Ship.com Urges Sellers to Treat Shipping as COGS

Ship.com is urging ecommerce sellers to treat shipping as a core cost of goods sold as 2026 carrier rate changes take effect. The platform says headline general rate increases of 5.9% can become effective increases of 10% to 20% once surcharges and fees are included. Its tools are aimed at direct sales consultants, ecommerce sellers, and MLM organizations that need commercial carrier rates, automated shipping tasks, and clearer order-level cost data. Ship.com says the issue is especially relevant for brands whose margins can be reduced by residential delivery charges, dimensional weight pricing, and invoice adjustments.

Rate Hikes Go Beyond Base Prices

Ship.com points to surcharges as a major part of the cost pressure facing online retailers. More than 90% of ecommerce orders go to homes, according to the release, placing direct-to-consumer brands in the path of residential surcharges of $4 to $6 per package.

Other charges can include additional handling fees of $15 to $30 for packages over 48 inches or irregularly shaped, plus $10 to $15 address-correction fees. The company also highlights dimensional weight pricing, where carriers charge based on a package’s size rather than its actual weight.

“Shipping is the overlooked profit lever hiding in plain sight. It touches everything—margin, operations, customer experience, and scale,”

Building Shipping Into Order Costs

The company recommends tracking profit per order instead of revenue alone. That calculation should include product costs, packaging, carrier fees, labor, dimensional weight, surcharges, and post-shipment adjustments, it says.

Its suggested operating steps include documenting shipping procedures, creating labels in batches, sending automated tracking emails, syncing inventory, validating addresses, and building a buffer for peak-season surcharges and rate increases. Sellers can also monitor shipping as a percentage of order value, on-time delivery, claims rates, and dimensional versus actual weight.

“A 5.9% increase doesn't sound dramatic until you realize it's on top of last year's increase, and the year before that. Over five years, that's a 30% cumulative increase. Most business owners haven't adjusted their pricing to match. They are left choosing between eating margin or raising prices and risking churn.”

Automation and Commercial Rates

Ship.com offers shipping infrastructure intended to help sellers audit shipping spend, create labels, access cubic pricing, and view real-time profitability per order. The platform provides commercial rates from carriers including UPS and USPS, alongside customer loyalty programs and support.

For founders who need to keep fulfillment work manageable while monitoring margins, the company’s approach centers on replacing manual shipping tasks with automated workflows and more detailed cost visibility.

“The businesses that win don't ship harder—they ship smarter,” says Henzel. At Ship.com, we give sellers leverage and visibility, providing the peace of mind that turns shipping from a silent profit leak into a competitive edge.”