Transport and logistics quotes: the complete guide to stop losing money on every shipment

In transport and logistics, margin isn't lost in one big wrong decision. It's lost cent by cent, shipment by shipment, in the things you didn't put in the rate: the miles you drove empty to get back, the diesel that went up three weeks after you signed the annual contract, the two hours your truck sat waiting at the loading dock without charging for it. By the end of the year, a carrier who quotes badly and one who quotes well can bill the same amount and earn half as much.

If you run a transport company, you're an owner-operator, you manage a logistics agency or you do last-mile and parcel delivery, this guide is for you. We'll look at how to actually calculate what it costs to move freight, which rate models exist and when to use each one, the costs that eat your margin without you noticing, how VAT works on domestic and international transport, and how to present the proposal so the client picks your service and not just your price.

Why transport is one of the hardest sectors to quote

Quoting a shipment seems easy: distance times price per kilometer and done. That's exactly the mistake that sinks margins across the whole industry. Transport has a peculiarity almost no other service shares: a huge part of your cost depends on factors you don't control and that change between the moment you give the price and the moment you make the trip.

Think about it. When you lock a rate with a client, you don't know what diesel will cost in three months, you don't know how long you'll wait at each dock, you don't know if you'll get a return load or drive back empty burning fuel with nothing to bill. And yet the client wants a fixed number, today, in writing. That gap between the certainty the client demands and the real uncertainty of the service is what you have to manage well in the quote. Those who do it make money. Those who don't work to pay for diesel.

First: know your real cost per kilometer

Before you give a single price, you need to know how much it costs you to move the truck. Not what you think, not what a colleague told you: your real cost per kilometer. This number is the foundation of every profitable quote, and you calculate it by adding fixed costs and variable costs and dividing them by the kilometers you drive per year.

Fixed costs (you pay them even if the truck doesn't move)

• Vehicle depreciation or payment: what the truck is worth spread over its useful life, or the lease/finance payment.
• Insurance: vehicle, liability, cargo.
• Taxes and fees: road tax, inspections, transport license, tachograph.
• Driver salary and social security: if you're self-employed, your own wage counts here too.
• Overhead: accountant, phone, office, parking, software.
• Financing: interest on vehicle loans.

Variable costs (they depend on the kilometers you drive)

• Fuel: usually the biggest variable cost, between 30% and 40% of the total.
• Tires: they wear with use and are expensive to replace.
• Maintenance and repairs: services, breakdowns, spare parts.
• Tolls: depending on your usual routes.
• Driver per diems and overnight stays on long routes.

When you add all of that up and divide by the real annual kilometers the vehicle drives, you get your cost per kilometer. Depending on the vehicle type, the route and the year, that cost can range from just under €1/km for a light vehicle to considerably more for a heavy tractor-trailer with a driver. There are industry cost observatories you can use as a reference, but the number that matters is yours, because your financing, your route and your load factor are unique. Quoting below your cost per kilometer isn't being competitive: it's paying to work.

Rate models in transport (and when to use each)

There's no single way to charge for transport. Choosing the right model for the type of service is the difference between a rate that covers your cost and one that falls short. Here are the main ones.

1. Per kilometer

The classic for full truckload (FTL, an entire truck for a single client). You charge a price per kilometer driven, sometimes with a minimum per job. When to use it: long-distance routes, full loads, regular transport between two points. The trick: decide up front whether you charge only loaded kilometers or also the approach and return. If you only charge the loaded leg and drive back empty, you're eating that return yourself.

2. Per weight (ton) or per volume (m³)

Common in groupage and less-than-truckload (LTL), where you share a truck with cargo from several clients. You rate by what the shipment weighs or takes up. When to use it: industrial parcel, groupage, mixed palletized freight. Watch the volumetric weight: we cover it in detail below, but it's where the most margin leaks.

3. Per pallet or per unit

Very practical in distribution and last-mile. Fixed price per euro pallet, half pallet or unit delivered. When to use it: capillary delivery, distribution to shops, B2B e-commerce. Advantage: easy for the client to understand and easy to scale. The trick: define clearly what a pallet is (dimensions and max weight) so nobody slips you a double pallet at single-pallet price.

4. Per trip or fixed route (flat rate)

A fixed price for a specific origin-destination, regardless of the exact kilometers. When to use it: recurring, well-known routes and regular contracts. Advantage: clients love predictability and it simplifies your invoicing. Condition: it only works if you know the route and its average load factor very well; otherwise you're gambling.

5. Per hour or per vehicle day

You charge for the time the vehicle and driver are at the client's disposal. When to use it: removals, urban distribution with many stops, services where loading and unloading time weighs more than distance. Advantage: waiting and stops stop being a problem because they're covered.

Volumetric weight: where the most margin is lost

This deserves its own section because it's one of the most misunderstood concepts in the sector and a constant source of lost money. The idea is simple: in a truck you don't only run out of weight, you also run out of space. You can fill a trailer with pillows and stay well below the maximum weight, but not one more fits. If you charge only by kilos, that light, bulky cargo costs you a fortune.

That's why the sector uses chargeable weight: you compare the real weight with the volumetric weight and charge the greater of the two. Volumetric weight is calculated from the space the shipment takes up, applying a standard conversion factor. In road transport it's very common to use the equivalence that one cubic meter corresponds to roughly 333 kg (the usual groupage rule), though each operator defines its own, and it changes for air or sea freight.

Worked example. You're asked to transport 10 boxes of very light packaging material. They weigh 80 kg in total but take up 2 m³. Applying the 333 kg/m³ equivalence, the volumetric weight is 666 kg. You charge for 666 kg, not 80, because those boxes take up space in the truck you can no longer sell to another client. Whoever doesn't apply volumetric weight is transporting air while paying for diesel.

The hidden costs that eat your margin

A transport quote sinks because of what you didn't put in it. Here are the usual suspects:

• Empty miles: the unloaded return is the sector's great thief. If you drive 300 km loaded and 300 km back empty, your real cost is 600 km, not 300. Either you get a return load or you charge for the empty leg. There's no third profitable option.
• Waiting time and delays: the hours the truck spends waiting to load or unload are hours it isn't billing. Set a courtesy time (say, 2 hours) and a rate for every extra hour of delay. And put it in writing in the quote.
• Rising fuel: in contracts that last months, the diesel that works today may not work tomorrow. That's why the fuel surcharge clause exists. It's so important we give it its own section next.
• Loading and unloading: does the client do it or your driver? If your driver has to palletize, strap or carry up to a third floor without a lift, that's work you need to rate.
• Redeliveries and second attempts: if the recipient isn't there and you have to come back, that second trip costs. Make it clear who pays for it.
• Special requirements: dangerous goods (ADR), refrigerated transport with temperature control, oversized or indivisible loads, crane. Each has surcharges that should appear itemized.
• Cargo insurance: the carrier's liability is capped by law. If the client wants full coverage of the cargo value, that's a separate insurance you have to quote.

The fuel surcharge clause: protect yourself from what you don't control

No carrier should sign a medium- or long-term rate without a fuel price review clause. Transport regulations recognize the right to pass on the variation in fuel price when it changes relative to the moment of contracting, precisely because it's an unpredictable cost outside the carrier's control.

In practice, the clause works like this: you fix a reference diesel price on the quote date and agree that if the price rises or falls beyond a certain threshold, the rate adjusts in proportion to the share fuel represents of the total service cost. So if diesel spikes, you don't eat the whole increase yourself; and if it drops, the client benefits. It's fair for both sides and, above all, it removes the biggest risk of quoting a fixed price over several months.

Tip: include the fuel clause always in recurring contracts or annual rates, and explain it in the proposal in plain language. Far from scaring the client off, it signals you're a professional who knows what they're doing. The client who only wants the lowest price with no clause is usually the one who'll cause the most problems later.

VAT on transport: domestic, intra-community and international

VAT on transport confuses a lot of people, and getting it wrong can cost you a headache with the tax office or the client. Broadly, and without replacing your accountant's advice:

• Domestic freight transport (within the country): the standard VAT rate applies (21% in Spain).
• Intra-community transport (between EU countries) for a business client: the reverse charge normally applies and the invoice goes without local VAT, with the client self-assessing it in their country. The transport is located where the recipient is established.
• International transport linked to export or import outside the EU: it's usually VAT-exempt when directly related to goods being exported or imported, meeting the requirements and with documentation proving it.

The practical rule for your quote: always state clearly whether the price includes VAT or not, and which rate you apply. A quote that isn't clear about VAT breeds distrust and arguments at invoicing time. And if you have doubts about international exemptions or reverse charge, check with your accountant before sending the number: a five-minute call beats a wrongly issued invoice.

Groupage or full truckload: how it changes your rate

One of the first filters when quoting is whether the shipment goes as full truckload (FTL) or as groupage/less-than-truckload (LTL), because the pricing logic is completely different.

In full truckload, the client pays for the whole truck whether it goes full or half empty. The rate is calculated by route and kilometers, and the load-factor risk is the client's. It's simpler to quote and usually cheaper per kilo if the truck really gets filled.

In groupage, you combine cargo from several clients in the same truck and each one pays for what it takes up (chargeable weight). Here the challenge is the load factor: your profitability depends on filling the vehicle well by combining compatible shipments. Quoting groupage without controlling volumetric weight and without a minimum per shipment is the perfect recipe for transporting at a loss. Groupage is more profitable per job but harder to manage and to rate.

How to structure a transport proposal that wins the contract

A transport quote isn't a loose number in a WhatsApp. In a sector where the client asks five carriers for a price at once, the way you present the proposal often decides who wins the contract. These are the blocks that can't be missing:

1. Clear identification of the service

Origin and destination, type of cargo, weight and volume, vehicle type, dates and any special requirement (ADR, refrigeration, booking slot). The more precise you are describing the service, the fewer misunderstandings and the fewer surprises on the invoice.

2. The rate breakdown

What the price includes: transport, loading/unloading if applicable, basic insurance, courtesy waiting time. And what it does NOT include or is charged separately: delays, extra waiting, second deliveries, extended cargo insurance. Transparency here prevents 90% of conflicts.

3. The conditions and clauses

The fuel review clause, the delay policy, the waiting time included, insurance conditions, payment terms and the offer validity. In transport, a quote without clauses is a quote that assumes every risk for you.

4. The documentation you provide

Consignment note (domestic) or CMR (international), insurance in force, transport license, certifications (ADR, ATP for refrigerated, ISO if you have it). Showing you're compliant and well insured sets you apart from the cowboys in the sector and justifies not being the cheapest.

5. Offer validity

Transport prices move with fuel. Always put an expiry date on the quote (say, 15 days). That way you protect yourself from someone accepting, three months later, a rate that no longer covers your costs.

Mistakes that lose money (and contracts) in transport

• Quoting only loaded kilometers and ignoring the empty return. The number one mistake in the sector.
• Not applying volumetric weight in groupage. Transporting light air at the price of its real weight is giving away space.
• Signing long rates without a fuel clause. A fuel spike turns a good contract into losses.
• Not charging for delays or waiting. Every hour parked without a rate is money that doesn't come back.
• Competing only on price against the cowboys. There will always be someone uninsured and non-compliant charging less. Compete on reliability, compliance and peace of mind, not on being the cheapest.
• Being slow to send the quote. In transport, whoever responds first with a clear number usually wins the load. Response speed is a real commercial advantage.
• Unclear, handmade quotes. A loose price in a message signals improvisation. An itemized, professional proposal signals your service will be too.

A complete example, start to finish

Imagine a manufacturer asks you to transport palletized goods from Valencia to Bilbao, with scheduled pickup and delivery by appointment. Instead of replying “that's about €600” over WhatsApp, you build a proposal like this:

• Service: transport of 8 euro pallets (real weight 4,200 kg, non-stackable) from Valencia to Bilbao. Pickup on day X, delivery by appointment on day X+1.
• Vehicle: full truckload, curtainsider.
• Rate: €640 + VAT (21%), includes transport, 2 hours' waiting at loading and 2 at unloading, and carrier liability insurance.
• Not included: delays beyond courtesy time (€35/hour), second delivery if the appointment fails, extended cargo insurance (quotable by declared value).
• Clauses: diesel price review taking today's price as reference; payment terms 30 days; offer valid 15 days.

See the difference? The “that's about €600” competes only on price and leaves you exposed to every surprise. The itemized proposal defines exactly what you do, protects your margin with clauses, makes VAT crystal clear and signals you know what you're doing. The same trip, but with the risk controlled and the client convinced.

How to do all this without living glued to a spreadsheet

The problem with quoting transport well is time. Between calculating kilometers, applying volumetric weight, adding the fuel clause, itemizing VAT and responding fast before the client asks another carrier, each quote can eat half an hour you should be spending coordinating your fleet.

This is where a quoting tool changes your operation. With DealForge you can create templates by service type (full truckload, groupage, distribution, removals), save your rates and surcharges in a catalog (volumetric weight, ADR, refrigeration, delays, fuel clause) and generate professional proposals in minutes instead of improvising prices by message. You change origin, destination and weight, the rate is calculated, the relevant surcharges are applied, and you send a branded document the same day you're asked for a price.

On top of that, with all your quotes centralized, you stop losing track: you know which shipments are pending confirmation, which have been accepted, and which client to follow up with. In a sector where the contract often goes to whoever responds first and clearest, that translates directly into more loads closed and a margin that stops leaking through the cracks.

Conclusion: in transport, the margin is in the details

Quoting transport well isn't about setting the lowest price per kilometer on the market. It's about knowing your real cost, choosing the right rate model, applying volumetric weight, protecting yourself with the fuel clause, charging for delays and the empty return, clarifying VAT, and presenting a proposal that signals professionalism. Each of those details is worth a few cents per kilometer; together, they're the difference between making money and working to pay for diesel.

The key takeaways to apply from today:

• Calculate your real cost per kilometer (fixed + variable) before giving a single price.
• Choose the rate model by service: per km for full truckload, per weight/volume for groupage, per pallet for distribution, per hour for removals.
• Always apply chargeable weight in groupage: charge the greater of real and volumetric weight.
• Include the fuel review clause in any rate that lasts months.
• Charge for the empty return, delays and waiting: don't give them away.
• Always make VAT clear and check international exemptions with your accountant.
• Present itemized proposals, with clauses and validity, and do it fast.

Want to stop improvising prices over WhatsApp and send professional transport quotes the same day you're asked for a load? Try DealForge free, build your templates by service type with their surcharges and clauses, and spend your time moving freight, not balancing cells.