How Canada Post made the online retail revolution possible

[kitschnvintage]

https://www.canadapost.ca/magazine/en/unlikely-game-changer/

I don't know if the above link will work, but I just noticed the above article on the CP website ~ boy I never realized how great Canada Post was 🙂

Here's an excerpt:

"The meteoric rise in online shopping has utterly transformed the retail landscape in Canada. It’s defined now by virtual stores, mobile commerce and new heights of customer conveniences. It’s populated by entrepreneurial stars who are grabbing hold of a channel still in its infancy and showing off its vast disruptive possibilities.

It’s true, Canadians were a little late to the game. Shoppers and retailers in the US and the UK embraced e-commerce much faster. But we’re catching up. Today, eight out of 10 Canadians shop online.

So, what does all this have to do with Canada Post?

Would you be surprised if I said that without Canada Post the scale of the retail transformation wouldn’t have been possible? That our role in building the digital economy of the future is crucial?"

[ricarmic]

Hi Rose!

I wasn't proffering them as the only reasons, just two I believe affect at least my category. (Because I have had many people tell me over the years )

Certainly I know that if I want something (non- stamp stuff), the first thing I do is restrict to Canada. Sadly 90% of the time, there aren't any of them in Canada and I end up getting from the US anyway.

I do think stamps generally will be different from other stuff as often they can go letter mail, so the likelihood of them getting through customs without taxes is much higher than stuff in boxes etc.

I think that a lot of stuff still goes through CBSA without being dinged, I've had very large (ie twice the size of a Xerox box) boxes with valuations of hundreds of dollars come through with no taxes on them. However little wee boxes with $50 on them get dinged, there is no rhyme nor reason sometimes.

I also suspect a significant number of shoppers don't bother to restrict, or perhaps they don't know how to do that. Some I have dealt with hardly understand how to simply buy something let alone do something like restrict....

My own Canadian buyer level has been pretty consistent over the years (around 30%) but that is affected a lot by what I offer - ie I offer a lot of Canadian stamps which will tend to sell moreso to Canadian customers.

[rose-dee]

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@ricarmic wrote:

I think that a lot of stuff still goes through CBSA without being dinged, I've had very large (ie twice the size of a Xerox box) boxes with valuations of hundreds of dollars come through with no taxes on them. However little wee boxes with $50 on them get dinged, there is no rhyme nor reason sometimes.

---

Hahaha, now if we could only figure out this mystery!  I sometimes think the officers at CBSA must be deliberately playing with us.  I imagine their jobs as so boring that they have to get their jollies out of being random -- let's really bake this guy's noodle by letting a $300 parcel through today, then dinging him next week for a $40 item.  

Just kidding, but it does seem that way at times, doesn't it?  Actually, the fact that Americans' personal tax-free import limit is $800 and ours is (strictly speaking) $20 seems rather bizarre to begin with.  

[sylviebee]

One small rule is that they rarely collect if an item is shipped via First Class mail or a less expensive method,  but I agree, otherwise whether they collect taxes on items over $20 seems to be random.

I'm not sure what eBay and the Post Office can do to encourage Canadians to buy from Canadians on line, but the free Tuesday postage was a nice place to start and decent little nod.

The CPO website has so many bugs and getting us to use their system was a good start to getting some of them ironed out.

One thing that does worry me about these community boxes is that there can be a lot of unforeseen effects which negate the benefits they anticipate.

I don't think anyone really cares about letter mail, or at least I don't, but I cringe at having expensive items delivered to a community box.

However, upgrading shipping methods will result in getting dinged for taxes more often.

I doubt that they've considered such things, but the long term results of eliminating door to door delivery of parcels could have unforeseen effects.

[pjcdn2005]

I've also found that first class packages are not accessed for taxes but priority packages almost always are. I have no idea why it always seems to work like that.

[momcqueen]

If I had to speculate a reason it would be that they're handled differently as they cross. Like, there's probably way more first class and fewer priority but the priority get selected for expedited processing and draw attention to themselves for that reason.

[momcqueen]

But I've had First Class packages assessed for import fees, I'm pretty sure. Some low-value ones (under $75 CAD) so it's not a hard and fast rule. (I know the de Minimus is $20 CAD.)

[sylviebee]

So, I think that when discussing Community Mail Boxes (CMBs) these things aren't taken into account.

Over the decades the Post Office and Customs have hit a balance of when to collect and not collect which seems to work.

As an aside: When I see eBay execs canvassing the Government to increase the $20 limit I cringe.  When they do that it's in no one's best interest but eBay's.

We've all seen how the GSP upset the balance.

In relation to CMBs I think that letters and parcels have to discussed as two entirely different things.  Letter mail is one thing and I don't care what they do with letters, but parcels:  That's a whole other story.

CMBs could easily throw the balance we've achieved as far as import fees are concerned. 

A friend of mine works for the Post Office and her job is to plan these boxes.  When I mentioned to her that I'd be concerned having an expensive item delivered to a box she told me there's an easy solution for that:  Just have it shipped "signed for".

Yikes!  That's a huge increase in the cost of shipping plus import taxes.

These people don't even think about things like that but this type of thing could have a huge effect on the way Canadians buy internationally.

All in all, it's impossible to predict the effect CMBs would have but IMO it can't be good (for me).

[momcqueen]

I agree completely. This is what I spoke about at the committee last week. Lettermail is something I think we're less likely to worry about timely delivery but parcels are another story. The task force sees this. Whether they can do anything about it is another story.

[sylviebee]

If they no longer want to do door to door delivery for parcels I'm hoping they come up with another solution other than Community Boxes.

For example:  The could open more depots at Drug Stores etc. and we could pick parcels up there.

That way they could scan when they hand them to us when appropriate.

In fact, a method like would but down on existing errors while CMBs would only make things worse.

I've had my packages delivered to the wrong house and vice versa and I think that CMBs would make that much more of an issue.

There are also many times when the delivery person fumbles at my door and we catch potential errors and CMBs wouldn't allow for that either.

[kitschnvintage]

I've seen signs for this advertised on CP website and I think at my drugstore postal outlet:

Our FlexDelivery service allows shoppers to route their parcels to a post office of their choice. 

I'm not sure how that works though, but it sounds better than leaving a parcel on the front steps or community mail box. I wonder if they charge for that service ....

By the way ... has anyone ever window shopped on the USPS website ? Have you seen all of the packing shipping and mailing supplies they offer ? Have you seen all of the FREE boxes customers can get ???  I think Canada Post sells 6 boxes 1 roll of tape and some kraft paper. Very very sad .... oh yes and one size of ebay branded envelopes. 

[cumos55]

Flex Delivery is... NO ... extra cost

[pjcdn2005]

CMBs could easily throw the balance we've achieved as far as import fees are concerned.

In what way could they throw the balance?

As far as being worried about a parcel in a community mailbox.....in 14+ years I don't know of anyone in this area that has had a problem although I'm sure that there are some problems. But I would worry more about a package being left on my doorstep than one being left in a locked box in plain view.

I can only speak of how it works here but if a signature is required or there is money owing for customer the parcel needs to be picked up at the outlet.  A signature within Canada is only $1.50 with regular parcel  service so it isn't a huge amount and if it is an expensive parcel from the US there's a good chance that money will be owed on it and it won't be left in the community box anyway.

I admit that it can be a pain at times to have to pick up a parcel. But I usually do it when I am bringing something to the post office to be scanned or I'll pick up a few groceries as our outlet is in a grocery store.  I think that a person finds ways to work within a system whatever the system is.

[pjcdn2005]

By the way ... has anyone ever window shopped on the USPS website ? Have you seen all of the packing shipping and mailing supplies they offer ? Have you seen all of the FREE boxes customers can get ??? I think Canada Post sells 6 boxes 1 roll of tape and some kraft paper. Very very sad .... oh yes and one size of ebay branded envelopes.

USPS does have a lot of 'free' stuff, CP boxes etc are really expensive.  But to be fair, the supplies aren't totally free.  I think that in a lot of cases, a flat rate box which is free costs more in postage than on if the customer used their own packaging and paid for non flat rare priority.

[cumos55]

It was several years ago that a parcel was shipped to a Calgary address...

Parcel went to community mailbox...  But ... Buyer did not get his purchase... valued at $200... Buyer was livid....

Insurance was paid by Canada Post...

and ... That is when I learned that when you are going to ship something quite valuable... one adds signature..... and .....Buyer has to sign for it.

The recommendation becomes....

If it is quite valuable ...  add that small cost for a signature upon delivery to Expedited Parcel... and bypass that community mailbox situation  where something just might get ,,,Lost

--------------------------------------------

If it is to the US... it becomes Xpresspost... extra cost  but worth the effort and the cost with signature required..

Shipped a valuable $400  group of book to Arizona, a heavy weight box  that just could have been left on a doorstep......  buyer's wife..... finally signed for it... and that is when I celebrated... 

With Community mailboxes...  Signature becomes an important option... whether  shipping within Canada or to the US.

--------------------------------------------------

Community mailboxes are also becoming an important option in the US... The same as Canada....

https://ca.images.search.yahoo.com/search/images;_ylt=AwrBTvl5aBJYV68A5ijrFAx.;_ylu=X3oDMTE0dWVtbzJi...

[sylviebee]

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cumos55 wrote:

With Community mailboxes...  Signature becomes an important option... whether  shipping within Canada or to the US.

--------------------------------------------------

But that's the same as saying don't ship to a Community Mail Box and makes a strong argument for opposing these boxes for parcels (in either direction).

As I posted above, the problem with buying expensive items from the States becomes more than a decision about whether or not to pay for Signature confirmation.  It's also a decision about whether the item is worth paying import fees for in addition to the added shipping expense.

Since I buy for re-sale that would mean that I buy a lot less and thus less income for the PO, and I'm sure I'm not alone.

At a time when the PO is doing whatever it can to increase parcel traffic CMBs might bite them from behind.

[kitschnvintage]

Yes the flat rate pricing is or can be very expensive ~ I love it when  the US Sellers use the Priority Flat Rate 20 pound box @ $59.95 for a 3oz item ~  but I think what many people do is get the free boxes and cover them in kraft paper and use them for regular mail ... or you can turn the box inside out (I've had sellers do that before) ... so at least you get some really good sturdy shipping boxes for free 🙂

[pocomocomputing]

You can't turn some USPS boxes inside out because the inside is printed with "Thank you for using Priority Mail" or whatever service was used.

If you try to cover a USPS box even used one, USPS will check and charge you the higher rate for the box used.

[kitschnvintage]

They didn't used to do that

[rose-dee]

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@sylviebee wrote:

"CMBs could easily throw the balance we've achieved as far as import fees are concerned." 

Are you suggesting that Canada Post somehow exerts control over which parcels CBSA assesses, and at which value?  And that that is somehow connected to Community Mail Boxes?  I really don't think there is any "balance" to upset with regard to import fees.  

The two services (CBSA and CPC) are separate, and the choices made by Canadians on what to buy, and at what price, are more or less random.  There may be trends at certain times of year, and other more important factors (such as the value of the $CDN, or the general state of our economy) which influence how much and at what prices Canadians buy, but I doubt CMBs are on that list.  

In any event, if taxes are assessed by CBSA, a parcel won't be left in a CMB at all.  I buy raw materials frequently from the U.S., and from one supplier in particular, who always uses Priority shipping.  Almost all parcels I receive that are valued under about $100 get through without any GST/HST; over that amount it varies, some get through, some don't.  The higher the value, the more likely there will be taxes assessed.  And this has been the general pattern for several years.  

"A friend of mine works for the Post Office and her job is to plan these boxes.  When I mentioned to her that I'd be concerned having an expensive item delivered to a box she told me there's an easy solution for that:  Just have it shipped "signed for".

Yikes!  That's a huge increase in the cost of shipping plus import taxes.

These people don't even think about things like that but this type of thing could have a huge effect on the way Canadians buy internationally."

Your friend is right.  If the parcel is valuable enough that you'd rather not have it left in a CMB, the easiest solution is to pay the extra dollar or two for signature confirmation.  That's not a "huge increase" if you're looking for absolute protection, and I doubt it would have any effect overall on how Canadians buy internationally.  

I had a CMB for 17 years in our Victoria, BC neighbourhood.  The only items I would be concerned about being left in it would be perishables (things that might be ruined by heat or freezing), or heat-sensitive digital equipment.  For the former, nowadays it would be easy enough to request Flex Delivery; for the latter, assuming they were of some value, the simple answer would be signature confirmation.  Items assessed by CBSA would get pick-up cards left in the CMB anyway, so parcels of value are never an issue. 

Actually, if you want to avoid the issue of having parcels delivered to your CMB altogether, I imagine you could now use Flex Delivery to always have them sent to your local P.O. or drugstore outlet for pick-up. 

Most people do adapt to using CMBs.  The people I would be concerned about would be those with physical or other limitations, and I don't see why Canada Post couldn't come up with some system to provide approved applicants with continued at-door service. 

[momcqueen]

Most people do adapt to using CMBs.  The people I would be concerned about would be those with physical or other limitations, and I don't see why Canada Post couldn't come up with some system to provide approved applicants with continued at-door service. 

Only trained medical professionals and/or experienced social workers have the skill set to assess whether or not a body or family has the wherewithal to collect mail at a Community Mailbox, and I highly doubt Canada Post is considering outsourcing that decision to another governing department. As someone who has applied and paid for the privilege of a handicap parking pass, I assure you that to ask people with limited ability and financial resources to beg to keep something they've always had is nothing short of an insult. It speaks to that marginalization that I'm always going on about. 

I don't doubt that people with handicaps would find ways to adapt to Community Mailboxes, for better or worse. That is something that people with disabilities excel at in ways most people cannot even begin to fathom. The easiest way would be to not buy from sellers who use Canada Post in favour of those who offer to-the-door courier service.