A zone rate is a type of freight rate used to determine cost by moving through geographic areas.

What is a zone rate? 

A zone rate is a type of freight rate based on the number of geographic areas that a delivery has to pass through to reach its final destination. The more zones a delivery needs to pass through between its starting point and its destination, the progressively higher the freight rate will be. Postal ZIP codes are often used as the basis for zone rates. 

Zone rates are usually used for cartage and small parcel delivery services.