UPDATE: Received this today (long letter attached.) I've highlighted some text. Comments? I interpret it to mean as long as we ship at least 100 non Canadian parcels per year, we can still keep our discounts, and I've sent an email to Mr. Froats to clarify that.
August 9, 2006
XXXX
XXXXX
XXXXXXXXXX
Victoria BC
Dear XXX SKM,
I am sending you this letter in response to your email concerning the cancellation of the eBay Powersellers Parcel Program. First let me say that Canada Post is committed to providing reliable, efficient and cost effective shipping solutions. This allows the shipper to choose the service that’s best for them, and they only pay for the options that are needed.
eBay sellers are important to Canada Post, and it is why we work so closely with eBay Canada to develop innovative programs such as the integrated shipping platform to make shipping that much easier.
The eBay Powersellers Parcel Program was implemented to encourage eBay sellers to use Canada Post shipping services while we developed the integrated shipping platform. As you know, now that it is up and running we will be cancelling the Powersellers Parcel Program on September 31, 2006.
When the program was first set up we determined the three volume discount levels for the agreements we established based on information from eBay. The information we used indicated the volume of sales made by eBay Powersellers in a one-year period and we translated that into the number of shipments we would expect from each Powerseller. For example an eBay Powerseller who sold 750 domestic items, or 100 International items, in a year would have been eligible to use the 40855514 Powerseller Parcel agreement.
At the conclusion of the Powersellers Parcel program, a complete analysis was conducted of each and every one of the participants to determine their actual shipping volumes. 1,700 Powersellers signed up for the program. 1,400 who signed up did not ship any items under the program. Of the remaining 300 who did ship, those that had enough shipments in 2005 to qualify for a CPC shipping agreement, are being contact by a CPC sales representative to be offered their own agreement. The minimum number of shipments required to qualify for an individual agreement is 100 International shipments, and / or 750 domestic shipments. The majority of the 300 participants did not meet this minimum and we suggested they migrate to the integrated shipping platform where they would receive an 8% discount on domestic and 9% discount on International rather than pay full retail rates with no discount. As well, we also recommended that for their non-eBay shipments they become members of our VentureOne program that provides for a 5% discount at our retail counters.
As I mentioned, Canada Post offers a complete suit of shipping and delivery services that where designed so that a shipper can choose the service that provides for the needs of each shipment based on speed, options and cost. For example, if you need guaranteed delivery, a signature from the recipient and additional insurance coverage then you could use either, Priority Courier, Expedited parcel or Xpresspost depending on the speed required.
I trust this answers your questions and I hope you continue to use Canada Post for your shipping requirements.
Sincerely Yours,
Ted Froats
Marketing Manager, Parcels Division