Sellers: Did Canada Post Raise Their Rates Recently?

[needsmorerobots]

I started selling over the summer here on eBay Canada. I sell movies and music albums in any format. This venture is a hobby and to make a little money on the side.

The issue I'm having is with with shipping a single DVD or Blu-ray to the United States in a 7 1/2 by 9 1/4 bubble mailer. The customers pay for the cost of small packets USA by air mail. Now over the summer, if I can recall, that was about $4.50. Then the price jumped to about near $5.30.

Yesterday A customer paid over $5 for shipping to the USA but the cost came out to a whopping $9. I almost went nuts. I told the person at the Canada Post desk "you changed your rates again!" to which she replied the rates were still the same and hadn't changed. I told her no way and mentioned the previous prices I had paid. Her new answer was the US does not allow anything that is not paper to be shipped under the small packets classification.

Are they jerking me around, is the employee incompetent or is this true? Has any Canadian sellers encountered this? I ask because in the past I was almost charged $16 for the same thing until I put my foot down and the person realized their mistake. In another incident I paid about $20 because Canada Post said a DVD set was barely fitting through their mail slot board and that it might get returned to me if the postie decided it couldn't be delivered (or in my opinion, do their actual job).

If this is real, it sinks any thoughts of selling DVD/CDs/Blu-rays to the US. Who in the US will pay $9 Canadian for shipping when they can have the item shipped domestically or internationally for cheaper.

[electronicifycanada · Accepted solution]

Unfortunately it's true now. Canada Post employees have been instructed to not let anything but paper cross the boarder in lettermail. It was technically always in their TOS but they just recently started enforcing it. 

I no longer ship to America because of this, if your selling low value items I strongly suggest the same.

[ypdc_dennis · Accepted solution]

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@needsmorerobots wrote:

The issue I'm having is with with shipping a single DVD or Blu-ray to the United States in a 7 1/2 by 9 1/4 bubble mailer.

Yesterday A customer paid over $5 for shipping to the USA but the cost came out to a whopping $9. I almost went nuts. I told the person at the Canada Post desk "you changed your rates again!" to which she replied the rates were still the same and hadn't changed. Her new answer was the US does not allow anything that is not paper to be shipped under the small packets classification.

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Rates have not changed for lettermail or packet. Next change will be the middle of January.

Rules have not changed. Enforcement of the 2017 international (including USA) rules is changing (how much varies depending on location).

I think you are confusing oversize lettermail and small packet.

Lettermail stamp rate to USA (max thickness of 2cm):

$1.90 (up to 100g)

$3.12 (101g to 200g)

$5.45 (201g to 500g)

Plus taxes if buying at the post office. Or you can buy discounted valid postage stamps (eBay and other places) and save 10-20% off stamp face value.

Small packet USA:

$7.32 (up to 100g)

$8.96 (101g to 250g)

$11.75 (251g to 500g)

No tax. Discounts if you buy the label online (Shippo, Paypal), and eBay currently provides "tracking" if you enter the tiny number under the bar code (UR xxx xxx xxx CA).  I say "tracking" because Canada Post and the USPS officially do not provide tracking, but eBay apparently has clout with the USPS to get the internal packet scans coughed out.

Since 2017 merchandise is not supposed to cross borders as lettermail but instead as packet or parcel.  Which is why many postal employees now ask.

I currently work on the theory that looks like lettermail, feels like lettermail, is lettermail  -- using a brown paper bubble envelope with stamps and handprinted address. No rejections so far.

If you think the prices are too expensive, there are some alternatives to Canada Post. There are companies that will take your item across the border and allow you to mail using USPS domestic mail rates. Examples would be ChitChatsExpress, Stallion Express, RunninRed, DYKpost (I don't use any of these since I'm outside their coverage areas).

-..-

[needsmorerobots]

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@ypdc_dennis wrote:

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@needsmorerobots wrote:

The issue I'm having is with with shipping a single DVD or Blu-ray to the United States in a 7 1/2 by 9 1/4 bubble mailer.

Yesterday A customer paid over $5 for shipping to the USA but the cost came out to a whopping $9. I almost went nuts. I told the person at the Canada Post desk "you changed your rates again!" to which she replied the rates were still the same and hadn't changed. Her new answer was the US does not allow anything that is not paper to be shipped under the small packets classification.

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Rates have not changed for lettermail or packet. Next change will be the middle of January.

Rules have not changed. Enforcement of the 2017 international (including USA) rules is changing (how much varies depending on location).

I think you are confusing oversize lettermail and small packet.

I don't believe I did confuse lettermail and small packet. Previous times I just handed the prepared package to the post office and told them where it was going in the US and I said regular mail. This one time I was specific and said small packet to the USA and that's when the huge increase happened. That is probably where I made my mistake by not being specific in what I wanted and left it to the Canada Post employee to do their thing.

I do agre the rates as you say haven't changed but I believe they weren't enforcing it and telling me. It's probably enforced now. In either situation it means a rethink of selling to the States and a now smaller market for myself.

I might have to sell internationally before the recommended mark of selling a minimum of 10 items or just sell off what I have for cheap and move on to something else.

Thank you both for your advice.

[kawartha-ephemera · Accepted solution]

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@needsmorerobots wrote:

I don't believe I did confuse lettermail and small packet. Previous times I just handed the prepared package to the post office and told them where it was going in the US and I said regular mail. This one time I was specific and said small packet to the USA and that's when the huge increase happened. That is probably where I made my mistake by not being specific in what I wanted and left it to the Canada Post employee to do their thing.

I do agre the rates as you say haven't changed but I believe they weren't enforcing it and telling me. It's probably enforced now. In either situation it means a rethink of selling to the States and a now smaller market for myself.

I might have to sell internationally before the recommended mark of selling a minimum of 10 items or just sell off what I have for cheap and move on to something else.

Thank you both for your advice.

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If you asked the CP counter person to send it via Small Packet USA she/he followed your instruction correctly. Small Packet is a parcel service which includes a Customs Declaration which is a mandatory requirement for shipping dvds into the USA or Internationally.

Lettermail on the other hand has no ability to attach a Customs Declaration which is one reason why items like dvds that require a declaration are not suitable for Lettermail, the regular mail is intended for documents only. Soverign states have a funny notion that they need to identify the type and origin of merchandise entering their jurisdiction so as deemed necessary they can tax, restrict, prohibit or control the flow of in some way.

I don't sell dvds but as there is a scale sitting right here I tossed a single disc dvd  in standard retail case on it .... it weighed 96 grams. I would imagine if it were placed in a bubble mailer the weight would be teetering around about 100 grams. Small Packet USA has a rate break above 100g. Anything equal to 101g through to 250g ships for 8.96, no tax on that but as we all know ebay adds FVF to whatever shipping rate the buyer actually paid.

Keeping in mind mind that 8.96 CAD shipping would convert to 6.75 USD in the eyes of American buyers perhaps the cost might not be as detrimental as first thought especially if combined shipping is offered. Two single disc dvds for instance would easily ship together for the same $ 8.96. I'm sure there would be other combinations too that would ship for similar cost , even if the combined weight jumped to the next rate range (251 - 500g @ 11.75) buyers would realize much lower per listing shipping charges. 

I've found setting up the combined shipping discount rules to be a very useful driver of multi item transactions. A seller also often has room on multi item sales to absorb some of their CP costs making multi item sales even more attractive to American buyers.

CP Small Packet USA 2019 rates are;

001 - 100 g @ 7.32

101 - 250 g @ 8.96

251 - 500 g @ 11.75

[needsmorerobots]

Most informative answer yet. Thank you kawartha-ephemera.

[femmefan1946]

Previous times I just handed the prepared package to the post office and told them where it was going in the US and I said regular mail.

Why are you going into the PO at all?

Go to Canadian Tire and buy a digital Starfrit kitchen scale for under $20. Pick up a measuring tape too.

Prepare and print all your parcel rate shipping labels at home through Paypal,  SnapShip, or Shippo. Discounts are available on all three.

• You will need a Small Business Solutions card from Canada Post which can be obtained at the PO counter or online here:
• https://sso.epost.ca/sso/lfe/ui/login?templateId=cpcapps&manifestId=cpgSecurity&sourceUrl=https%3A//...

Or for letterpost buy stamps at the PO or discounted on eBay. 

Drop the prepared "letter" or parcel in the nearest red post box.

When I want to track a shipment, or when the parcel is larger, I put most of the postage on it in stamps, then go to the PO and buy the rest of the postage as a label and get the appropriate bar codes and receipts.

If you buy your reallynice stamps on eBay, you should be able to save enough to make up for the extra work, and rarely have to go to the actual counter. Most POs have a red letter box outside.

Not my document-- I think it was prepared by zee-chan.

[luckylegend]

Wait what????
It’s the first time I hear this.
For example I sell shoes and I want to send it tracked. So you say I can cover some portion in stamps and buy additional coverage at the post? What?
Did I get it wrong.
I never ever use stamps I always just mail international tracked or thr non tracked air mail (for low value items like non branded items) ...and I do it using Snap Ship and get a discount for small buisnesses.
Do I save money with the stamp method?
Please enlight me

[femmefan1946]

I do because DH can't stop buying postage at philatelic auctions. He spent most of the weekend cutting up Lunar New Year souvenir sheets for the postage, which are mostly dollar plus values.

He buys so much I resell a lot of his work here on eBay under another ID.

Some tips.

If the package is small, attach the customs form yourself at home and remember to leave room for the barcode and postage label.

Have the value of the postage noted, so you can help the clerk .

[luckylegend]

Most of my packages are large because I sell cloth...
I still don’t get it and I feel stupid because I Don’t know how stamps work except that you put one on an enveloppe when you mail it. But I know some people use it for big bulky packages and never understand how? I had a package arrive to me from UK last week with stamps al over it and it had additional label with a cost of 0.35 pounds.
So each stamp has it’s value? So for example if your shipping to US costs 17$ for a tracked method and you have 17 stamps worth 1$ u can put those stamps on the package and done?

Sorry if it’s stupid. I am just that clueless

[femmefan1946]

So each stamp has it’s value? So for example if your shipping to US costs 17$ for a tracked method and you have 17 stamps worth 1$ u can put those stamps on the package and done?

Yes, I actually have a big parcel going out today. I've photographed it with 8x $2.50 stamps and the customs label, then when I get it labelled at the PO, I'll take another photo and post them.

I prefer to pay for the last small amount in cash, especially at an outlet, but sometimes that amount is something like seven cents. YMMV.

[ricarmic]

We can't produce shippo etc labels for less than the actual package amount tho right?

Ie I can't produce a CP online or shippo label for 1c with the address etc and customs info and then put the rest on the package with stamps right?

[luckylegend]

Ok now how can you buy the stamps at a discount? How do you know if they are valid? Can I use vintage stamps? Where do I buy some super cheap?

[pjcdn2005]

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@ricarmic wrote:
We can't produce shippo etc labels for less than the actual package amount tho right?

Ie I can't produce a CP online or shippo label for 1c with the address etc and customs info and then put the rest on the package with stamps right?

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Right.

[83northsurplus]

I haven't done the stamp thing in years - but it does work.  The problem is making sure you know the correct amount.  Back when I used to do it, we were such low volume that I'd stick some stamps on and let them decide how much more was needed. 

That still works fine - once in a while.

The issue is if you are doing any large amount of sending you get better rates with the small business cards.  We've finally hit level four on that - so we are seeing some pretty good shipping discounts - but we have to spend more than $7500 a year on shipping to keep those rates.  They are actually cheaper now than spending the $299 a month on shopify to get their low cost shipping. 

In short, we save much more on the lower rates than we would using old stamps at a discount.  Plus stamps take a lot of time. 

The other thing that sometimes save us a bunch of money... is moving the origin point.  We are on the border with Manitoba / Saskatchewan.  If we have a bunch of freight going towards BC we can see a discount by inducing it on the SK side of the line.  There is also a similar dollar or two an item savings by moving the induction point to a larger center in Manitoba.  Its not worth it on the days we ship a couple things. But, when we ship 50 packages it can make it worthwhile.

I'm still looking for other people who want to share warehouse space and shipping discounts with us.  We had a couple people take us up on the offer and its working well.  Still room for more.  PM if you are interested. 

[luckylegend]

“Old stamps at a discount” what is that and where do i get it? Also what discount is it

[femmefan1946]

We can't produce shippo etc labels for less than the actual package amount tho right?

No we can't but the PO can produce labels to make up the correct rate.  This is the only reason I go to the PO.
This also gives me a receipt that shows post office acceptance, for what that's worth, because most of my mail just goes into the nearest mailbox.

[femmefan1946]

@83northsurplus 

They are actually cheaper now than spending the $299 a month on shopify to get their low cost shipping.

Okay, now we need details on this service.

[luckylegend]

If you want the discount shippo gives you can just use your canada post solutions card and pay it at the post office.

[kawartha-ephemera]

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@luckylegend wrote:
“Old stamps at a discount” what is that and where do i get it? Also what discount is it

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The discount varies a bit from lot to lot ... from what I've seen and I've not looked very closely they are typically offered 20 - 25% below face value, imo that is not nearly enough of a discount to bother with them. I would probably feel differently if I were in the stamp business.

Search ebay using " Canada discount stamps" .