The iPhone 6s Freight Shipping Costs

Yesterday Freightos announced a private beta version of its online instant freight quote marketplace. At the same time, Apple tried to steal the show by showcasing its new products at the Hey Siri event. So obviously, being freight rate nerds, we got to wondering:

How much would the logistics of shipping the iPhone 6s from China to the U.S. cost Apple?

What would the same shipment cost a smaller company? And what are the freight costs that are involved? How much would it cost you or me if we could order one phone direct from the factory?

Check out the infographic below for the results:

Bottom line?

From some rough calculations, we believe that Apple’s freight costs for supplying U.S iPhone 6s phones for first month sales will be about 72 cents per iPhone package. Of course, Apple’s supply chains are consistently rates the best in the world. Together with how closely they hold information to their chest, it’s difficult to know for sure.

A small business without the benefit of negotiated rates or such vast capacity would have freight costs more like $1.82 per phone package.

And finally, if it were possible for you or me to order directly from the factory, our freight costs – more like express shipping costs – would be about $34.

Here’s how calculated the iPhone 6S shipping costs

  • To estimate the first month’s sales we took last year’s first month sales after the September Event.
  • To work out what share would be sold in the U.S. we used the U.S’s share of estimated iPhone sales for the three months to Feb 2015.
  • For how many iPhones a 747 can carry, we used the logistics industry’s consultant’s estimate in the Bloomberg article (we got a little fancy in applying a ratio to account for changes in packaged phone dimensions and weight).
  • The number of airplane shipments just became a simple calculation.
  • Freight costs was easy – we used our online quoting system, applying an estimated discount for Apple’s negotiated rates.
  • The cost assuming a consumer could order direct from the factory, is DHL’s parcel rate, or more correctly the discounted DHL parcel rate available on Freightos.

Also we found this Bloomberg article very useful for some insight into how it freight costs might have stacked up for Apple in 2013.

With the exception of using our freight rates, most of these calculations are rough estimates, with back-of -envelope calculations. If you’re figuring out freight rates too, check out this Freight Rate Calculator.

Like many others, we love the way Apple has relentlessly innovated to bring compelling products to their customers, taking the complex and making it simple. Which, after all, is what we’re doing at Freightos, demystifying the freight industry by bringing it online.

With the exception of using our freight rates, most of these calculations are rough estimates, with back-of -envelope calculations. If you’re figuring out freight rates too, check out this Freight Rate Calculator.

Like many others, we love the way Apple has relentlessly innovated to bring compelling products to their customers, taking the complex and making it simple. Which, after all, is what we’re doing at Freightos, demystifying the freight industry by bringing it online.

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