What goes into a delivery price
For most local deliveries, the drive is the job. Use the average drive between stops on a typical route, not the distance from your depot to one customer, and count the time it takes to park and hand over. Deliveries that need two people or a long wait at the door deserve their own price.
How this calculator works
It adds up the cost of one visit: wages for everyone on the job for the time on site and the drive, materials, vehicle cost, and your monthly overhead divided by your visits each month. Then it sets the price so that your chosen margin is left after those costs: price = cost ÷ (1 − margin). The monthly and yearly figures multiply the price by the visits in that period.
Why the drive belongs in the price
Customers don't see the drive, but you pay for it on every visit. If your stops are spread out or in a poor order, the same price earns you less. Shorter drives lower the cost of every visit without changing what the customer pays.
Questions
- Should I charge by distance or by stop?
- Distance-based fees suit one-off long trips. For routes with many stops close together, a price per stop is simpler, and this calculator works one out from your average drive between stops.
- How do standing weekly deliveries change the price?
- Choose Weekly to see what a regular customer comes to each month. Standing stops are easier to route, so some companies give them a lower price per stop.
- What do other delivery companies charge?
- It varies a lot by area. This calculator starts from your own costs so every price covers them. Compare the result with local quotes before you set your rates.