eBay

hanger_sisters · ‎05-29-2023

Hello! I'm a new seller and just sold my second item to a US buyer who is paying for shipping. The original listing had a Canada Post calculated shipping option that gave the buyer a quote of $40 CAD for shipping. After he made the payment, the options I can see on the shipping labels page with the exact weight/dimensions of the package are much lower (approx $22) for a different expedited Canada Post option.

My question is - if I choose the lower cost shipping label, can I be sure that my buyer is only charged the lower amount since he's technically purchasing a label that is $22 instead of $40? If not, and he wants to lower the shipping costs, do I have to cancel the order, re-post with the additional shipping options, and have him re-purchase the item? Thanks!

pjcdn2005 · ‎05-29-2023

The listing for the camo hoodie shows that you will be using CP expedited USA. That is the only CP service to the US that uses the term expedited so I'm not sure what you mean by seeing 'different' Expedited service. Do you see the $40 and the $22 price option when tou look at the label page?

The eBay labels do get a discounted rate so if you do see just the one expedited rate for the lower cost, that is the discounted rate. The rate the buyer sees on the listing is the regular retail rate. The buyer pays the seller the rate that they see on the listing and when you print the label you will pay the discounted rate. If you want to refund the buyer part of the shipping cost you can do that in sellers hub. You don't need to make another listing.

Keep on mind that you will pay a final value fee on the total amount the buyer pays including shipping and taxes. You also will be paying shipping supplies such as a box and tissue paper. So for shipping you will be paying fees on the $40 regardless of the cost of the label. If you decide to give a partial refund you might want to take those fees into account and adjust the refund. For Example, if fees on that $40 are about 15% ($6) and you pay $22 for the label you might want to just refund $10.

It is up to you if you want to refund the difference. Some sellers do, some don't. I usually refund part of the overage unless it is just a couple of dollars. The buyer has already agreed to pay the $40.

pjcdn2005 · ‎05-29-2023

I hope that my explanation hasn't confused you more! If so, let us know.

reallynicestamps · ‎05-29-2023

@pjcdn2005 wrote;

The rate the buyer sees on the listing is the regular retail rate....

The buyer pays the seller the rate that they see on the listing and when you print the label you will pay the discounted rate.....

you will pay a final value fee on the total amount the buyer pays including shipping and taxes.

What you charge the buyer for shipping is not the same as what you pay for shipping.

You can use the difference to pay for packaging, for self-insurance* when this or another transaction goes wrong, or when you underestimate the cost of shipping.

All of which will happen at some point in your next year of shipping.

*Cookie Jar Insurance is what this is often called. Putting a small amount from each sale in a virtual Cookie Jar to pay for the occasional but inevitable problems.

hanger_sisters · ‎05-30-2023

Thanks so much for the info - very helpful!

I'm used to selling on Poshmark so am getting used to the idea of buyer paying me directly for shipping instead of paying the platform directly.

I misspoke about the US shipping options - the second one is "Canada Post Tracked Package USA" which seems like the better option instead of the Canada Post Expedited (see photo for all options offered/amount buyer paid).

So, if I'm understanding you correctly, if we don't cancel the sale, I will pay eBay fees on the $40 original shipping cost, but will purchase the cheaper Canada Post option. Then I will have a surplus (cookie jar) of shipping costs in my account, some of which I can arrange to reimburse to the buyer through the Seller Centre.

It's unfortunate that the original shipping quote doesn't reflect these discounts!! I'll have to do some more research on simplifying the shipping process and using external resources.

I appreciate your help!

femmefan1946 · ‎05-30-2023

https://www.canadapost-postescanada.ca/cpc/en/tools/find-a-rate.page

For rates- this is what your buyer will pay.

https://www.canadapost-postescanada.ca/cpc/en/business/small-business.page?

This is the card/account that gives you discounts even on non-selling shipments.

pjcdn2005 · ‎05-30-2023

Unless you ask the buyer you can't downgrade the service which is what you would be doing in you use Tracked Packet. It isn't much of a downgrade but it is considered one. Have you already entered the weight on that label page. TP is for packages 2kg and less. If the buyer paid $40 for shipping already, he agrees to downgrade and you give him a partial refund, you will be refunded the fees on the amount that you refunded. If you don't give him a refund you will be charged for the amount that he paid.