> ## Documentation Index
> Fetch the complete documentation index at: https://docs.upstackdata.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Shipping Cost: Total Order Fulfillment Shipping Expense

> Track Shipping Cost to measure total fulfillment shipping expenses across all orders — essential for contribution margin and profitability analysis.

<Tip>
  Shipping Cost measures the total shipping expenses incurred to fulfill orders, based on your configured shipping cost rules.
</Tip>

## Formula

<Info>
  **Shipping Cost** = **SUM** ( Shipping Cost per Order )
</Info>

### Formula Components

| Metric                      | Definition                                                              |
| --------------------------- | ----------------------------------------------------------------------- |
| **Shipping Cost per Order** | Individual shipping fees applied per order from your cost configuration |

| Metadata        |                                                                      |
| --------------- | -------------------------------------------------------------------- |
| **Type**        | Currency                                                             |
| **Data Source** | [Shopify](/sources/shopify), [Upstack Costs](/sources/upstack-costs) |
| **Aggregation** | Sum                                                                  |

***

## Example

Your store fulfilled **2,847 orders** in February with total shipping expenses of **\$14,235**, averaging **\$5.00** per order shipped.

| Month    | Orders | Shipping Cost | Per Order |
| -------- | ------ | ------------- | --------- |
| February | 2,847  | \$14,235      | \$5.00    |
| March    | 3,120  | \$15,288      | \$4.90    |

***

## How It Works

Shipping Cost aggregates the shipping expenses from your cost configuration. These costs are applied to each order based on rules you define — flat rate, weight-based, zone-based, or carrier-calculated. The metric is deducted from revenue when calculating contribution margin.

***

## When to Use

| Scenario                     | Action                                                |
| ---------------------------- | ----------------------------------------------------- |
| Contribution margin analysis | Deduct from CM1 to calculate CM2                      |
| Carrier negotiation          | Track trends to justify volume discounts              |
| Free shipping threshold      | Compare shipping cost vs revenue lift from higher AOV |
| Regional profitability       | Segment by shipping zone to identify cost outliers    |

***

## Related Metrics

| Metric                                                                                   | Relationship                                 |
| ---------------------------------------------------------------------------------------- | -------------------------------------------- |
| [Shipping Cost Per Order](/reference/metrics/orders/fulfillment/shipping-cost-per-order) | Average shipping expense per order           |
| [Shipping Cost %](/reference/metrics/orders/fulfillment/shipping-cost-percent)           | Shipping as percentage of net revenue        |
| [Total Fulfillment Cost](/reference/metrics/orders/fulfillment/total-fulfillment-cost)   | Combined shipping, handling, and fulfillment |

[See all Fulfillment metrics →](/reference/metrics/orders/fulfillment)