How to calculate Average Freight Out Per Order?

Average Freight Out Per Order

Average Freight Out is the cost of shipping one unit of your finished product to your customer’s destination. This is normally a distributor’s distribution center.

What if my customers pick up from me?

Good question! If your customers pick up, you would not have any freight out however be advised that most distributors will take on a freight up-charge to cover the cost of transportation before taking their margin or applying their markup. For use in this calculator, in order to get the most accurate results, we recommend that you enter the freight up-charge in the Freight Out section.