New compulsory "Import Fees" from USA to Canada

[what-a-guy-2002]

Member since 2010 (632 100% feedback). I have been experiencing the new compulsory "import fees" policy on items from USA. Surprising! I am disappointed with this policy. It is a negative one on many levels notwithstanding for USA and eBay revenues, as many like myself will now be sure to be motivated to resource items outside of USA, and outside of eBay.

Also disappointing is a story I was told that USPS recently (January 28, 2013) redefined Canada from being an 'intermediary' to an 'international' country, and therefore shipping fees from the USA to Canada have risen 80%!

Must be people in rooms in the USA racking their brains on how to support the USA economy versus just printing money.

[chimera148]

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@lordoflight wrote:

  Good luck with this Global Shipping option, hope ebay montiors sales stats and sees them drop...  Make sure your vendor knows of this before you purchase and suggest they relist without the global shipping option.

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I agree, especially for new sellers any negative feedback due to the GSP could be devastating to their sales.

[lamolo]

I simply don't buy from GSP sellers.

It narrow my choices, but I don't like to be screwed.

[marnotom!]

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@lamolo wrote:

I simply don't buy from GSP sellers.

It narrow my choices, but I don't like to be screwed.

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While the GSP is largely unsuitable for most of the types of items that Canadians purchase from the United States, I would keep an open mind if you're looking for a large or big-ticket item.  The GSP tends to work better with listings for those sorts of items.

[dawziecat]

Well, this is the final straw!

Ebay is now dead to me!

I will still use it when I have items to sell. But I won't come to ebay to look for specific items as I did this evening.

And I won't be browsing auctions at all.

[wickedservant]

Though this 'service' has been implemented for long enough to expect the kinks worked out, it is still charging fraudulent or mis-represented fees.

I forsee good reading about a huge class-action lawsuit.

[t$*]

My understanding was that under NAFTA there is not duties on items tarded between USA, Canada & Mexico.

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@what-a-guy-2002 wrote:

Member since 2010 (632 100% feedback). I have been experiencing the new compulsory "import fees" policy on items from USA. Surprising! I am disappointed with this policy. It is a negative one on many levels notwithstanding for USA and eBay revenues, as many like myself will now be sure to be motivated to resource items outside of USA, and outside of eBay.

Also disappointing is a story I was told that USPS recently (January 28, 2013) redefined Canada from being an 'intermediary' to an 'international' country, and therefore shipping fees from the USA to Canada have risen 80%!

Must be people in rooms in the USA racking their brains on how to support the USA economy versus just printing money.

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Please correct me if I am wrong. 

[pierrelebel]

"My understanding was that under NAFTA there is not duties on items tarded between USA, Canada & Mexico."

That is correct in most instances IF the items are manufactured in Canada, the USA or Mexico.  A "made in China" item imported into Canada from the USA will be assessed the rate of duty applicable to the item. The fact it is imported from the USA does not exempt th eitem from duty (tariff).

Consumption taxes (GST/HST/PST) are always applicable and are not exempted by NAFTA.

[i*m-still-here]

 I would love to see the statistics regarding the GSP.

Also, it would be so interesting to hear what those who are directly responsible for promoting it say.

What do the numbers show?

Has the time spent by CSReps increased as they deal with GSP issues?

Have international sales dropped for those sellers who use it?

Have Canadian sales increased as a result?

The posts on the boards of every country I checked out indicate it's a complete fiasco, but yet it's promoted and pushed on sellers relentlessly.

I can cite numerous situations I've encountered with sellers who use it but have no idea what it's about.

I've read a few justifications for it here on this board but these are so weak.

I just had another encounter with it.  The seller really wanted to ship without it but he wasn't the sharpest crayon in the box and man oh man.............

Trying to get through that transaction was grueling.

He was worse than most, but almost all are completely puzzled by it.

Just leaves me wondering what the point is yet again.

[marnotom!]

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@wickedservant wrote:

Though this 'service' has been implemented for long enough to expect the kinks worked out, it is still charging fraudulent or mis-represented fees.

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Please elaborate on this point.

[pierrelebel]

"I would love to see the statistics regarding the GSP."

You can ask eBay directly but, as a public company, I doubt they will make that information available.

On the other hand, you can take a look at the financial results released yesterday for the second quarter and will find some answers to your questions:

http://files.shareholder.com/downloads/ebay/2589651815x0x677022/50d2319f-33e3-4818-9205-ebd774ebde66... 

"Just leaves me wondering what the point is"

You have stated that opinion several times over the months and the answer, including comments from the eBay.ca staff, has always been the same: GSP is not meant for Canadian buyers purchasing relatively low cost items from American sellers.

GSP is meant to help American sellers wishing to expand their sales internationally - NOT for American sellers already shipping successfully to Canada.

And as you can see from the financial report, it is working and is profitable for eBay. It does not change the fact it is not meant for Canadian buyers.  Canada accounts for less than one percent of global economic activity.  When large companies implement global shipping service, Canada is NOT their first, second or third consideration.

And life does go on.

Canadian buyers should avoid sellers offering GSP for most items priced under $100 and check their numbers carefully for higher priced items. 

GSP is a useful tool for many American sellers but NOT for most Canadian buyers.

[chimera148]

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@pierrelebel wrote:

"I would love to see the statistics regarding the GSP."

On the other hand, you can take a look at the financial results released yesterday for the second quarter and will find some answers to your questions:

http://files.shareholder.com/downloads/ebay/2589651815x0x677022/50d2319f-33e3-4818-9205-ebd774ebde66... 

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And then we can wonder why the EBAY share price dropped near 7% today.

[pierrelebel]

"we can wonder why the EBAY share price dropped near 7% today."

Who is wondering?

http://finance.yahoo.com/news/ebay-shares-fall-amid-guidance-184647888.html 

Nothing to do with GSP.

[i*m-still-here]

It may be true that in theory the GSP would work well for some transactions,........... That's open to debate but certainly a possibility.

BUT who cares?

EBay is pushing it and selling it and promoting to every American seller full force unselectively.

Therefore, according to eBay, it's clearly meant for all transactions.

With that in mind:  What on earth difference does it make that it would work for a few transactions?

None at all!

In addition: Read the boards.

Other countries hate it as much as we do.

I have NO interest in reading financial statements.

I'd rather go to the dentist.

Even if I did, common sense dictates that there is no reason whatsoever to attribute any fluctuation in eBay financial statements to the GSP.

[chimera148]

Sure, if you choose to believe them.

[pierrelebel]

"I would love to see the statistics....

Yet when given a link to where some of the answers (statistics) are, you wrote:

"I have NO interest in reading financial statements."

Why bother to ask the question if you do not want to read the answer?  Or is it that the answers do not fit your anti-eBay theories and it is easier to pretend not to read them?

Other statistics:

eBay Marketplaces gained 3.5 million active users in Q2 and ended the quarter with 120 million, a 14% increase.

Fixed price GMV represented 69% of total GMV

Fixed price GMV grew 18% from $11.3 billion in Q2-2012 to $13.4 billion

Cross-border trade in the second quarter was $11 billion, representing 22% of the company's total ECV

eBay Marketplaces Top Rated Sellers outpace ecommerce growth: their same-store sales grew 22%. They account for 45% of eBay's U.S. GMV in Q2.

Half of all U.S. Marketplaces transactions included free shipping in Q2.
 

http://www.ecommercebytes.com/cab/abn/y13/m07/i18/s02

[i*m-still-here]

You don't understand.

Of course I know that eBay will never release the numbers.

As an eBayer who buys from the US the GSP is  a problem ............... not a deal breaker but an annoyance nevertheless............

When I try to justify its existence I'm stumped.

I'd love to see the numbers myself so I can understand why eBay is pumping it up like they are.  Such a Huge Push.

Financial statements mean nothing.

We all know by know that they can crunch the numbers any way they want.................

And besides, to some of us (me, for example) they're boring as youknowwhat.

[pierrelebel]

"You don't understand."

Oh yes, I do.

[i*m-still-here]

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@pierrelebel wrote:

"You don't understand."

Oh yes, I do.

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Ooops, My mistake then.  I'll re-do my previous post then with that new information and make the appropriate correction.

Of course I know that eBay will never release the numbers.

As an eBayer who buys from the US the GSP is  a problem ............... not a deal breaker but an annoyance nevertheless............

When I try to justify its existence I'm stumped.

I'd love to see the numbers myself so I can understand why eBay is pumping it up like they are.  Such a Huge Push.

Financial statements mean nothing.

We all know by know that they can crunch the numbers any way they want.................

And besides, to some of us (me, for example) they're boring as youknowwhat...............

no matter how big you make the font.

[bb_cool_stuff]

Just as you predicted Pierre in regards to the Free Shipping Model.

50% & probably increasing. Wow, if the percentages keep increasing we will have to make additional changes to our business models.

[pierrelebel]

"we will have to make additional changes to our business models"

Yes. selling by mail to Americans (your recent feedback indicates most buyers are from the USA) has been challenging and will continue to be as shipping costs keep on growing.

It will be even more difficult selling on eBay as many of their policies clearly favour American sellers on their own turf.