---
title: Rate Calculation Logic for Shopify Stores
description: "The Parcel Freight Shopify app calculates shipping rates in real time using product and address data provided during checkout. This article explains how the app determines pricing and what factors affect the result. ### **How Rates Are Calculated** The app…"
url: "https://www.loadlinkconnect.com.au/help/rate-calculation-logic-for-shopify-stores/"
updated: "2026-01-04"
category: Parcel Freight
---

# Rate Calculation Logic for Shopify Stores

The Parcel Freight Shopify app calculates shipping rates in real time using product and address data provided during checkout. This article explains how the app determines pricing and what factors affect the result.

### **How Rates Are Calculated**

The app sends a live request to the Loadlink Parcel Freight system each time a customer enters their shipping details at checkout.

The rate is based on:

- Origin address (your store’s default location)
- Destination address (entered by the customer)
- Product weight and dimensions
- Number of items in the cart
- Packaging type (if configured)
- Residential or commercial delivery selection
- Carrier availability for the selected route

The app automatically chooses the greater of **dead weight** or **cubic weight** to calculate shipping costs.

### **Cubic Weight Formula**

Cubic weight = (Length × Width × Height in cm) ÷ 4,000

If cubic weight exceeds the actual weight, the higher value is used for quoting. This is standard practice among freight carriers to account for space occupied.

### **Building Type Impact**

During configuration, you can set default pickup and delivery building types (residential or commercial). These affect rate calculations, as some carriers apply surcharges to residential deliveries.

If no setting is provided, the app uses the default values configured in the app settings.

### **Multiple Shipping Methods**

If multiple carriers are available for the selected route and freight, the app returns all valid options. These are displayed to the customer at checkout, allowing them to select based on price or service level.

Only rates that meet the product dimensions and weight limits will be shown.

### **When Rates Do Not Appear**

Rates may be suppressed if:

- Product weight or dimensions are missing
- The delivery address is incomplete or invalid
- The order includes unsupported freight (e.g. oversized items)
- Loadlink API credentials are incorrect
- Carrier-calculated shipping is disabled in your Shopify plan

If no rates appear, use a test address and a single, valid product to identify the issue. Logs and debugging tools may be available in the Shopify admin or from Loadlink support.