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Card class: HeroCategory: Shipping & Courier

At a glance

Average postage cost per Net Dispatch-routed parcel in GBP, post-discount and including standard surcharges. Reflects UK multi-carrier rate-shopping outcome: Net Dispatch’s pooled rates plus per-shipment optimisation across Royal Mail, DPD, Evri, Yodel, ParcelForce. Typically 5 to 12% lower than direct-to-carrier UK average for similar volume.
What it countsSUM(label cost in GBP) / COUNT(shipments) over the trailing 30 days.
Cost components includedCarrier base rate + fuel surcharge + carrier-specific accessorials (residential, remote-area, oversize) + Net Dispatch per-label fee.
Discount handlingNet Dispatch negotiates pooled rates with UK carriers; merchants typically pay 5-12% less than direct-to-carrier published rates.
Service level scopeAll Net Dispatch-booked services pooled.
Carrier-mix effectStrongest cost driver. Heavy Evri/Yodel use lowers the average dramatically (£1.50-£2.50/parcel) but hurts on-time. Heavy DPD use raises average (£3.50-£5.00/parcel) but lifts on-time.
Annual rate increaseMost UK carriers raise rates once-yearly, typically January-February (3-7% per cycle). Some (Royal Mail) have additional mid-year adjustments.
Q4 surchargesUK carriers add Q4 peak surcharges October-January (£0.20-£1.50/parcel for high-volume); the card includes them.
CurrencyGBP for UK domestic. International shipments may convert at booking-time FX.
Time window30D vsP
Alert trigger+10% vsP
Rolesowner, finance, operations

Calculation

Calculated automatically from your NetDispatch data. See the At a glance summary above for what the metric tracks and the worked example below for a typical reading.

Worked example

A UK DTC fashion merchant via Net Dispatch. Reading taken at 09:00 GMT on 12 Mar 26 for the trailing 30 days vs the prior 30 days.
Underlying CarrierShipmentsAvg billed (Net Dispatch GBP)Equivalent direct estimate
Royal Mail Tracked 485,820£3.10£3.40 (-9%)
Royal Mail Tracked 242,180£4.20£4.65 (-10%)
DPD Next Day1,420£4.40£4.90 (-10%)
Evri 3-5 Day3,940£1.95£2.20 (-11%)
Yodel Standard880£2.40£2.75 (-13%)
FedEx UK Express (international)220£14.80£16.20 (-9%)
All carriers (this card)14,460£3.05£3.40 (-10.3%)
The card reads £3.05 (30D) vs £2.92 (prior 30D), +4.5% increase. Alert at +10% has not tripped. Five things to notice:
  1. Net Dispatch is saving the merchant ~£0.35/parcel vs direct. At 14,460 monthly shipments, ~£5,060/month or £61K/year saving. This is the platform’s value proposition.
  2. Evri at £1.95/parcel is the cheapest option but drags on-time. The cost-vs-OTD trade is most acute on Evri/Yodel; merchants weighing the trade should look at this card alongside On-Time Delivery Rate.
  3. The +4.5% climb is mostly January 2026 carrier rate increases. Royal Mail published a 6.4% increase effective 1 Apr 26 (will affect April readings); DPD applied a 5.1% increase in January. Non-negotiable.
  4. No major service-mix shift. Volume mix between carriers is similar to prior 30D; cost climb is rate-driven not mix-driven.
  5. Compare against on-time card. Cost climb of 4.5% paired with on-time stable at 94.0% = “I’m paying 4-5% more for the same service quality”. Acceptable; the trade flips negative if on-time degrades while cost climbs.

Sibling cards merchants should reference together

CardWhy pair it with Avg Shipping CostWhat the combination tells you
On-Time Delivery RateQuality-cost trade.Net Dispatch value prop is “save without losing on-time”.
Cost Per Shipment Trend90D shape.Upward = structural; spike = one-time.
Cost by ZoneUK regional split.Highland/island surcharges drive region-level cost.
Shipments by ServiceCarrier mix split.Shifting Evri to Royal Mail raises average.
Cross-connector: royal_mail.rm_avg_shipping_costDirect-RM subset comparison.Net Dispatch-RM should beat direct-RM.
Cross-connector: shopify.total_revenueMargin denominator.UK shipping cost as % of revenue.

Reconciling against the vendor’s own dashboard

Where to look in Net Dispatch’s own dashboard: Net Dispatch DashboardBilling → Statements. Monthly invoice shows total spend in GBP and shipment count. Why our number may legitimately differ from Net Dispatch’s portal:
ReasonDirectionWhy
Charge componentsEitherCard includes Net Dispatch per-label fee; portal sometimes shows base postage only.
Refund handlingCard may be higherRefunds (cancelled labels) post on next billing cycle.
VAT inclusionEitherUK VAT (20%) treatment differs between merchant configurations; reconcile gross-vs-net display.
Cross-connector reconciliation:
CardExpected relationshipWhat causes legitimate divergence
royal_mail.rm_avg_shipping_costDirect-RM subset.Net Dispatch-RM should beat direct-RM by 8-12%.
dpd.dpd_avg_shipping_costSame for DPD.Same.

Known limitations / merchant FAQs

Net Dispatch saving vs direct-to-carrier UK? Typical 5-12% saving on rate-shopped volume. Driven by Net Dispatch’s pooled rates with Royal Mail, DPD, Evri, Yodel. Trade-off: large enterprise UK shippers (£3M+/year) may negotiate stronger direct contracts. My cost climbed 10%, alert tripped. What happened? Three diagnostic steps. (1) Cost Per Shipment Trend for shape. (2) Shipments by Service for carrier-mix. (3) Cost by Zone for regional shifts (Highland/Islands surcharges). Highlands and Islands surcharges? Most UK carriers add £3-£12/parcel surcharge to deliveries to Scottish Highlands & Islands, Northern Ireland (some), Channel Islands, Isle of Man. Net Dispatch passes the surcharge through; your average climbs if customer-mix shifts toward those regions. Should I configure Net Dispatch to use cheapest-only rate-shopping? For UK DTC under £2M/year shipping, usually yes (“cheapest meeting promise”). Trade-off: cheapest often selects Evri/Yodel which have weaker on-time. Configure rate-rules to prefer reliability for high-AOV orders. Q4 cost spike? UK carriers add Q4 peak surcharges October-January; expect 5-12% climb above steady-state. Combined with January rate increases at year-end, plan budgets for +10-+18% combined cost November-February. VAT treatment? UK merchant accounts typically receive ex-VAT pricing on shipping (VAT-recoverable for VAT-registered businesses). Card displays whichever the connector receives in API responses. Verify config via Net Dispatch CSM if your reconciliation looks off. Brexit cost change for UK→EU? Pre-Brexit, UK→EU was domestic-equivalent pricing. Post-Brexit, UK→EU shipments are international with customs declarations and (often) DDP duty handling. Cost climbed 30-60% on EU lanes; merchants who set up EU-domiciled subsidiaries (Netherlands) shipping from there avoid the international leg. Why is OnTrac/Lasership not in my UK Net Dispatch? OnTrac, Lasership, LSO are US regional carriers. UK regional carriers integrated into Net Dispatch typically include: Evri, Yodel, ParcelForce, DX, Tuffnells (for larger items). Net Dispatch’s UK carrier portfolio differs from EasyPost’s US portfolio.

Tracked live in Vortex IQ Nerve Centre

Avg Shipping Cost is one of hundreds of KPI pulses Vortex IQ tracks across NetDispatch and 70+ other ecommerce connectors. Nerve Centre runs the detection layer; Vortex Mind investigates the cause when something moves; Ask Viq lets you interrogate any number in plain English. Start for free or book a demo to see this metric running on your own data.