Why Is Shipping So Expensive
Shipping costs are rising—and for businesses and individuals alike, it’s no longer just a seasonal headache. From international imports to last-mile deliveries, understanding the drivers behind these costs can help you plan smarter, ship more affordably, and avoid unexpected fees.
Whether you run an eCommerce store or send the occasional parcel abroad, here’s what’s pushing prices up—and what you can do about it.
Operational & Infrastructure Costs
Shipping isn’t just about distance—it’s about what it takes to move something from point A to point B.
Fuel Prices
Fuel costs remain one of the most volatile contributors to shipping rates. Even small fluctuations in diesel or aviation fuel impact couriers' pricing models—especially for air freight and long-haul road shipments.
Labour and Wages
Each parcel passes through dozens of hands: sorters, drivers, customs agents. Rising global wages, driver shortages, and post-pandemic burnout in the logistics sector have pushed handling costs higher.
Packaging & Materials
Cardboard boxes, pallet wrap, foam inserts—these don’t come free. Add eco-friendly alternatives or fragile item handling, and you're looking at higher base costs.
External Market Pressures
Even if logistics costs were stable, global disruption continues to ripple through shipping networks.
Peak Demand Surges
The fourth quarter—covering Black Friday through Christmas—is a crunch time. So are back-to-school months and certain tax windows in the US. Courier networks get overloaded, and premium services fill up first—driving prices higher.
Supply Chain Disruption
From port congestion to conflict in shipping lanes (e.g. the Red Sea crisis), global events impact shipping availability. These bottlenecks increase costs for available freight space.
Geographic Challenges
Some regions are inherently more difficult to reach due to poor infrastructure, weather risks, or limited delivery coverage. Couriers often charge more for deliveries to rural postcodes or remote areas.
Size, Weight & Dimensional Pricing
Shipping isn’t just about kilograms. It’s about how much space a parcel takes up on a van or plane.
Dimensional Weight (Volumetric Pricing)
Carriers like DHL, UPS and FedEx now charge based on dimensional weight, which is calculated using your package’s volume (L × W × H ÷ divisor) rather than just physical weight. Large, lightweight items can cost far more than expected.
Oversized Fees
Items that exceed standard sizes (e.g. over 120 cm on any side) may trigger extra handling fees, especially with UPS Ground or Royal Mail Tracked 48 Large.
Why International Shipping Is Especially Expensive
When shipping across borders, costs rise for good reason:
Customs inspections slow down parcels and require admin time.
Import duties or VAT may be levied depending on declared value.
More handling steps mean higher risk—and higher insurance costs.
Air freight is default for most parcels under 10 kg, and it's pricier than sea or rail alternatives.
Tip | How It Helps |
---|---|
Consolidate Shipments | Send fewer, larger packages instead of many small ones to reduce per-item costs and minimise surcharges. |
Measure Accurately | Avoid surprises from dimensional weight charges by entering exact size and weight when booking. |
Declare Correctly | Correct customs forms reduce the risk of delays, fines, or returns. |
Use Multi-Carrier Options | Some couriers are cheaper for certain routes—using a comparison platform helps find the best rate for each destination. |
Use a Shipping Partner | Brokers like World Options give you access to pre-negotiated carrier rates and better logistics planning. |
How World Options Can Help
World Options partners with leading global carriers to help businesses navigate rising shipping costs with precision.
Whether you're sending high-volume eCommerce orders or occasional international parcels, we offer:
Live rate comparisons across couriers like DHL, UPS, FedEx, and more
Smart routing tools to reduce handling and delivery delays
Pre-filled documentation to reduce customs headaches
Support teams ready to help with complex shipping routes or VAT queries
Frequently Asked Questions
Why is shipping so expensive?
Shipping costs are influenced by fuel prices, labour, packaging, customs processing, and the distance or complexity of a delivery route. Air freight, international handling, and peak-season demand can also drive prices up.
Is UK shipping more expensive than other countries?
UK shipping can feel expensive due to VAT, fuel surcharges, and border-related procedures post-Brexit. However, prices are comparable to other developed countries when adjusting for distance, inflation, and carrier rates.
How can I reduce my shipping costs?
Use a multi-carrier platform like World Options to compare prices. Consolidate shipments, measure packages accurately to avoid dimensional weight charges, and plan around peak periods when possible.
Are standard and ground shipping the same?
Not exactly. Standard shipping is a general term for regular deliveries, which may include ground or air transport. Ground shipping refers specifically to land-based transport via trucks or trains, usually slower but cheaper.