Report #AG-2026-012 | February 2026
Carrier Fee Exposure Report
Est.
$493,125/year
Prepared for Todd Snyder — February 2026
Estimates based on publicly available data and industry benchmarks.
51,656
Est. Monthly Orders
$493,125
Annual Fee Exposure
$13.40
Per Correction (UPS)
Exposure Breakdown
| Line Item | Calculation | Monthly | Annual |
|---|---|---|---|
| Estimated orders/month | $12,472,744 / $241.46 | 51,656 | — |
| Est. orders with address issues (5%) | 51,656 × 5% | 2,583 | — |
| Carrier correction fees (60%) | 2,583 × 60% × $13.40 | $20,767 | $249,208 |
| Reshipment costs (20%) | 2,583 × 20% × $36.22 | $18,711 | $224,529 |
| Support ticket costs (15%) | 2,583 × 15% × $4.17 | $1,616 | $19,388 |
| Total estimated exposure | $41,094 | $493,125 |
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 — UPS charges $13.40 per address correction. Reshipment and support costs use industry averages. Your actual exposure may differ. Todd Snyder ships internationally, which typically increases error rates by ~20%.
That's equivalent to 2,042 free orders you could fulfill instead — or 32 hours of logistics team time per month spent resolving address issues.
UPS charges $13.40 per address correction. At your volume, that's $20,767/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 | $41,094 | $8,225 |
| Annual savings | — | $394,423 |
| Cost of Address Guard | — | $24,795/yr ($0.04/order) |
| Net ROI | — | 15.9x |
“Undeliverable addresses and associated labor dropped 40%.”
— Yaniv, Logistics Manager, Inkbox
Read the full Inkbox case study →
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