Dimensional weight, sometimes called volumetric weight, is a common industry practice that bases the transportation price on a combination of weight and package volume. In simple terms, dimensional weight determines the shipping rate based on the amount of space a package occupies in the cargo area of the carrier. Dimensional weight is typically used when a package is relatively light compared to its volume.
All major carriers apply dimensional weight to some shipments. However, the manner in which dimensional weight pricing is applied varies from one carrier to another. If your company has a high volume of shipments, even a slight difference in shipping price can translate to thousands of dollars over the course of a year.