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Do ESPs charge for dedicated IPs and how much do dedicated IPs cost?

Matthew Whittaker profile picture
Matthew Whittaker
Co-founder & CTO, Suped
Published 3 Jun 2025
Updated 17 Aug 2025
6 min read
When considering email service providers (ESPs), one common question that arises, especially for senders with specific deliverability needs, is whether they charge for dedicated IP addresses. The answer is not always straightforward, as pricing models can vary significantly among different ESPs and often depend on factors like sending volume, desired features, and overall plan structure.
A dedicated IP address offers exclusive control over your sending reputation, meaning your email deliverability isn't influenced by the sending practices of other users. This can be a significant advantage, particularly for high-volume senders or those with stringent control requirements. However, this exclusivity often comes with an additional cost compared to using shared IP addresses, where the expenses are distributed among multiple users.

Charging models for dedicated IPs

Most ESPs typically charge an additional fee for a dedicated IP address. This charge is often presented as an add-on service or is included within higher-tier plans that cater to more advanced users or larger sending volumes. Some providers might offer a dedicated IP as a standard feature for certain plans, while others treat it as an optional extra.
Interestingly, not all ESPs follow the same charging structure. Some providers absorb the cost of dedicated IPs into their main subscription fees, especially if they assign multiple IPs based on projected volume, only charging for an initial dedicated IP. Other ESPs might not charge at all, especially if they have their own direct IP allocations and view dedicated IPs as a fundamental part of providing optimal service.
Historically, charging for dedicated IPs became more common when ESPs had to pay for IP ranges from third-party providers. As IP addresses, particularly IPv4, became scarcer, their value increased, and this cost was often passed on to clients. Even as some ESPs gained their own direct IP allocations, the practice of charging for dedicated IPs persisted, largely because customers were willing to pay for the perceived benefits.

Understanding dedicated IP pricing

The cost of a dedicated IP address can vary widely, typically ranging from around $20 to $250 per month, with some premium services reaching up to $500 per month. For example, some providers using Amazon SES might offer dedicated IPs for approximately $25 per IP per month. Other large providers like Zoho Campaigns cite around $30 per month, billed annually, while Mailgun and SendGrid can be higher.
Factors influencing the exact cost include the ESP's specific pricing model, the volume of emails you send, and whether the dedicated IP is part of a bundled package or an à la carte add-on. Some ESPs might offer more aggressive pricing for dedicated IPs to attract specific segments of senders, while others price them higher to reflect the extensive management and support services provided.

Email service provider (ESP)

Typical monthly cost (USD)

Notes

aws.amazon.com logoAmazon SES
$25+
Per IP, often for senders using Amazon's infrastructure.
zoho.com logoZoho Campaigns
$30
Billed annually, typically for standard/professional plans.
mailgun.com logoMailgun
$80+
Commonly offered as an add-on.
sendgrid.com logoSendGrid
$20 - $250+
Varies significantly by plan and volume.
HighVolume ESPs
$100 - $500+
For enterprise-level services or agencies.

When a dedicated IP is necessary

A dedicated IP address is usually recommended for senders who send a consistent and high volume of emails. The primary benefit is the ability to build and maintain your own sending reputation, independent of other senders. This level of control is crucial for consistent email deliverability, especially when you send over 100,000 emails per month. You can learn more about the minimum send volume needed for a dedicated IP.

Shared IP addresses

  1. Cost: Generally less expensive or included in basic plans, as costs are distributed among many users. According to EmailToolTester, a dedicated IP often comes with additional costs.
  2. Reputation: Shared with other senders, meaning their sending habits can affect your deliverability. ESPs manage the shared IP pools to mitigate risks.
  3. Control: Less control over the IP's reputation and warming process. Ideal for low-volume or infrequent senders.

Dedicated IP addresses

  1. Cost: More expensive due to exclusivity and the resources required for setup and maintenance. Some ESPs require you to purchase one as an add-on.
  2. Reputation: Exclusive to your sending, allowing for direct control over your sender reputation and deliverability.
  3. Control: Full control over IP warming and reputation management. Essential for high-volume, consistent senders.
The higher cost of dedicated IPs reflects the direct allocation of resources and the responsibility of managing a unique IP's reputation. This includes the initial setup, ongoing monitoring, and the maintenance required to keep the IP off email blocklists (or blacklists). The perceived value of IPv4 addresses also plays a role in these costs, as major cloud providers now charge for them, demonstrating their increasing market value. An ESP takes on this burden for you, which is factored into the price.

Maintaining a dedicated IP reputation

Once you have a dedicated IP, maintaining a positive sending reputation becomes your direct responsibility. This involves careful monitoring of your email practices, ensuring list hygiene, and avoiding activities that could lead to your IP being listed on a blocklist (or blacklist). Proactive management is key to ensuring your emails consistently reach the inbox.
Being listed on an email blocklist can severely impact your deliverability. If your dedicated IP is blocked, it means major mailbox providers like google.com logoGmail and yahoo.com logoYahoo might reject or filter your emails to spam folders. Monitoring your IP's status on various blocklists is crucial, and tools like blocklist monitoring services can help you stay informed.

Dedicated IP management tips

  1. IP warming: Always perform a proper IP warming process when you get a new dedicated IP address to build a positive reputation gradually.
  2. Monitoring: Regularly check your dedicated IP's reputation and status on various email blocklists. Be prepared to take action if listed.
  3. Content and engagement: Ensure your email content is relevant and engaging to avoid spam complaints, which can quickly harm your IP reputation.

Views from the trenches

Best practices
Maintain strong authentication (SPF, DKIM, DMARC) for all sending domains.
Segment your audience and send only to engaged recipients to improve reputation.
Consistently monitor sending metrics like open rates, click-throughs, and bounce rates.
Understand your sending volume needs to determine the right number of IPs.
Common pitfalls
Neglecting IP warming, leading to poor reputation from the start.
Sending inconsistent or excessively high volumes from a single IP.
Failing to monitor blocklists, resulting in unnoticed deliverability issues.
Assuming a dedicated IP guarantees inbox placement without effort.
Expert tips
For optimal deliverability, review how ESPs impact dedicated IPs.
To send 150K-200K emails per month, a dedicated IP is typically needed.
If your dedicated IPs are blocked, identify the cause and take corrective action.
Check if an email uses a dedicated or shared IP without contacting the ESP.
Marketer view
Marketer from Email Geeks says most email service providers (ESPs) base their charges on both the number of dedicated IPs and sending volume. They also try to size IPs based on estimated volume to prevent over-provisioning.
2023-08-09 - Email Geeks
Marketer view
Marketer from Email Geeks says their company does not charge for dedicated IPs, believing in providing the best service by assigning as many dedicated IPs as a client needs.
2023-08-09 - Email Geeks

Key takeaways on dedicated IP costs

In conclusion, most email service providers (ESPs) do charge for dedicated IP addresses, either as an additional fee or as part of higher-tier plans. The cost varies significantly, typically ranging from $20 to $250 per month, depending on the ESP, your sending volume, and the included services. While a dedicated IP offers greater control over your sender reputation, it also comes with the responsibility of managing that reputation effectively.
For consistent high-volume senders, the investment in a dedicated IP can be crucial for achieving optimal deliverability and avoiding issues like being placed on a blocklist. For low-volume or infrequent senders, a shared IP may be a more cost-effective and suitable option. Ultimately, the decision depends on your specific email marketing needs and the level of control you require over your sending reputation.

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