Report #AG-2026-072 | February 2026
Carrier Fee Exposure Report
Est.
$230,163/year
Prepared for Z SUPPLY — February 2026
Estimates based on publicly available data and industry benchmarks.
21,521
Est. Monthly Orders
$230,163
Annual Fee Exposure
$25.50
Per Correction (FedEx)
Exposure Breakdown
| Line Item | Calculation | Monthly | Annual |
|---|---|---|---|
| Estimated orders/month | $1,557,048 / $72.35 | 21,521 | — |
| Est. orders with address issues (5%) | 21,521 × 5% | 1,076 | — |
| Carrier correction fees (60%) | 1,076 × 60% × $25.50 | $16,463 | $197,554 |
| Reshipment costs (20%) | 1,076 × 20% × $9.50 | $2,044 | $24,533 |
| Support ticket costs (15%) | 1,076 × 15% × $4.17 | $673 | $8,076 |
| Total estimated exposure | $19,180 | $230,163 |
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. Z SUPPLY ships internationally, which typically increases error rates by ~20%.
That's equivalent to 3,181 free orders you could fulfill instead — or 13 hours of logistics team time per month spent resolving address issues.
FedEx charges $25.50 per address correction. At your volume, that's $16,463/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 | $19,180 | $3,832 |
| Annual savings | — | $184,173 |
| Cost of Address Guard | — | $10,330/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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