL ESTIMATED SAVINGS

Recommendation Monthly Annual Difficulty
Carrier Routing Optimization $514.45 $6,173.38 Medium
Dim Weight Reduction $921.08 $11,052.96 Medium
Carrier Negotiation (est.) $1,146.60 $13,759.14 Low
TOTAL $2,582.12 $30,985.48 -

Savings as % of current spend: 13.5%

================================================================================
IMPLEMENTATION TIMELINE

This Week

  1. Review top 5 anomalies with carrier customer service
  2. Request rate cards from all three carriers for negotiation

This Month

  1. Implement routing rules: Zone 2-3 -> USPS, Zone 4-5 -> UPS, Zone 6-8 -> evaluate
  2. Test smaller box sizes for top 20 dim weight penalty shipments
  3. Schedule negotiation calls with carrier account managers

Next 60 Days

  1. Roll out optimized carrier routing across all zones
  2. Finalize carrier contract negotiations
  3. Re-measure savings and adjust strategy
View all examples for Shipping Cost Analyzer

About This Skill

Analyze shipping invoices from multiple carriers to identify cost optimization opportunities with specific savings estimates.

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