Canada Post removing US Small Packet Surface

[doglover550]

I didn't see this on a thread anywhere.

Canada Post is removing US Small Packet Surface. Also looks like they are removing $100.00 insurance off Air and adding Tracked Parcel instead.

http://www.canadapost.ca/cpo/mc/assets/pdf/rates/parcels_changes_2013_en.pdf

No pricing yet.  Oh boy, lots of work ahead to change all my listings.

[westernstargifts]

Hi pocomocomputing,

They only charge tax if you take in a single Lt or Sm Packet envelope which I rarely do.  They don't charge tax when I ship multiple items.

I have heard sellers mention the discount postage but have never used it myself.  Actually I thought we were 'required' to either print labels from PP or CP or take them physically to the PO to be processed.  What do you put in the box "Cost Centre" where the PO or outlet put their number?  Is there anything else besides the blue airmail stickers and stamps that have to be applied to the package?  I can weigh it myself as I have a postal scale.

I too have my own system that I use for packaging to streamline the process and it works quite well.  DH usually fills out the CN22 forms for me, particularly when I am really busy.  He is also "Mr. Shipping Dept" as every day he takes the packages to the postal outlet that we use.  They give excellent service and the prices are the same as the PO.  Unlike the PO there is usually not a lot of waiting time.

Thanks for the info and taking time to post it.  I will look into the discount stamps.

[toff3]

Roblin,

You make it sound as if switching from Sm Pkt USA Surface to Air is a voluntary decision on your part. Did Canada Post give you any real choice in the matter? No.

Canada Post keeps turning the screws ever tighter. Not content with simply raising rates for existing services, they continue to make mailing ever more expensive by cutting services and introducing higher-priced ones.

When will Canadians wake up and realize they're being royally shafted by Canada Post?

Tom

[toff3]

Western,

Who is DH??

Tom

[pjcdn2005]

Who is DH??

Darling Husband...Dear Husband.. etc

[pjcdn2005]

It's about a 7 percent increase for the up to 250 gr basic rate of light packet international ...that seems high. But there shouldn't be any tax on that now that it is over $5.

[pocomocomputing]

@westernstargifts, I use the cost center number of my local Retail Post Office in the Shoppers Drug Mart where I go when I need to use Canada Post services. I drop into the corner mail box. I ship only a few items per week and mainly Lettermail/Light Packet.

If Small Packet, I will use the discount postage stamps on the package and fill out the CN22 form, then go to the post office to have them process it and stamp the back of my copy of the CN22 form for the $100 insurance.

With Small Packet going to no insurance, I will no longer have to go to the post office for the stamping for the insurance. If the package fits in the corner mailbox, then I will drop off there.

I have a "safe" corner mail box. It is away from schools, 7-11s, malls, playgrounds. Little walk by traffic. No graffiti, never turned over. Basically left alone. It is on the corner of a very busy street and a slow residential street. So much traffic goes by day or night that any tampering would be noticed.

The pickup posted time is 9 am M-F and the actual time appears to be 11 am. I drop my packages in the mail box at 7-8 am M-F to make sure they do not sit in the box overnight or over weekends. I think I am the only one using it as I have never seen anyone else use it in 4 years!

[toff3]

PJ,

I think you meant there's a 7% increase in the LPI rate for the up to 100 g weight range, which brings it to over $5.00. And let's call a spade a spade. The increase doesn't seem high, it is high.

By the way, the Light Packet USA rates I was given by Canada Post over the phone a couple of days ago and which I posted on another thread do not agree with those that were eventually listed on

http://www.canadapost.ca/tools/pg/prices/SBprices2013-e.pdf

I presume the rates on the website are correct. They're actually lower so I suppose we must be grateful for small mercies.

The LP International rates I was given agree with the website. So Canada Post manages to get something right once in a while.

Tom   

[pocomocomputing]

The Light Packet prices always seem to be forgotten in the December announcements the 3-4 years that I have been following the Canada Post price increase announcements. Thanks to Tom for getting those prices added to the documents.

Another Canada Post rate that is also forgotten is the Medium Lettermail rate in domestic Lettermail rates. It is an odd rate that was introduced 2-3 years ago. It is always forgotten in the early December documents regarding Canada Post price changes in January.

Not that it matter much to most sellers. I have used it a couple of times to send a decal Lettermail within Canada saving a few cents.

But it does add to the feeling of incompetence in Canada Post in publishing their price increase documents each year. Surely someone at Canada Post actually understands their own fee structures and someone competent is proofreading the documents.

Hopefully someone in the programing department is getting accurate information on the rate changes to implement them. Hopefully the information sent to eBay for the shipping calculator and to PayPal for the printing labels is correct. These third parties seem to be oblivious to how the shipping works at Canada Post and will implement whatever they are supplied with.

Which leads to another question? How valid is their claim from the document

http://www.canadapost.ca/cpo/mc/assets/pdf/rates/parcels_changes_2013_en.pdf

Average Rate Increase
• Price adjustments for Domestic Parcel Service will see a net weighted average increase
of 3.7%.
• Prices for USA/International Parcel Services will see a net weighted average price
increase of 3.2%.

If they have forgotten about the Light Packet services to include in their rates, how valid is the study to determine the net weighted average? Did they include those services?

I know that the weighted average statement is nonsense. It is not a real number. Each service should have their individual price increase show. But that would be too shocking to see.  Smoke and mirrors. Like all statistics from business. Remember eBay and their "Lowest fees ever" announcements each year. LOL

Another issue I have with the main document with the new prices

http://www.canadapost.ca/tools/pg/prices/SBprices2013-e.pdf

is the lack of any revision history in the document. If Tom had not pointed out that Light Packet was now included, I would never have known. Nor would I have known if the correction to Letterpost US was made. I went through the document already and being a long document, it is not something that anyone would want to review in detail every few days for changes. Nor did I expect it to be changed.

The bottom of each page has a footer saying Effective January 14, 2013. It should also include a revision date as well as footnotes on the last page documenting each change and when it was made. This way anyone who has read the document would be able to know that changes were made and where. A note on the title page of the document should state the revision date and a note to say to go review the changes. Then the user of that document could go back and check if there are any changes easily by checking the revision date.

This is a common procedure when revising important documents.

How many users of the Canada Post services reviewed the document and got misinformation and are unaware of the revisions? Not a very good way for Canada Post to keep their users informed.

[bits-n-pieces]

Absolute total disaster for my business as I outlined in a previous post, but now my concern is how this will actually be implemented by ebay.  We have been told that after the date specified, listings that have small parcel offered will not be visible on .com. 

I will certainly avoid running auctions that will fall during that time, but I have about 400 store items of which I would guess that at least 2/3 are set up with small packet postage. That is many, many hours of editing to be done and bulk editing does not include postage so it is one by one by one.

Will ebay only make the changes to the listing form on the site and TL on the day?  Would love to get some kind of head start, but can't find any info on site updates.

[pjcdn2005]

That is many, many hours of editing to be done and bulk editing does not include postage so it is one by one by one.

You can bulk edit postage on selling manager.It is a little cumbersome but still better than changing listings one at a time.

[pocomocomputing]

Absolute total disaster for my business as I outlined in a previous post, but now my concern is how this will actually be implemented by eBay.  We have been told that after the date specified, listings that have small parcel offered will not be visible on .com. 

I will certainly avoid running auctions that will fall during that time, but I have about 400 store items of which I would guess that at least 2/3 are set up with small packet postage. That is many, many hours of editing to be done and bulk editing does not include postage so it is one by one by one.

Will eBay only make the changes to the listing form on the site and TL on the day?  Would love to get some kind of head start, but can't find any info on site updates.

Where did you see in eBay that using SP will not make listings visible? Do you have a link for this? I cannot believe this without proof.

As for the rest, bulk edit currently allows editing of Shipping options used in a listing. I would assume that the capability will be there before the removal of Small Packet surface.

[pocomocomputing]

One thing I noticed about the upcoming changes is that the monthly fuel surcharge will drop by 2% on Jan 14 when the new rates come into effect. See this page

http://www.canadapost.ca/cpo/mc/aboutus/news/fuel/default.jsf?ecid=murl07001075&LOCALE=en

So between now and Jan 14, 2013, the fuel surcharge will drop 2.75% which will affect services like Expedited Parcel and Xpresspost. Now this will make up for some increases in the rate changes.

Light Packet and Small Packet rates in the past had fuel surcharges built into the price for the year. Expedited parcel prices changed monthly.

From what I see in the Canada Post documents, Tracked Packet is going to be a year long rate. But I am not sure.

Looking at Expedited Parcel rate table for 2012 versus rate for 2013, Expedited went up 3.3%. But the fuel surcharge went down 2.75%. So the Expedited Parcel rate on Jan 14, 2013 will go up roughly 1%. So not so bad.

[pocomocomputing]

One very important thing about the new Tracked Packet services is that it is not using dimensional weight. Expedited Parcel does use dimensional weight and it affects the shipping cost.

So sellers will find that a large box that ways under 1 kg can be significantly cheaper that Expedited Parcel.

For example, a package item weighs 1kg and has the dimensions of  30 x 30 x 30 cm. This is the maximum dimensions of Tracked Packet. This will cost $17.54 using Tracked Packet.

The Dimensional Weight of the above box will be

L x W x H / 6000 = 30 x 30 x 30 / 6000 = 4.5 kg.

Even though the box weighs 1 kg, it will have a shipping weight of 4.5 kg for Expedited Parcel. Tracked Packet will use the true weight of 1 kg. (Same for Small Packet).

Using Expedited Parcel USA with the current Find A Rate (add 1% for new rates approximation) (PP = PayPal rate approximation at 20% off)

Vancouver to Washington state (closest state) $26.19 (PP $20.92)

Vancouver to California sates (medium distance) $30.08 (PP $24.06)

Vancouver to Florida state (maximum distance) $33.64 (PP $26.91)

I used Vancouver since I live there. Sellers in the East like Ontario have a more favorable location to reach the majority of the US states at a lower rate.

So for sellers who shipped using Expedited Parcel for the DC can think about the Tracked Packet service for some larger packages that weighed under 1 kg.

The one drawback to Tracked Packet is the $100 insurance limit. Typically Expedited Parcel was used for higher value items over $100. For items over $100, you can buy additional insurance from a third party for about $1.50 US per additional $100 coverage. The Delivery Confirmation for Tracked Packet eliminates much of the buyer fraud in lost packages so risk of true loss by the post office might be taken as an option to underinsure.

A seller needing Delivery Confirmation has to think about which service to use for items under 1 kg to the USA. Tracked Packet versus Expedited Parcel.

PS For an idea of what size box is relative to dimensional weight.

DW 1.0 kg is about the size of a mans shoebox (size 11)

DW 2.0 kg is the size of two mans shoeboxes stacked together.

DW 3.0 kg is the size of three shoeboxes stacked together.

DW 4.0 kg is the size of four shoeboxes stacked together.

PS Hopefully, I have not made any blatant errors in the analysis above. Correct me if I have made any mistakes in the thoughts above.

[pocomocomputing]

One comment about the maximum dimensions for Tracked Packet (and Small Packet). I said that the max is 30 x 30 x 30 cm which is not correct. For my example it is.

The max dimensions are L + W + H must be less than 90 cm total and Length must be less than 60 cm.

So 60 x 15 x 15 is okay. So is 40 x 30 x 20.

For the Dimensional Weight maximum, 30 x30 x 30 gives the maximum DW of 4.5 kg. It is a perfect cube which maximizes the DW.

Again my observations on DW. Please correct me if I am wrong.

PS Some examples of maximum dimensions and their DW. Shape of box matters in DW calculations.

30 x 30 x 30 = DW 4.5 kg

60 x 15 x 15 = DW 2.25 kg

40 x 30 x 20 = DW 4.0 kg

60 x 10 x 20 = DW 2.0 kg

60 x 5 x 25 = DW 1.25 kg

So it appears that a thinner flatter package has lower DW.

PS Sorry for all the math. But it is important to know that the DW matters for Expedited Parcel which uses it. Tracked Packet does not and this will make it significantly cheaper than Expedited Parcel sometimes.

[bits-n-pieces]

Using bulk editing is no more time saving than editing every listing one by one.............either way it will be hours  if not days of work. That is the least of the problem.  The new rates are HIGHWAY ROBBERY.  The comparison should not be made between expedited and tracked packet.......my small items will be up to 38.5% higher to the US.

What I could mail for $12.66 (500g to 1K and within size limits) to the US will now cost $17.54 (to Calfornia for example) for tracked or $19.08 for expedited.  We wanted tracking on small parcels for a reasonable fee, not to be raped and pillaged by the post office. Don't forget that we will also be hit with ebay fees on the increased postage!

International buyers will likely all but disappear for sellers who offer anything that can't be stuck in a bubble mailer.

How many small sellers can sustain a loss of 1/3 or more of his or her business.  That is what local ebayers have been telling me they expect to lose.  I think I'll be in the 30% to 40% range of loss of business..........this is disastrous. 

I think Canada Post is being very short sighted. I would hazard to guess that online sales shipped though their service is a substantial portion of their business now that letter mail is going the way of the dodo. 

[velvetfinch]

agreed.  i am totally disgusted that they are taking away small packet USA surface.  i'm even more disgusted by the fact that they've gleefully introduced this "wonderful" new tracked packet.

Of all the changes concerning ebay (and I know this is Canada Post but most likely in conjunction with ebay), this one is the hardest to take.

[pocomocomputing]

Using bulk editing is no more time saving than editing every listing one by one.............either way it will be hours  if not days of work. That is the least of the problem.  The new rates are HIGHWAY ROBBERY.  The comparison should not be made between expedited and tracked packet.......my small items will be up to 38.5% higher to the US.

What I could mail for $12.66 (500g to 1K and within size limits) to the US will now cost $17.54 (to Calfornia for example) for tracked or $19.08 for expedited.  We wanted tracking on small parcels for a reasonable fee, not to be raped and pillaged by the post office. Don't forget that we will also be hit with ebay fees on the increased postage!

International buyers will likely all but disappear for sellers who offer anything that can't be stuck in a bubble mailer.

How many small sellers can sustain a loss of 1/3 or more of his or her business.  That is what local ebayers have been telling me they expect to lose.  I think I'll be in the 30% to 40% range of loss of business..........this is disastrous. 

I think Canada Post is being very short sighted. I would hazard to guess that online sales shipped though their service is a substantial portion of their business now that letter mail is going the way of the dodo.

I use bulk edit to relist or sell similar many times and change listing format from auction to fixed price and the duration. Very fast as I can group them to make the same change to all listings in a group.

Bulk editing the shipping options will be fast also if you can group them.  You can also use bulk edit to look at the shipping for each listings and change one at a time and that is much faster than editing each listing one at a time.  So your 400 listings will take-1-23 hours at most to bulk edit.

Small Packet USA Air still exists and can be used instead of Tracked Packet. Only 22% higher than surface. SP Air rate actually decreased by 10 cent from last year.

Small Packet International will still exists and rates are increasing slightly.

All Small Packet loses the insurance. To the USA this may not be a problem. Internationally it might be.  How many times did you claim insurance on Small Packet USA and International this past year?

The new Tracked Packet rates will be given a discount if you use eBay/PayPal shipping.  I think it will be 5% but maybe 10% off the regular rates.

As for your example of shipping Expedited Parcel to California (from Ontario I assume), that looks like the full rate at the Post Office.  If you use PayPal shipping with the 20% discount, it is in the $15.25 range.

One thing you can do for Small Packet is to consider using discount postage and save 25 to 35% in postage costs. So a $15.56 Small Packet USA Air will cost you $12.45 with 20% off. You have to pay sales tax on the discount postage stamps so at 35% off, and paying Ontario 13% HST, you are left with 22% off. Takes more seller time with discount postage though.

I do agree with you that the loss of Small Packet is a problem but there are ways to cope so that you do not lose 1/3 of your business.  You might get it down to 5% or 10% or maybe none at all. Some buyers might even pay the extra cost without too many complaints. You might try building some of the postage into the price.

PS You mentioned in an earlier post

We have been told that after the date specified, listings that have small parcel offered will not be visible on .com.

Where did you see that? I do not believe it.

PS I am not trying to argue with you but to show you things that do not make sense to me and corrections or ways around them. 🙂

[cumos55]

New postage rates are avaiable at...

Link to

http://www.canadapost.ca/tools/pg/prices/SBprices2013-e.pdf

The timetable for Canada Post changes relative to eBay  is at

http://www2.ebay.com/aw/ca/201212.shtml#2012-12-17154207

Tracked Packet will be available at Canada Post... effective January 14.

There will not be a reference to Tracked Packet, USA or Tracked Packet International on eBay until after February 11...

So how do you revise your store listings.....

January 14 revise to include Tracked Packet rates.... using the description ....

Standard International Shipping

On February 11  revise Standard International Shipping to Tracked USA,

[cumos55]

Bulk editing listings....

I sell books....

Postage is flat rate, to Canada, to the US and then elsewhere  worldwide.

My costs are in relation to the weight of a book.

All books that weigh less than 1.0 kg currently have a shipping of $12.00 within Canada..

then 1.0 to 1.5 kg  has $13.00

then 1.5 to 2.0 kg has $13.50  and so on.

All of my listings are coded in relation to the cost of shipping,  with the service and cost of shipping  the same for all with a cost of shipping of $12.00 to all locations in Canada...

If there is something unique to shipping or cost of shipping then $12.00 becomes $11.95 and that listings get special one of a kind editing.... such as extra insurance... over $100

This coding in relation to shipping within Canada  allows me to Bulk edit  all of the listings in the store... very quickly,

3000 listings in less than 3 hours... with time off for coffee.

In relation to my last post... 

My listings will be revised fully for January 14... and Bulk edited after February 11  to change the wording to Tracked Packet....

The key to using Bulk Edit is to code listings in such a way that  listings  with the same shipping option and same prices can be edited as a single group....

My listings in "My Ebay " are also set to show 200 per page... thereby allowing me to edit 200 with each Bulk edit....

Plan ahead  

[cumos55]

After January 14, all small packet options, those still available,  will not have insurance included...

Tracked Packet   will include $100 insurance, and no more,   and will have tracking.

Tracked Packet International is only available to a very select list of countries.

International Parcel Surface costs less than Tracked Packet International, can be insured for more $100  and has tracking...

Small packet International  Air is expensive and does not have insurance ....More costly than International Parcel Surface  which  has insurance and tracking.  Tracking is critical for a Paypal claim of non-receipt.....

 My options

(1) Lettermail/Letterpost for all parcels weighing less tha 500 grams and less than 2 cm thick... and less than $25 value.

(2) All parcels over 500 grams within Canada.. is Expedited  Parcel

(3) Tracked Packet USA mainly because of the insurance  with tracking thrown in

(4) International  shipping other than the US... International Parcel Surface... fully insured  and with tracking...

Concerns include  low and lowest cost shipping,  and if over 500 grams in weight  it is fully insured.

I have already figured out what to do if 90 % tracking is required to meet a TRS  requirement and keep the 20 % discount.

A TRS on eBay.ca currently does not have to meet the 90 % tracking requirement to get a 20 % discount