RICARMICs Self insurance cookie jar statistics to end of 2022

WOW the 10th anniversary of me producing these!!

 

Main overall note: In 2022 I shipped a higher percentage of NON tracked items, I'm usually running under 10% tracked now, folks were buying "smaller" stuff for the last half of the year.

 

Overall Notes:

-I live in the stamp collectors world, so these results are all from postage stamp selling categories

-prior to 2018 I sold only on .COM. Since then new stuff is about equally divided between .COM and .CA depending on intended audience and shipping costs (low value stuff with high small packet shipping cost to USA are listed on .CA with USA shipping costs, larger versions of the same lots are on the .COM to try to get them to buy the larger more cost effective to ship to them lots)

-NEW in 2022 I  began blocking countries when the new Germany rules came in, I block 105 countries now. I do not have any other blocks, but I do maintain a blocked buyer list.

-this review includes items lost to "crime" as well. "Crime" is defined here as situations where I think or know people purposefully buy with bad intentions, or claiming false lost in transit.

-because of the blocked countries, I sell less stuff internationally now, just under 20% of my packages go outside North America

-the numbers below are specific to eBay sales. I experience losses both real and "crime" related via the other online venues I use so package loss rate is not only an ebay buyer issue.

 

It is also worth noting that for 2022 I continued to have 3 types of insurance:

  1. Self insurance for the small stuff
  2. Canada Post for the first $100 only when items are sent expedited, expresspost, or trackable
  3. 3rd party insurer (Hugh Wood) for stuff over $200

(Note that I did not utilize 2 or 3 in 2022, 2021, 2020, 2019, 2018, 2017 or 2016, wow for 7 years so far!!!)

 

2022 results

 

% of shipments lost = .004 = less than 1/2 of 1% of packages lost without repayment (.005% lost with repayment included), so about 1 in 250 packages are lost this is a bit worse than 2021

% of $ sales = .0078 = just over 3/4 of 1% this is just a bit higher than 2021*see notes below

10 items "lost" in 2022: India(2 1 forwarded to), Italy(2), USA(1), Canada (1), Uruguay (1), Germany(1), Australia(1), Mongolia (1 forwarded to)

   1 Italy identified as lost to "crime" 

   2 repaid, Uruguay, and Italy (non-crime of course)

   Canadian one was likely confused buyer, 3 of many items purchased, other items purchased with missing

      ones were received? Didn't raise this expecting it would just cost me more, simply sadly blocked them.

   India chose to take risk on sending one of the 2 missing as COGS was very low

 

Things of note in 2022.

-with the worst of COVID theoretically past, it is interesting that 2022 results were worse than the COVID years! Having said this some of this is due to the fact that the Italy(crime) and 2 India losses were relatively large compared to average $$ losses.

-all lost packages were not tracked

-my new blocked countries have removed 2 of the above, India, Germany

 

2021 results

 

% of shipments lost = .0033 = 1/3 of 1% of packages lost without repayment, so about 1 in 300 packages are lost this is basically the same as 2020

% of $ sales = .004 = under 1/2 of 1% this is just a bit higher than 2020, so about 1 in 250 packages are lost

12 items "lost" in 2021 USA(4), Canada (1) UK(1), Croatia (1), Uruguay (1), Colombia (1), Mexico (1), Israel (1), Slovenia (1)

   1 identified as lost to "crime" 

   12 lost and unrecovered so far

   1 repaid (from loss in 2020 so I didn't count it)

 

Things of note in 2021.

-with COVID continuing, one would expect much worse results, however the actual results were better/lower than usual loss rates before COVID with a much higher sales volume during COVID!!

-one lost package to USA was through US forwarding company

-all lost packages were not tracked

-I mailed to a lot of scary countries this year like India, Russia, Eastern Europe, Latin American countries etc and relatively speaking low losses to them!

 

2020 results

 

% of shipments = .003 = under 1/3 of 1% of packages lost without repayment, so about 1 in 333 packages are lost this is lower/better than 2019

% of $ sales = .0033 = 1/3 of 1% this is lower/better than 2019 

17 items "lost" in 2020 Canada(5), USA(5), UK(2), Australia(1), Greece(1), Italy(1), NZ(1), Spain(1)

   1 lost to "crime" (buyer was selling stuff that "never arrived")

   10 lost and unrecovered (this fewer unrecovereds than 2019!)

   7 repaid

 

Things of note in 2020.

-COVID, one would expect much worse results, however the actual results were better/lower than usual loss rate with a much higher sales volume!!

-one lost package to Canada was to a many times repeat customer

-one lost package to Korea through US forwarding company that uses multiple IDs (so it counts as US above). I thought I had blocked them all but I missed this one, I did find and cancel due to "bad address" other attempts from the other IDs from the same forwarding company.

-all lost packages were not tracked

-even with COVID I mailed to a lot of scary countries this year like Malaysia, India, Russia, Eastern Europe, Latin American countries etc and no losses to them!

-the "premonition" loss signs at this point (due to the COVID/XMAS combo) do not look to be any worse than a normal year, I do not anticipate at this point the January losses for items shipped in Nov/Dec to be much, if any higher than normal.

 

2019 results

 

% of shipments = .0047 = under 1/2 of 1% of packages lost, so about 1 in 212 packages are lost

% of $ sales = .0041 = under 1/2 of 1% this is much higher than last year but a more normal %

11 items "lost" in 2019 Czech(1), Hungary*(1), Romania(1), Russia(1), Sri Lanka (1), UK(2), Ukraine(1), USA(3)

   0 believed to be lost to "crime" (none that I felt strongly about)

   11 lost and unrecovered (this is the most unrecovereds, but some may bleed over to 2020)

   0 repaid

 

Things of note in 2019.

-this is more of a normal loss rate

-the lost package to Hungary was to a many times repeat customer before and after loss

-all lost packages were not tracked

-I mailed to a lot of "scary" countries this year and most of them are not on the loss list!

-in 2019 I raised the bar on tracking, I tracked fewer packages "close to the line" in 2019. So far, zero tracked losses, so this theoretically would have saved maybe half of the loss $ if I incorporated it but I did not because I didn't closely track the relevant savings.

-see comment under what I've begun listing on .CA that used to be on .COM

 

2018 results

 

% of shipments = .0018 = under 1/5 of 1% of packages lost, so about 1 in 550 packages are lost

% of sales = .00044 = under 1/20 of 1% ie almost negligible percent loss rate $ wise

4 items "lost" in 2018 Canada(2), USA, USA forwarder to Paraguay

   1 believed to be lost to "crime" (Paraguay forwarded)

   4 lost and unrecovered

   0 repaid

 

Things of note in 2018.

-this is the lowest loss rate since I've been reviewing this way, previous record low was 8

-all lost packages were not tracked

-no items so far lost due to Canada Post strike

-I mailed to a lot of "scary" countries this year and so far only losses have been to Canada or US addresses

-only significant 2018 change was beginning to list material on .CA

 

2017 results

 

% of shipments = .0071 = under 3/4 of 1% of packages lost, so about 1 in 140 packages are lost

(all lost packages were  not tracked)

% of sales = .0044 = under 1/2 of one percent loss rate $ wise

13 items "lost"*** in 2017 Australia,Canada(5),Colombia,Italy,Russia(2),USA(3*)

   3 believed to be lost to "crime" (Canada,Russia(2) based on spider senses)

   10 lost and unrecovered(so far). 1 Found later** Canada, 2 arrived later & repaid Colombia, Italy

   3 repaid (Buyer found or advised delivery later and repaid: Canada, Colombia, Italy)

 

*2 of the USA losses were to USA forwarding companies (1 buyer from Paraguay, 1 buyer from China)

** on return from vacation, lot was lost in a pile of junk mail which was not dealt with and found for a few weeks

*** 1 lost lot to Canada and 1 to Italy were lost to long time, regular buyers who have continued to purchase regularly since AOK.

 

Things I did in 2017.

-nothing new it seems in 2017 different from 2016

 

2016 results

 

% of shipments = .004 = under one half of 1% of packages are lost, so about 1 in 250 packages are lost

% of sales = .0024 = about one quarter of 1 percent loss rate

   8 "lost" in 2016 USA(2),Canada,India,Oman,Russia,Australia,Bolivia

   1 believed to be lost to "crime" (based on spider senses)

   7 lost and unrecovered(so far). 1 USA advised arrival later and repaid

   1 repaid (Buyer advised delivery later and repaid: USA)

   1 odd situation, other USA buyer convinced me to unblock them and they successfully purchased 3 more items

 

Things I did in 2016.

-I China & Brazil require trackable shipping, ie lowest shipping $17.50 regardless item size. Number of buyers especially China increased over the year, they began buying batches of stuff to make the postage palatable.

-decided against adding extra custom shipping costs to Russian buyers (not tracking) so far, am also considering doing the same for others

-I sell in US$ so the lower $C rate gives me more room to make packages trackable, which I’ve been doing more to new buyers and/or buyers in scary countries

-I did change my flat rate shipping to Standard Shipping (outside the US) to add a few more days to the est delivery date

 

 2015 results

 

% of shipments = .0097 = about 1% of packages are lost, so about 1 in 100 packages are lost

% of sales = .0090 = about 1 percent loss rate

   13 "lost" in 2015 Russia(5) Belarus, Canada, China, French Polynesia, Kuwait, Pakistan, South Africa, Sri Lanka

   3 believed to be lost to "crime" (Russia, ordered 3 separately close together)

   9 lost and unrecovered(so far)

   1 repaid (Buyer advised delivery later and repaid: Canada)

 

Things I did in 2015.

-I changed China and Brazil to custom shipping requiring trackable shipping, ie lowest shipping $17.50 regardless item size. Number of buyers dropped dramatically.

-am considering adding extra custom shipping costs to Russian buyers (not tracking), however had many sales, including one for $1500 which more than offsets the minor losses.

-I sell in US$ so the lower $C rate gives me more room to make packages trackable, which I’ve been doing more to new buyers and/or buyers in scary countries

 

2014 results

 

 % of shipments = .0051 = 1/2 a % of packages are lost, so about  1 in 200 packages are lost

 % of sales = .0040 = .4% of sales ie less than 1/2 of one percent loss rate

     10 "lost" in 2014 USA(2) Nepal(1) China(2) Brazil(3) Germany(1) Russia (1)

       2 believed to be lost to "crime" (China)

       5 lost and unrecovered(so far) USA(2) Brazil (2) Russia

       3 repaid (Buyer advised delivery later and repaid: Nepal,Germany,Brazil)

 

2013 results one half of one percent of sales loss rate:

 

0.51% "insurance" loss rate (10 unrecovered losses USAx3,Argentina,Chinax3,France,Israel,North Korea)

   0.3% as a result of "crime" (6 shipments)

   0.21% as a result of items lost in the mail (4 shipments)

 (Note in 2013 2 packages “lost” and later arrived and Buyers repaid(Brazil, Russia), 1 package loss partially covered by Canada post, no losses covered by 3rd party insurer)

 

2012 results - under 1% of sales loss rate:

 

0.83% "insurance": loss rate (unrecovered loss 9 shipments Argentina,Australia,Brazil,Canada,Chinax2,Indonesia,Russia,Turkey)

   0.78% as a result of "crime" (2 shipments)

   0.04% as a result of items lost in the mail (7 shipments)

 

A reminder that 2012 is the year that CP covered the small packets, I had a few recoveries this way.

 

I had a big crime loss within Canada (this was also spelled out in a different thread).

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RICARMICs Self insurance cookie jar statistics to end of 2022

great results well thought presentation of facts you have acquired  it was a great read and i found some really helpful ideas in it -- but your stamp world is not what the rest of us out  here are subjected too -- your costs are minual at best - i don't begrudge you  this its your market plan and goods  you sell - and great for you - and the take away is one sellers problems are not another sellers problems ---for example most of my customers need what they order now --something broke and they need it as fast a possible and because of trouble with their canada post they want proof its  tracked items to show where it is  and when  -- they also live about as far from anywhere as you can get -   almost always rural almost always at the far flung reaches of our country so shipping costs are high -- the cheapest thing i shipped over the last month was 16.99 from toronto to toronto

for a item that cost $19.99 --  most are  items  22.22 to a little higher  -- most times i help with shipping  as little as best i can the cost of shipping suppiles and gas to get to the post office  and other expenese i try to roll into the cost of the goods so it eats out of my pocket- on most items  the profit margin after all costs are said and done come to 20 % in my pocket on avg.-- just had my account grunch the numbers again for the month of jan -- if i sold 20 items a week it would be not bad -- ok for me  in what i do --but sadly i don't -- my hardware items prices are extemely low compared to local hardware stores and other online places  i check regularly - and alot of what i have is hard to get -- but in these days of hardship -- people are just doing with out or are refusing to fix their own things - and buy a new one whatever it is  if i get 5 /6 sales a week  thats good -- this week so far one item not looking good -- thank god most of my hardware items have depericated for tax purposes  to almost less than 15% so this year i should make a little more than last year-- the accountant mentioned  around 22-23 % profit

my take on what you do is great-----iam jealouis - i wish i had a very small  size high  profit cheap shipping product that people from all over the world collect   and want -- 

***but like most here i don't  

keep up the good work though your insights into your business is a great read and how you present your record keeping is even better 

i think i read it again just to see if i missed anything

thanks for submitting 

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RICARMICs Self insurance cookie jar statistics to end of 2022

@dobo5250 Just a bit of a clarification, I have the same problem as everyone else regarding shipping costs, I don't generally sell "a stamp" I sell lots of 100s to 1000s of stamps, which all are generally inexpensive "per stamp" and the related shipping (small packet NOT tracked) costs are still high relative to the item cost for anything going outside Canada. I sell stuff right up to bankers boxes, sent some 20KG'ers out west last week.

 

The thing I'm luckier about is my clientelle have been used to mailorder for well over 100 years now, the internet has just made it easier so they're generally more patient and respectful and informed which helps a lot, not always, but most of the time.

 

I think the main takeaway anyone can get from my information is that generally we "feel" that our loss rate is high. I do this (it actually happens naturally the way I do my book keeping) as a means to remind myself that whilst it seems that INRs is a big problem, mathematically it isn't for me at least.

 

I still get spider senses anytime somethings going to Israel, and a LOT of stuff has gone there, with no losses there in the last year. At one time it was a problem (for me). It is very hard to let that feeling go.

 

Anyway I'm glad to hear some of this is of use THX for letting me know!

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RICARMICs Self insurance cookie jar statistics to end of 2022

It might be useful to post this overview on dotCOM  (with the addendum that you are shipping large parcels  more often than single stamps).

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RICARMICs Self insurance cookie jar statistics to end of 2022

think the main takeaway anyone can get from my information is that generally we "feel" that our loss rate is high. I do this (it actually happens naturally the way I do my book keeping) as a means to remind myself that whilst it seems that INRs is a big problem, mathematically it isn't for me at least.

 

If by "we feel" you mean sellers in general I absolutely agree and it's not just lost shipments, it include just about everything from feedback to returns to whatever.

 

People who have never been in  business before don't seem to understand that a very small percentage of losses are the norm in ANY business, many of the complainers seem to think that every single transaction should go perfectly and if even 1 or 2 out of 100 go south they are ready to proclaim that "selling isn't worth it here".

 

Today I had my own example, buyer asked for combined shipping, I told them what the discount would be using my standard combined rate, they bought, they paid and then I find the address is quite rural, the carrier I use has great rates for major centres but basically rates similar to Canada Post for rural (actual distance is not the issue). After eBay fees and packaging I actually "lost" about $3.00.

 

I muttered to myself but really, does it matter? last week I had a very similar transaction, same price quote but the buyer was located closer to me and in a major centre so I made a shipping "profit" of $7.00 on that order, more than enough to cover the $3.00 loss on the other sale.

 

Since I habitially use flat-rate shipping I always experience the loss a bit / made a bit but the only thing I care about is what it looks like at the end of the year with the total received for shipping and the total spent for shipping.

 

Concentrating on the +/- of individual transactions will drive you mad.

 

 



"What else could I do? I had no trade so I became a peddler" - Lazarus Greenberg 1915
- answering Trolls is voluntary, my policy is not to participate.
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RICARMICs Self insurance cookie jar statistics to end of 2022

but your stamp world is not what the rest of us out here are subjected too -- your costs are minual at best -

 

🤣

Oh my sweet summer child!

 

but the only thing I care about is what it looks like at the end of the year with the total received for shipping and the total spent for shipping.

It's harder for occasional and hobby sellers to see this, since often they are seeing only one or two transactions a day (or week or month).

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RICARMICs Self insurance cookie jar statistics to end of 2022

2 repaid, Uruguay, and Italy (non-crime of course)

I'm sorry if it's answered somewhere. Would you mind sharing how do you gets repaid? Do you contact buyers after X time to see if they received? Does buyers contact you by themself? How do you arrange payment, do you make them re buy on eBay as a repayment or you share them your paypal for a F&F transfer?

 

I had some INR cases since i'm selling but never had any repaid. Only one time a buyer opened a case and closed it to allow me some time (and they ended receiving). But usually when a case is opened my buyers are set to want their refund. I just block them and move on. I allow messages from blocked buyers so they could message me back but never hear from them again 

 

I had one INR 4 months ago i wonder if it's worth trying to contact to see. Had one this week as well, defenitely will contact him in 2 weeks. Never thought about doing it

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RICARMICs Self insurance cookie jar statistics to end of 2022

@rocketscollectibles They contact me, I send a message when I refund asking them to repay if they receive. A portion do.  To get the repayment I create a "repayment lot for PATIALBUYERID" ebay lot for the same price and shipping as they originally purchased, they purchase that special for them ebay lot and pay for it, I marked it as shipped and everyone is happy again!

 

Here's boilerplate texts I use, feel free to use whatever works for you...

 

If NO case:

Hi! THX For your note!

 

I definitely share your frustration with the postal system! Hopefully you received my message that this item was shipped the next day, January 3rd. This particular package should not have been slowed down much going across the border (I'm in Canada) but the after Christmas shipping times can sometimes be very irregular. The good news is that ever since COVID began, my worldwide package loss rate has remained below 1/2 of 1% so over 99.5% of the time the packages do eventually arrive.

 

It has been just over a week since it was mailed, normal delivery times are usually in the 2 week timeframe so there is a very good chance it will arrive within the next week. I would really appreciate it if you don’t mind waiting another couple weeks before we decide the package is lost and I refund your money, but I will be ok whenever you decide. If it gets to the point that you think it has been long enough, please just open an item not received case and I will refund your money out of my own funds. Assuming the parcel does arrive after that, let me know so I can set things up so you can pay again (this is my full time job, small parcels like this are not insured so I am out 100% if they do not arrive).

Thank you very much for your patience during all of this, please let me know if you are ok with this plan, and I hope you have a great day!!! RICARMIC

 

If there IS a case:

Hi USERNAME! I’m sorry to hear that the stamps have not yet arrived.

 

I definitely share your frustration with the postal delays! Unfortunately the odd shipment is taking longer than usual to arrive with no rhyme nor reason as to which ones are affected. This particular package should not have been slowed down much going across the border (I'm in Canada) but one never knows. The good news is that ever since COVID began, my worldwide package loss rate has remained below 1/2 of 1% so over 99.5% of the time the packages do eventually arrive.

 

Now that a case has been opened the only options eBay gives me are to send a message or refund and irregardless of messages, I have to refund by Wednesday November 30. If it is ok by you, I will wait to refund until Wednesday November 30 because there is a very good chance it will arrive in the meantime. If it arrives before the 30th, you can just close the case. If not I will refund out of my own funds. If it does arrive after the refund, please let me know and I’ll set things up so you can pay again (this is my full time job, small parcels like this are not insured so I am out 100% if they do not arrive).

 

Thank you very much for your patience during all of this, please let me know if you are ok with this plan, and I hope you have a great day!!! RICARMIC (Ron)

 

When the money has been refunded:

I have just sent the refund, please confirm receipt when you are able. There is still a good chance the parcel will still arrive, if it does please let me know and I’ll set things up so you can pay again (this is my full time job, small parcels like this are not insured so I am out 100% if they do not arrive). Thank you very much for your patience to date and have a great day!! RICARMIC

 

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