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Inside the carrier network

What does last-mile delivery cost per package?

Model a delivery route: stops, packages, driver time, miles and fuel. See how route density changes cost per package.

Your inputs

Defaults update weekly from live data
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Results

Cost per package$2.55
Cost per stop$3.57
Cost per route$500
Annual route cost$149,923

Route cost by component

Driver
$399
Fuel
$54
Vehicle
$47
  • Fuel is 10.8% of this route’s cost. Density, not fuel, drives cost per package.
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How this is calculated

Route cost = driver hours × rate + miles ÷ MPG × fuel + miles × vehicle cost.

Rates shown as defaults come from carrier publications or each carrier’s published table applied to the EIA price; see the methodology. Estimates and examples are labeled. Results are illustrative and do not represent any carrier’s reported financial results.

Questions

Why are residential deliveries more expensive?

Fewer packages per stop and more miles between stops raise cost per package, which carriers recover through residential surcharges.

See whether your residential charges match the cost to serve.

Logistics Contract Optimizer reviews parcel, LTL and truckload agreements for free. Clients typically recover 3% to 15% of freight spend, and with savings-share pricing there is no fee without savings.