Shipping Glossary
Definitions of common shipping and logistics terminology to help you understand your shipping costs.
- Actual Weight
- The physical weight of a package as measured on a scale, in pounds (lb) or kilograms (kg).
- Billable Weight
- The weight used to calculate shipping charges. It is the greater of actual weight or dimensional weight.
- Cubic Capacity
- The total volume of a package, calculated as Length × Width × Height.
- DIM Divisor
- The number used to convert cubic volume into dimensional weight. Common values are 139 (in³/lb) and 5000 (cm³/kg).
- DIM Factor
- Another term for DIM divisor. A higher factor results in lower DIM weight.
- Dimensional Weight (also: DIM Weight, Volumetric Weight)
- A calculated weight based on package size rather than actual weight. Formula: Volume ÷ DIM Divisor.
- Freight Class
- A classification system for LTL freight based on density, stowability, handling, and liability. Range from 50 to 500.
- Girth
- The perimeter of a package perpendicular to its longest side. Calculated as 2 × (Width + Height).
- Hundredweight (CWT)
- A pricing tier for ground shipping when total shipment weight exceeds 200 lbs, charged per 100 lb increments.
- LTL (Less Than Truckload)
- A shipping method for freight too large for parcel carriers but not enough to fill a full truck.
- Manifest
- A document listing all packages in a shipment, used for customs and tracking purposes.
- Oversize Package
- A package exceeding standard size limits, typically over 96" length or 130" length + girth. Subject to surcharges.
- Parcel
- A package suitable for small package carriers (UPS, FedEx, etc.), typically under 150 lbs and within size limits.
- POD (Proof of Delivery)
- Documentation confirming a shipment was delivered, often including signature and timestamp.
- Rate Shopping
- Comparing shipping rates across multiple carriers and services to find the best price for a shipment.
- Residential Surcharge
- An additional fee charged for deliveries to residential addresses rather than commercial locations.
- SKU (Stock Keeping Unit)
- A unique identifier for a product, used in inventory management and order fulfillment.
- Void Fill
- Material used to fill empty space in packages, such as air pillows, bubble wrap, or packing peanuts.
- Volumetric Equivalent (VE)
- Canada Post's term for dimensional weight, used to determine chargeable weight for parcel services.
- Zone
- A geographic area used to calculate shipping rates. Distance between origin and destination zones affects pricing.
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