Shipping Glossary

Zone-Based Pricing

What zone-based pricing is, how shipping zones work, and how distance affects your rates.

Definition

Zone-based pricing is the standard shipping rate structure where the cost of shipping a package increases based on the distance (zone) between the origin and destination ZIP codes. The United States is divided into zones 1 through 9, with zone 1 being the closest and zone 9 being the farthest.

What Is Zone-Based Pricing?

All major carriers use a zone system to calculate shipping rates. Zones are determined by the distance between the origin and destination ZIP codes, not by state boundaries. Zone 1 covers your local area (typically within 50 miles), while zone 9 spans coast-to-coast. Each zone has its own rate table, so the same package costs more to ship from New York to Los Angeles (zone 8) than from New York to Philadelphia (zone 2-3). Zone-based pricing applies to most services including USPS Ground Advantage, Priority Mail, FedEx Ground, and UPS Ground. The notable exception is flat rate shipping, which ignores zones entirely.

Why It Matters

Understanding zones helps you predict shipping costs and optimize your fulfillment strategy. If most of your customers are on the West Coast but you ship from the East Coast, you're paying zone 7-8 rates. Strategically choosing fulfillment locations or offering appropriate shipping options can significantly reduce costs.

How Each Carrier Handles Zone-Based Pricing

USPS

USPS uses zones 1-9 for all weight-based services including Ground Advantage, Priority Mail, and Priority Mail Express. USPS zone charts are available at postcalc.usps.com. Flat Rate and certain commercial services are exceptions that ignore zones.

FedEx

FedEx uses zones 2-8 for domestic ground and express shipments. Zone calculations are based on the distance between origin and destination ZIP codes. FedEx provides zone charts through its online tools and FedEx Ship Manager.

UPS

UPS uses zones 2-8 for domestic shipments. UPS zone charts are available through ups.com and the UPS WorldShip software. Zone-based pricing applies to all standard UPS services.

Tips

Ship from a location as close to your customers as possible to stay in lower zones

Use I'd Ship That to see the exact zone and rate for each shipment before purchasing

For high-zone (long-distance) heavy shipments, flat rate boxes often beat zone-based pricing

If you sell nationally, consider using a fulfillment center in a central location like Kansas or Texas to minimize average zone distances

Related Terms

DIM Weight • Flat Rate Shipping • Ground Advantage

Frequently Asked Questions

How do I find my shipping zone?

You can look up your shipping zone using the USPS zone chart tool at postcalc.usps.com by entering your origin and destination ZIP codes. FedEx and UPS offer similar zone calculators on their websites. Shipping platforms like I'd Ship That calculate zones automatically.

How many shipping zones are there?

USPS uses zones 1 through 9. Zone 1 is the most local (same area), and zone 9 is the farthest (coast to coast, or to Hawaii/Alaska). FedEx and UPS use zones 2 through 8 for domestic shipments.

Does zone affect delivery speed?

For ground services, yes. Higher zones generally mean longer delivery times since the package travels farther. A zone 2 Ground Advantage package might arrive in 2 days, while a zone 8 shipment could take 5 days. Express services are less affected since they use air transport.

How can I reduce my shipping zone costs?

Ship from a location closer to your customers, use flat rate boxes for heavy long-distance shipments, consider regional carriers for specific zones, or use a fulfillment network with multiple warehouse locations to reduce the average distance to customers.

Start Shipping Smarter

I'd Ship That automatically handles zone-based pricing calculations so you always get the best rate.

Start Shipping Free

Free to start No monthly fees USPS, FedEx & UPS