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Work out delivery charges and explain them clearly

Include courier, packaging, COD, and return costs in your calculation. Show customers the final delivery charge before they place an order.

Written and edited by
DokanNao Editorial Team
Reading time
2 minutes
Published: Updated:

Key takeaways

  • Start with current provider and packaging costs for the actual route and parcel.
  • Decide transparently whether the customer pays full cost, a flat amount, or a documented subsidy.
  • Show the charge and conditions before final submission, with no hidden post-order adjustment.
In this guide
  1. Add up your actual costs
  2. Choose a simple rule for customers
  3. Check the cost of free delivery
  4. Show the charge at the right time
  5. Review exceptions

Customers should know the delivery charge before ordering. Start with your actual costs, choose a simple rule, and explain any exceptions early.

Add up your actual costs

Start with the current provider charge for the actual origin, destination, parcel size or weight, COD service, return, and special handling. Add packaging and any operational cost you deliberately include. Do not hide product margin inside an unexplained fee.

Choose a simple rule for customers

Choose a simple rule customers can understand: exact route-based cost, a flat charge within defined areas, or a merchant subsidy. Document who absorbs the difference. Avoid many exceptions staff cannot apply consistently.

Check the cost of free delivery

Free delivery is not free to the business. Model margin, average parcel cost, returns, and order composition. A minimum order amount may change what customers buy, but it won’t always increase profit. Try one clear rule and check the actual costs and earnings.

Show the charge at the right time

Show the delivery rule near product or policy information when relevant, collect the location needed for calculation, and display the final charge before submission. Repeat it in confirmation. If a remote or special parcel needs review, say so before accepting the order.

Review exceptions

Review overrides, wrong zones, returned parcels, unexpected provider charges, and customer complaints. Update the rule only after a meaningful change and keep the courier process and checkout total aligned.