Report #AG-2026-006  |  February 2026
Carrier Fee Exposure Report
Est.
$1,188,248/year

Prepared for Hunter Fan — February 2026

Estimates based on publicly available data and industry benchmarks.

111,100 Est. Monthly Orders
$1,188,248 Annual Fee Exposure
$25.50 Per Correction (FedEx)

Exposure Breakdown

Line Item Calculation Monthly Annual
Estimated orders/month $10,622,226 / $95.61 111,100 —
Est. orders with address issues (5%) 111,100 × 5% 5,555 —
Carrier correction fees (60%) 5,555 × 60% × $25.50 $84,992 $1,019,898
Reshipment costs (20%) 5,555 × 20% × $9.50 $10,554 $126,654
Support ticket costs (15%) 5,555 × 15% × $4.17 $3,475 $41,696
Total estimated exposure $99,021 $1,188,248
Order volume estimated from publicly available e-commerce revenue data. 5% address error rate is the industry benchmark (1 in 20 orders). Carrier correction fees are published rates — FedEx charges $25.50 per address correction. Reshipment and support costs use industry averages. Your actual exposure may differ. Hunter Fan ships internationally, which typically increases error rates by ~20%.
That's equivalent to 12,428 free orders you could fulfill instead — or 69 hours of logistics team time per month spent resolving address issues. FedEx charges $25.50 per address correction. At your volume, that's $84,992/month before reshipments and support. International addresses have 20% higher error rates than domestic.

With Address Guard

Without Address Guard With Address Guard
Address error rate ~5% ~1% (80% reduction)
Monthly carrier fees $99,021 $19,804
Annual savings — $950,598
Cost of Address Guard — $53,328/yr ($0.04/order)
Net ROI — 17.8x
“Undeliverable addresses and associated labor dropped 40%.” — Yaniv, Logistics Manager, Inkbox Read the full Inkbox case study →

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