Comments about the Global Shipping Program
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09-26-2013 10:34 AM - edited 09-26-2013 10:39 AM
Feel free to share your thoughts about the Global Shipping Program here.
A few questions to get the ball rolling:
- What has worked well for you with the Global Shipping Program?
- Any ideas to help improve the experience for Canadian buyers?
- What has deterred you from buying items offered using the Global Shipping Program?
- How have you managed to search for items outside the program?
Please try & keep the comments constructive 🙂
If you have any questions about the program, please post them here.
Re: next issue: arbitrary import fees
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10-01-2014 03:51 PM
"eBay is expanding it to more countries and finds it profitable for sellers."
Profitable for someone...
If Canadian buyers are avoiding it like the plague, how are the sellers gaining more by using it?
Sure, more US sellers are offering goods to Canadian buyers. But if the Canadian buyers find it too expensive, they will avoid 1) US sellers that just started selling to Canada and 2) US sellers previously selling to Canada through non-GSP system that converted to GSP.
Now sure how sellers find the program profitable. Or did I read that wrong?
Re: next issue: arbitrary import fees
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10-01-2014 03:54 PM
"did not say shipping was $30 and theres no way to see it until you try to pay."
I agree. The PB fee should be more clear. When item price is below the $20 Cdn threshold, that $4-$5 is hidden. That is just plain wrong.
Re: next issue: arbitrary import fees
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10-01-2014 04:09 PM
" that $4-$5 is hidden. That is just plain wrong."
Everyone here agrees with you.
eBay has been made very aware of that fact. Yet, they will not change the way it is done.
As stated, Canadians should avoid purchasing low priced items offered through GSP. It is that simple.
GSP was NOT designed with Canadian buyers in mind. Sellers could, if they wanted to, exempt Canada from GSP. However it seems most do not take the time to understand their options.
http://pages.ebay.com/help/sell/shipping-globally.html

Re: next issue: arbitrary import fees
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10-01-2014 04:21 PM
"Now sure how sellers find the program profitable"
To understand the profitability, you have to forget you are Canadian for a moment.
One of the largest challenge facing eBay (an American public company) in its goal to increase international trade was the unwillingness of many American sellers from selling outside their borders. They saw too many risks.
We all know many have been shipping to Canada for years without problem. The new program was not meant for them.
On the other hand, we also know that Canadian buyers have been asking the same questions for years: "why don't American sellers agree to ship to Canada?" That same question was asked by many Europeans wishing to purchase goods offered by American sellers not offering to ship overseas.
So the program (GSP) was created to allow American sellers to sell overseas while shipping domestically. All the risks involved in international trade (shipping delays, knowledge of Customs rules, etc...) were removed from them and the ability to sell overseas came at no cost to them. Foreign buyers would pay the extra fees and shipping charges involved.
So yes, it is more profitable for many American sellers as they now sell goods to foreign buyers, a market they did not service previously.
Unfortunately, nobody at eBay considered Canadians at the time. We already imported from the USA. We have knowledge and expertize on the subject. We know how to deal with currency. Etc... Most of the problem we currently see could have been avoided IF eBay had allowed sellers to exempt Canada from the program at the beginning.
Water under the bridge.

Re: next issue: arbitrary import fees
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10-01-2014 04:26 PM
This problem has been answered in the other thread.

Re: next issue: arbitrary import fees
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10-01-2014 05:47 PM
Re: next issue: arbitrary import fees
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10-01-2014 06:20 PM
The problem is NOT "duty".
As stated earlier, it is consumption taxes (GST/HST/PST). applicable equally to both new and used "whatever".
When you see "import charges" by Pitney Bowes, they include duty (if applicable), consumption taxes (GST/HST/PST)(In Europe they charge VAT) and a "service charge" generally around $4/$5.
Unfortunately, "duty" may be calculated on many items when they should be considered "duty free". Pitney Bowes has been blaming sellers for not correctly addressing the 'country of manufacture" issue for the problem.

Re: next issue: arbitrary import fees
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10-01-2014 06:59 PM
Sellers from Canada don't have much of an issue with the Global Shipping program, so it's no skin of their "knee". It's the buyers that this program have stifled. Not only are they confused, but many times cannot track their items until they reach Canada. Yes I quite agree that if sellers could give options for buyers to use this shipping plan or just ship direct to the customer, many more US sales would pick up.
This GSP has certainly deterred my spending. I usually ask the Seller if they would opt out and ship it to me direct. Some agree, but most don't. But looking on the bright side, my pocketbook is smiling!! Thanks Ebay for making me spend less,
Re: next issue: arbitrary import fees
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10-01-2014 08:16 PM
" it is more profitable for many American sellers as they now sell goods to foreign buyers, a market they did not service previously."
I don't think it's a slam dunk by any means. Maybe ebay plans to keep it for good, but I suspect there will be fewer Canadian sales as more and more sellers use GSP. That is less profit on one front.
As shipping costs go up for the buyer, there is a good chance fewer people will bid in the long run - especially for all those who feel the bite of GSP. Fewer bids means lower item price. Maybe it is not as bad for overseas buyers, but who knows.
Guess my point is... more sellers (to foreign markets) does not necessarily = more profits. If the cost to those foreign markets (including Canada) is high, buyers will find another source.
Re: next issue: arbitrary import fees
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10-01-2014 08:19 PM
"As stated, Canadians should avoid purchasing low priced items offered through GSP. It is that simple."
Don't buy often - but have never bought from anyone using GSP. Would only ever do so if the final price was reasonable. Haven't seen that yet...
Re: next issue: arbitrary import fees
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10-01-2014 09:20 PM
Profitable for someone...
For the Canadian taxpayer.
Canada Post and the CBSA came to the conclusion that it was not worth assessing the applicable taxes and duty on items under about $100, since it would cost more to collect than was collected.
Private couriers don't have that luxury, so they charge for it. UPS is particularly notorious for charging $25 or more for this 'customs brokerage '. PitneyBowes who run the GSP charge around $4-$5 - and presumably make a profit on their brokerage and trans-shipment services.
Most of the money collected goes for taxes, which are payable on used products by the way.
So when you buy from a seller who uses the GSP you can be proud that you are helping to reduce the national debt.
If Canadian buyers are avoiding it like the plague, how are the sellers gaining more by using it?
The sellers higher prices when they have both US and international* bidders, no matter who wins. Then they need only ship domestically (to Kentucky) with cheap USPS Delivery Confirmation. The GSP means the seller does not get hit with Disputes and Claims for undelivered items (some real some specious).
*The program is applied to all non-US purchases from US sellers using the Program, not just Canadians. So you are bidding against US ,Russian, Kiwi, German, Brazilian and Puerto Rican** members.
** You might be amazed at how many American sellers do not know that Puerto Rico is a US Territory and votes in Presidential elections. This terrifies many US sellers.
Re: next issue: arbitrary import fees
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10-02-2014 03:40 AM
Re: next issue: arbitrary import fees
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10-02-2014 09:42 AM
"*The program is applied to all non-US purchases from US sellers using the Program, not just Canadians. So you are bidding against US ,Russian, Kiwi, German, Brazilian and Puerto Rican** members."
I have no doubt someone (including Canadian Govt) is making more money. I suspect there is as nice reciprocal arrangement between PB and ebay as well.
However, I'm still not sure the sellers will make more. Would be interesting to know what % of ebay foreign sales comes from Canada, and how much of those Canadian bids/sales disappear as GSP takes more effect. Maybe I'm way off, and we are just a drop in the bucket of overall foreign sales.
But then again, if GSP is as nasty to other countries as it is to Canada, I don't see sales going up, even if there is more potential bidders. If all foreign buyers have to pay crazy shipping prices, sales will not go up. Especially if it is difficult to do combined shipping with GSP.
Re: next issue: arbitrary import fees
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10-02-2014 09:53 AM
" and we are just a drop in the bucket of overall foreign sales."
The last analysis I have seen on the subject is that Canada accounts for less than one percent of overall eBay volume worldwide.
From their perspective in their office in San Jose, we are basically irrelevant. Policy changes such as GSP are not made with Canada in mind. They were made looking at the world, mostly Europe with a population mote than ten times Canada, then Asia with its growing spending ability and South America..

Re: next issue: arbitrary import fees
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10-02-2014 09:56 AM
"if GSP is as nasty to other countries as it is to Canada"
Once again it is not a case of being "nasty" and having to pay taxes and fees. From the perspective of buyers in Europe and South America and Asia, it is a question of access to a market.
Yes, those billions of folks are willing to pay fees and taxes to purchase goods from the USA not previously available.
As Canadians, we cannot compare their situation to ours.

Re: next issue: arbitrary import fees
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10-02-2014 11:12 AM
"Canada accounts for less than one percent of overall eBay volume worldwide."
I can believe that. Does sales internally to USA make up 95%? 90%? Less?
However, where do we rank in foreign markets?
We are closer and shipping should cost less than say, to overseas... I would think Canada has an advantage on shipping end...
Re: next issue: arbitrary import fees
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10-02-2014 11:27 AM
Canada has 35,000,000 people
Europe has more than ten times as much
Asia has more than fifty times as much
From eBay's financial statements over the years, it appears than international sales by sellers account for about half (50%) of overall sales. Canada is a very small fish in a big pound.

Re: next issue: arbitrary import fees
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10-02-2014 11:51 AM
"it appears than international sales by sellers account for about half (50%) of overall sales"
Wow. And we are ~ 1%-2% of that 50%?
I concede - we're doomed.
Hope they (overseas) pay a lot in shipping... #bitter-much
Re: next issue: arbitrary import fees
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10-02-2014 12:18 PM
@pierrelebel wrote:"Now sure how sellers find the program profitable"
To understand the profitability, you have to forget you are Canadian for a moment.
One of the largest challenge facing eBay (an American public company) in its goal to increase international trade was the unwillingness of many American sellers from selling outside their borders. They saw too many risks.
We all know many have been shipping to Canada for years without problem. The new program was not meant for them.
On the other hand, we also know that Canadian buyers have been asking the same questions for years: "why don't American sellers agree to ship to Canada?" That same question was asked by many Europeans wishing to purchase goods offered by American sellers not offering to ship overseas.
So the program (GSP) was created to allow American sellers to sell overseas while shipping domestically. All the risks involved in international trade (shipping delays, knowledge of Customs rules, etc...) were removed from them and the ability to sell overseas came at no cost to them. Foreign buyers would pay the extra fees and shipping charges involved.
So yes, it is more profitable for many American sellers as they now sell goods to foreign buyers, a market they did not service previously.
Ha, I tried to buy from a seller listing with GSP, and he sat on my order for 5 days. Why? Because he still won't ship outside US and when I asked why he had not shipped, said mine slipped through the cracks, then refunded me.
Point is, there are sellers who still will not sell overseas even with GSP. So what is the program good for? <_<
Re: next issue: arbitrary import fees
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10-02-2014 12:36 PM
Some U.S. sellers are sending their items to a "third party" in U.S. for shipping, then this third party charges Canadian buyers outrageous shipping costs and taxes (where does that money go, I need a receipt to show me if they have paid this to my government).
The fact is that U.S. seller only charges a small shipping cost, he has no idea the buyers are being scammed for big money. If ebay doesn't sort this out immediately, I am going to take this to the government of Canada and ask them to look into where the taxes collected are going to.
For example a pair of booties asking for $110 is being charged $33.72 for shipping and $32.92 for taxes total $66.64 to a Canadian buyer. By the way, majority of the times, we do not need to pay taxes especially on a small item which is used.
Sellers are not even aware of that? Something is wrong ebay, are you taking part in this scam and benefiting from this shipping and tax scam.
Please sellers be aware and just ship it out by U.S. Post Service yourself and not subscribed to this service. Ebay cannot make money off us at this out of line charging rates.
Thank you.
Long time Canadian shopping
