UPS and FedEx Ground DIM Pricing
UPS and FedEx Ground DIM Pricing refers to the change, effective at the start of 2015, under which both carriers applied dimensional weight pricing to all ground packages instead of only packages of three cubic feet or more.
What happened and why it matters
The 2015 dimensional weight change made package size, not just weight, a core driver of US parcel costs, and it is why box selection and cartonization matter so much in fulfillment today. Before the change, UPS and FedEx Ground applied dimensional weight mainly to packages of three cubic feet or more. UPS dropped that exception on December 29, 2014, and FedEx on January 1, 2015. With the 166 divisor then in use, a 10 by 10 by 10 inch box weighing 3 pounds billed as 7 pounds, because 1,000 cubic inches divided by 166 is 6.02, rounded up. Brands responded by right-sizing cartons and cutting void fill.