Is There a Cheaper Way to Ship Than USPS? Times when UPS is cheaper.
Introduction
Shipping costs can quickly eat into your budget, whether you’re a small business owner, an avid online seller, or just sending gifts to friends and family. The United States Postal Service (USPS) is often the go-to choice for many, but is it always the most affordable option? The answer, as you might guess, is a resounding it depends!
This article breaks down the complexities of shipping costs and explores alternative carriers (like UPS and FedEx) along with practical tips to help you save money on shipping. We’ll dive into real-world rate comparisons for various package sizes and destinations, empowering you to make informed decisions.
Understanding the Factors Affecting Shipping Costs
Before comparing rates, it helps to grasp the factors driving those numbers. Key elements influencing shipping costs include:
- Weight: Heavier packages generally cost more to ship.
- Dimensions: Package size matters. Carriers use dimensional weight (DIM weight) to calculate costs, especially for larger, lightweight boxes. (DIM weight is calculated using package dimensions to equate to a weight, which is what is used if it is higher than the parcels actual weight.)
- Distance (Zone): The farther your package travels, the more you’ll typically pay.
- Speed (Service Level): Faster delivery options (e.g., overnight) command a premium.
- Carrier: Each carrier (USPS, UPS, FedEx) has its own pricing structure.
- Insurance and Tracking: Adding these features increases the cost.
- Discounts: Negotiated rates, business accounts, and using third-party shipping platforms like Stamps.com can unlock discounts.
USPS vs. The Competition: Rate Comparisons
Let’s get concrete. To illustrate potential cost savings, we’ve compiled sample shipping rates between various U.S. cities for different package sizes, using the assumption that you are shipping withing the continential United States. The rates below may fluctuate. We used our Online Shipping Calculator to calculate the rates and highlighted the cheapest rates for each package size.
Package Sizes:
- Small: 1 lb, 6x6x6 inches
- Medium: 5 lbs, 12x12x6 inches
- Large: 10 lbs, 18x18x12 inches
- Extra-Large: 20 lbs, 24x24x18 inches
Please note that these rates were generated on March 6th, 2025, and are subject to change.
Important Considerations:
- USPS Ground Advantage is Generally Cheapest: Across scenarios, USPS Ground Advantage tends to be the most budget-friendly option for ground shipping. However, as we see below, this is not always the case.
- Overnight is Expensive: Overnight and expedited shipping is where every carrier’s costs spike.
- UPS Ground Saver: You can sometimes find good prices with this option, especially in some regions. UPS Ground Saver combines UPS ground transportation with the final delivery often by USPS. UPS will often hand off the package to USPS for last-mile delivery to a home or business. It is currently only available to destinations within the 48 contiguous United States. You can read more details about the service here.
- USPS First Class offers the lowest prices for anything under 16 ounces.
Below we compare shipping prices of small, medium, large, and extra-large packages going to the following cities:
- Miami, FL → New York, NY (Southeast to East Coast)
- Los Angeles, CA → Chicago, IL (West Coast to Midwest)
- Dallas, TX → Miami, FL (South to Southeast)
- New York, NY → Los Angeles, CA (East to West Coast)
- Chicago, IL → Dallas, TX (Midwest to South)
We grabbed prices in real-time from shipping software Stamps.com that offers a discount on major carriers. This third-party software offers better deals than buying directly from the carriers. Surprisingly, in these scenarios, FedEx did not ever end up being the cheapest price.
Scenario 1: Miami, FL to New York, NY
| Package Size | Carrier | Cheapest Option | Delivery Days | Rate |
|---|---|---|---|---|
| Small (1 lb) | USPS | Ground Advantage | 5 | $8.71 |
| Medium (5 lbs) | USPS | Ground Advantage | 5 | $13.76 |
| Large (10 lbs) | UPS | Ground Saver | 5-7 | $58.12 |
| Extra-Large (20 lbs) | UPS | Ground Saver | 5-7 | $89.59 |
Analysis: This shows that for smaller weights, USPS is the cheaper option. However, for large weights, the cheaper option flips to UPS. The only was to know for sure what the cheapest price is is to shop around!
Scenario 2: Los Angeles, CA to Chicago, IL
| Package Size | Carrier | Cheapest Option | Delivery Days | Rate |
|---|---|---|---|---|
| Small (1 lb) | USPS | Ground Advantage | 4 | $8.19 |
| Medium (5 lbs) | USPS | Ground Advantage | 5 | $12.20 |
| Large (10 lbs) | UPS | Ground | 3 | $34.43 |
| Extra-Large (20 lbs) | UPS | Ground Saver | 4 | $77.79 |
Analysis: In general, it appears that UPS is a good option for shipping medium weight items.
Scenario 3: Dallas, TX to Miami, FL
| Package Size | Carrier | Cheapest Option | Delivery Days | Rate |
|---|---|---|---|---|
| Small (1 lb) | UPS | Ground | 3 | $7.26 |
| Medium (5 lbs) | UPS | Ground | 3 | $9.49 |
| Large (10 lbs) | UPS | Ground | 3 | $34.43 |
| Extra-Large (20 lbs) | UPS | Ground Saver | 4 | $77.79 |
Analysis: For this route, UPS shines as a cost effective shipping provider. For every weight class, they beat USPS.
Scenario 4: New York, NY to Los Angeles, CA
| Package Size | Carrier | Cheapest Option | Delivery Days | Rate |
|---|---|---|---|---|
| Small (1 lb) | UPS | Ground | 4 | $8.28 |
| Medium (5 lbs) | UPS | Ground Saver | 5 | $13.73 |
| Large (10 lbs) | UPS | Ground | 5 | $40.17 |
| Extra-Large (20 lbs) | UPS | Ground Saver | 5 | $89.59 |
Analysis: Much like Dallas to Miami, the same trend appears. If needing to transport a parcel between New York and Los Angeles, UPS is the most cost-effective option.
Scenario 5: Chicago, IL to Dallas, TX
| Box Size | Carrier | Cheapest Option | Delivery Days | Rate |
|---|---|---|---|---|
| Small (1 lb) | UPS | Ground | 2 | $5.63 |
| Medium (5 lbs) | UPS | Ground Saver | 3 | $9.57 |
| Large (10 lbs) | UPS | Ground | 2 | $23.97 |
| Extra-Large (20 lbs) | UPS | Ground | 2 | $59.53 |
Observations from the cheapest rates for different size boxes going from Chicago to Dallas
Analysis: From the data provided, it is apparent that UPS is the provider.
Actionable Tips for Cheaper Shipping
- Compare Rates: Don’t settle for the first quote you get, use online tools to compare prices.
- Consider Package Size: The smaller the package, the better. DIM Weight can drastically change the cost. Can you use a smaller box or envelope?
- Negotiate Rates: If you ship frequently, contact carriers (UPS, FedEx) directly to inquire about business discounts.
- Third-Party Shipping Platforms: Using a third party platform like Shippo or Stamps.com is another great way to find low rates.
- Use the Right Packaging: Don’t use oversized boxes. Also, utilize free packaging provided by the carrier when possible. Poly bags are popular ways to reduce packaging weight.
- Print Labels at Home: Avoid fees by printing your shipping labels online through a third-party service. Printing off the carrier’s website will cause you to pay full retail price.
- Consider Slower Shipping: If time isn’t critical, ground shipping saves money.
- Factor in Insurance: Determine if you need extra insurance coverage. Sometimes, it’s cheaper to self-insure for low-value items.
- Free Shipping (For E-commerce): If you sell online, bake shipping costs into your product prices, then offer “free shipping” to attract customers.
- Flat Rate Boxes: USPS offers a service where boxes are offered for free, and can be shipped anywhere in the US for one flat rate.
Conclusion
While USPS is a reliable and often affordable shipping option, it isn’t always the cheapest. By taking the time to compare rates, considering alternative carriers, and implementing smart shipping strategies, you can significantly lower your overall shipping expenses. Don’t assume; always shop around to find the best deal for your specific needs.