The Hidden Cost of Zip-to-Zip Quoting (and How to Avoid It)

When you’re comparing freight quotes, it’s tempting to look for the fastest, simplest answer. Many carriers and brokers will give you a “zip-to-zip” rate: a price based only on the origin and destination zip codes. On the surface, it feels like you’re getting clarity. In reality, this kind of quoting often hides costs that come back to bite you later.

At Customodal, we’ve seen how shippers lose money and time when relying on zip-to-zip quotes. Here’s what’s really happening behind the numbers—and how you can avoid those surprises.

Why Zip-to-Zip Looks Attractive

• Fast and simple: Just plug in two zip codes and you get a number.

• Easy comparison: You can line up several providers and pick the lowest rate.

• Less effort upfront: No need to provide details about the shipment.

The problem is that freight pricing isn’t that simple. Zip-to-zip quotes are only telling you part of the story.

The Hidden Costs of Zip-to-Zip Quoting

1. Accessorial Charges

Things like liftgate service, residential delivery, inside delivery, or limited access locations aren’t included in most zip-to-zip quotes. If your shipment requires them (and many do), you’ll see extra charges added after the fact.

2. Incorrect Freight Class

A zip-to-zip quote doesn’t take into account the actual freight class of your shipment. If you estimate wrong, the carrier will reclassify it and adjust your invoice—usually upward.

3. Missed Service Level Details

Transit times, guaranteed delivery windows, and appointment requirements don’t show up in a simple rate. If you quote zip-to-zip, you might assume faster service than you actually get.

4. Re-Billing and Disputes

Surprise charges lead to billing disputes, which slow down accounting and sour carrier relationships. In many cases, the lowest-looking zip-to-zip rate ends up costing more than a detailed quote from the start.

How to Avoid the Traps

The solution isn’t to avoid quoting altogether—it’s to make sure you’re quoting with the right details upfront.

• Provide shipment specifics: Weight, dimensions, freight class, pallet count, and handling requirements.

• Be clear about pickup and delivery locations: Is it a business with a dock? A construction site? A residence? Each matters.

• Ask about accessorials: Clarify if liftgate, inside delivery, or special services are included in your quote.

• Work with a trusted 3PL: A good logistics partner doesn’t just give you a number. They guide you through the details that prevent costly surprises.

The Bottom Line

Zip-to-zip quotes may look quick and easy, but they rarely reflect the true cost of your shipment. By taking the time to provide details—or working with a 3PL like Customodal that knows what questions to ask—you can avoid unnecessary charges and keep your freight budget on track.

At the end of the day, the cheapest-looking rate is often not the cheapest shipment.

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