Pricing Terms Advanced

Zone Skipping

Also known as: Zone Skip, Bypass Shipping, Presort

Definition

Zone skipping moves packages by truck to a carrier facility closer to the destination before handing off for final delivery. It skips the most expensive zones in parcel pricing.

How Zone Skipping Works

  1. Collect packages for a region
  2. Truck to destination-area carrier hub
  3. Inject into carrier network locally
  4. Carrier delivers as “local” zone
  5. Pay zone 1-2 rates instead of zone 6-8

Zone Skipping Economics

Without Zone Skip With Zone Skip
Zone 7-8 rates Zone 1-2 rates
Carrier trucks everything You truck to hub
Higher per-package cost Lower per-package cost
Faster transit Adds 1-2 days

When Zone Skipping Makes Sense

  • High volume to specific regions
  • Price-sensitive shipments
  • Flexible transit time
  • Dense destination areas
  • Established regional flow

Zone Skipping Methods

Postal injection: USPS destination entry Carrier consolidation: FedEx/UPS SmartPost Regional carrier handoff: Final mile specialists Freight + local parcel: LTL to hub, then parcel

Cost Savings

Typical savings:

  • 15-30% off standard zone rates
  • Break-even at ~500-1000 packages per lane
  • Offset truckload cost with package savings

Considerations

  • Volume requirements
  • Transit time trade-off
  • Complexity in operations
  • Carrier relationships
  • Tracking visibility
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