Scenario: Zone component surcharges
In this scenario, the zone component surcharges are applied to packages that are shipped to specific routes. These routes are pairs or origin and destination postal codes. The rate calculations vary for different routes and they depend on the surcharges that are applied to a route. The surcharges are applied only when a package is shipped from an origin to a destination that matches the zone component.
Calculating rates for zone component surcharges
In the following scenario, OnTrac provides services across the following routes, where the
shipping costs are devised as follows:
- Route A:New York to Boston
- Shipping costs: 15 USD
- Route B: San Francisco to Los Angeles
- Shipping costs: 25 USD
- Route C: Texas to Florida
- Shipping costs: 19 USD
OnTrac applies a delivery area surcharge across only the San Francisco to Los Angeles route. As a result, the costs increase on this route by the surcharge percentage amount as follows:
- Route A: New York to Boston
- Shipping costs: 15 USD
- Route B: San Francisco to Los Angeles
- Shipping cost = 25 USD + 10%
- Route C: Texas to Florida
- Shipping costs: 19 USD
For more information on configuring the surcharges, see Configuring zone component surcharges by using APIs.